Friday, March 10, 2006

Amazon going to offer movie downloads and online rental

It looks like Amazon is going to offer video downloads as well as online rentals to augment their digital content plays soon to be launched including digital music and books.

Apparently the online retailer is talking with movie studios including General Electric's Universal Pictures, Viacom's Paramount and Time Warner's Warner Bros. about making their content available on its site, both for Internet rental and purchase. A service could begin this summer.

And the music studios as well as music labels are likely to be highly supportive of Amazon's approach as they are fearful of the dominant position that Apple's iTunes has over the market and over their relationship.

And Amazon looks set to offer user ratings and Amazon search to try and add value. Plus apparently movie studios are looking at simultaneous release of online movies and DVD's.

Amazon may be attracting Wall Streets attention by jacking up their costs - but so far the expenditure looks spot on. Digitally accessed content is absolutely the future.

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