Report: Amazon to launch movie download service
The New York Times reports that Amazon.com is currently in talks with three film studios about launching a paid service that would allow users to download movies and TV shows and burn them onto DVDs. Paramount Pictures, Universal Studios and Warner Brothers are the Hollywood studios reportedly in discussions with the internet retailer.
“If the advanced negotiations are successfully concluded, Amazon’s service would position itself in the media world alongside rivals like Apple’s iTunes as a place where people go not just to order goods to be sent by mail, but to instantly enjoy digital wares as well,” reports the Times. “Depending on the pricing of downloaded movies and the agreed split between the studios and Amazon, electronically selling DVD’s to consumers could represent a way to increase profit margins, as the overall growth of DVD’s has cooled.”
As previously reported, Amazon.com is also planning to launch a digital music service and Amazon-branded MP3 players. The Wall Street Journal said last month that the company is finalizing deals with music labels and could launch the service and portable devices as soon as this summer.
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