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July 16, 2008 9:16 PM PDT

Amazon launches new video store

by Greg Sandoval

Corrected at 11:10 p.m.: Amazon customers do not need to purchase the Sony Bravia TV before accessing the new Video on Demand download store.

Fresh from a failed attempt at online video, Amazon is giving it another go.

Amazon is opening a streaming video store, called Amazon Video On Demand, that will offer 40,000 movies and TV shows for download and rental to people's computers, according to a story that appeared Wednesday evening in The New York Times. The service will be made available to a limited number of invited Amazon customers initially and will be made more broadly available later this summer.

However, in another part of Amazon's strategy, the retailer signed a deal to include the service in Sony Bravia high-definition Television sets. To access the movies on their Bravia TVs, users must purchase a $300 Bravia Internet Video link, the Times reported. Brad Stone, who wrote the story, noted that this "was an awkward extra expense, for now."

Future Bravias are expected to have the video link built into the TVs, The Times wrote.

Amazon is looking to cut similar deals with other TV manufacturers and set-top box makers, according to the story.

Amazon faces competition from Roku, the company that makes the Netflix Player, which streams movies from the Web to an owner's TV set and costs $100. The box has been applauded by reviewers and fans alike.

In addition to Netflix, Amazon must compete with Apple, Microsoft and a host of smaller players that are trying to enable consumers to stream video to their TVs.

Seattle-based Amazon has already misfired with it's Unbox download store. In that situation, critics said the service was a bust because it required users to download a separate software application.

Greg Sandoval covers media and digital entertainment for CNET News. He is a former reporter for The Washington Post and the Los Angeles Times. E-mail Greg, or follow him on Twitter at http://twitter.com/sandoCNET.
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Add a Comment (Log in or register) (8 Comments)
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by gsmiller88 July 16, 2008 9:48 PM PDT
If Microsoft had such a service or made a product like the Kindle they would get ripped a new one. Before you can even use the service you get ripped a new one on a TV that's no better than any other out there plus $300.
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by thedreaming July 17, 2008 7:55 AM PDT
Microsoft announced at E3 that they made a deal with Netflix to deliver their video streaming to xbox live. So long as the customer also has a Netflix account, the can not only stream about 10,000 movies and tv shows, they'll also be able to share the stream with their friends online and they DON'T have to have a Netflix account. It'll be like going out with your friends to watch a movie, but your friends are scattered throughout the world and the movie theater is xbox live.
by sgcnet July 16, 2008 10:17 PM PDT
Wrong. There are two separate services - a web based streaming service and a partnership with Sony to stream to Bravia Internet Video Link devices. You can go sign up on Amazon.com right now and see the web streaming.
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by jmcintire July 16, 2008 11:17 PM PDT
Thank you, sgcnet, for pointing out the fact that video streaming and downloading are still available for computers (which now include Macs). The new iteration of the Video On Demand service uses Flash as its platform, which is no doubt why it is now available for Macs.
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by jakemichb July 16, 2008 11:29 PM PDT
Actually, its more like just an extension of the existing Unbox download store. Just now you can stream immediately or download to your PC, or both. Also to TiVo, or I guess now to the Bravia thing. Plus once you bought it you can go back to it any time on any PC.
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by antaramedia-com July 17, 2008 1:34 AM PDT
Interesting, but I'd rather own a full movie rather than just rent it .
Reply to this comment
by TV James July 17, 2008 11:03 AM PDT
Typo:
Seattle-based Amazon has already misfired with it's Unbox download store.
should be
Seattle-based Amazon has already misfired with its Unbox download store.
Reply to this comment
by kflak July 17, 2008 11:17 AM PDT
This is a sorry bit of reporting. There was real information about how this is different from the existing Unbox offering or if the new service will work with Tivos in addition to sony tvs. Just some that "critics" say unbox was a bust.
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