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Amazon working on streaming subscription video service

post #1 of 10
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Amazon has been pitching a Web-based subscription TV and movie service to content providers, a new report claims.

On the eve of Apple's September 1 media event, The Wall Street Journal has published a report on Amazon's plans to develop the service.

According to the Journal's sources, Amazon, which is America's largest online retailer, has approached NBC, Time Warner, News Corp., Viacom about the service. Sources also said Amazon's new subscription service would be browser-based, in addition to being available for devices like Microsoft's Xbox 360. The company reportedly hopes to launch the service in time for the holiday season.

After the service launches, the Seattle, Wa., company will join Netflix, Google, and Hulu in what has become a crowded race to offer streaming video that keeps both viewers and content providers happy.

Apple is also preparing to enter the fray. The Cupertino, Calif., company has reportedly reached agreements of its own with Walt Disney Co., and possibly News Corp. , to stream television show rentals through iTunes. The announcement is expected to come Wednesday along with an upgraded Apple TV set top box.

While Apple hopes to offer new shows soon after they air, Amazon instead appears to be going after older content, which is perceived as less of a threat to media companies.

Amazon and Apple are already fierce competitors in the digital book market. Amazon launched its Kindle e-reader and e-book store in late 2007. In January 2008, Apple CEO Steve Jobs expressed skepticism over the viability of the Kindle, saying "people don't read anymore." Despite Jobs' comments, Apple released its iBooks store alongside the iPad in April.
post #2 of 10
I think Amazon has a pretty good shot here.
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Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
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post #3 of 10
imo Amazon will make an iTV app just like they made the Kindle app for idevices.
post #4 of 10
Quote:
Originally Posted by solipsism View Post

I think Amazon has a pretty good shot here.

I agree. They already have the eyeballs.

Proud AAPL stock owner.

 

GOA

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Proud AAPL stock owner.

 

GOA

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post #5 of 10
Quote:
Originally Posted by SpamSandwich View Post

I agree. They already have the eyeballs.

— Eyeballs w/ active accounts with CCs on file.
— Trust from customers
— Large and widely dispersed server platform
— Knowledge of digital sales with their music service
Amazon’s S3, which is currently the storage system for Dropbox
— (Potentially) Seen as both an “underdog” and “thorn in Apple’s side” when it comes to inking deals with content owners for distribution rights, if the DRM-less 256kbps MP3 files Amazon’s music store offered well before Apple could is any indicator.

Any others?
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Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
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post #6 of 10
I don't know if Amazon can get a deal done. Apple have tried to push for subscriptions and got denied by the studios.
post #7 of 10
Quote:
Originally Posted by Wurm5150 View Post

I don't know if Amazon can get a deal done. Apple have tried to push for subscriptions and got denied by the studios.

Amazon getting a deal makes it more likely that Apple will as well. The studios are scared of a single company dominating the distribution of their content (iTunes dominating online music sales gives Apple massive leverage over the music labels). They'd like multiple competing online stores.
post #8 of 10
Quote:
Originally Posted by AppleInsider View Post

Amazon has been pitching a Web-based subscription TV and movie service to content providers, a new report claims.

O

Don't they have VOD already? What's new or am I missing something?

Edit: It looks like they even have subscriptions:
--SHEFFmachine out
Da Bears!
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--SHEFFmachine out
Da Bears!
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post #9 of 10
Quote:
Originally Posted by sheff View Post

Don't they have VOD already? What's new or am I missing something?

Edit: It looks like they even have subscriptions:

If they could offer all of this content through Apple TV, so much the better.

Proud AAPL stock owner.

 

GOA

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Proud AAPL stock owner.

 

GOA

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post #10 of 10
*ring* Wall Street Journal Desk, Sam Schechner speaking.

Hi Sam, Jeff Bezos from Amazon here - how ya doin'?

Fine Jeff - what's news?

Well, I know you are probably waiting on other things, like a certain company releasing new stuff, but did you know that we've been talking about our new subscription service that would deliver TV shows and movies over the Internet to the studios and they seem really interested you know?

Really? Wow! You beat Apple to the punch again hunh?

Now Sam, you know we aren't like that. At all. I'm just sayin', you know, that we've got those bases covered. And you know we are pretty big in internet content delivery and stuff. Let me give you some details.

Cool! At least it isn't another stupid Apple leak!

Well, I don't roll like that - I respect our partners and competitors. Anyway....
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