Ahead of the merger with Showtime Paramount+ has cancelled more shows. The most surprising of which is Star Trek:Prodigy
The animated coproduction with Nickelodeon was very well received and had been renewed for a second season. The second season is in post production and will be sold to another streamer/broadcaster.
My view is that cancelling already renewed content is a sure fire way to lose subscribers.
I think you’re right, Amazon has seemingly done well with Picard and Lower Decks (outside of the US) so it’s possible that they will want to add another Star Trek.
Paramount’s big mistake is having poor availability (taking too long to roll out Paramount+ and then having staggered release dates for shows in different areas) and complicated distribution arrangements that means they make less money.
In essence they treated streaming like DVD/Blu-Ray distribution which negates the benefits of streaming to the consumer.