How Much Amazon Would Owe The Tolkien Estate If It Cancels The Rings Of Power Before Season 5

A new report sheds light on how much Amazon would have to pay the Tolkien estate if it cancelled The Rings of Power. The third installment of the Lord of the Rings spinoff was confirmed in February 2025, depicting Sauron’s quest to create the One Ring. Filming began in May, though a release date for Rings of Power season 3 has not been announced.

The fantasy adaptation has been heavily scrutinized since its September 2022 debut. Because of the show’s hefty budget and acquisition costs, with analysis mentioning that viewership fell below expectations, there were murmurs from fans and industry experts alike about whether execs at Prime Video would cancel The Rings of Power.

A report from The Ankler‘s Lesley Goldberg reveals new information on The Rings of Power, including how much Amazon would have to pay the Tolkien estate if it cancelled the series. Among other details, it’s mentioned that Amazon’s initial deal was for a five-season run consisting of 50 episodes. If Amazon failed to stick to that plan, then they’d have to pay a kill fee of $20 million per season.

What The New Report Reveals About Rings Of Power

The report is part of a broader look at Prime Video, which is facing new challenges and questions as former Netflix executive Peter Friedlander has been tapped as the Head of Global Television at the Amazon-owned streamer. One of the biggest questions is how to approach Rings of Power, which hasn’t achieved the level of success expected from an adaptation of J. R. R. Tolkien’s seminal work.

It’s mentioned, for instance, that Rings of Power season 1 was completed by only 37% of Prime Video viewers in the U.S. Internationally, it fared better and came in at 45%. However, it’s noted that executives were hoping for a completion rate of at least 50%. Overall, viewership was down for the second season, but more subscribers stuck around for the Rings of Power season 2 ending.

These numbers are likely not what Prime Video hoped for when it purchased the rights to the beloved franchise for $250 million. The first installment cost $465 million, not including marketing costs. Although costs have been reduced for the two more recent seasons, thanks to tax incentives and changing locations, the show has not been a major streaming breakout.

Our Take On Rings Of Power’s Status At Prime Video

As an agent mentions in the report, Rings of Power is not one of Prime Video’s defining shows. That may well go to The Boys or The Summer I Turned Pretty, both of which go viral and generate plenty of online discussion. There are also action dramas like Reacher, which consistently perform well and cost far less.

It points to a larger discussion of whether Tolkien’s works are a better fit for the big screen and if television should just remain focused on smaller-scale stories. But there is good news for fans hoping to see the Rings of Power cast. It seems sensible that, as long as costs remain relatively low, Prime Video has an incentive to keep the show going and avoid the hassle of kill fees.