This is the second deal in a week Amazon has announced, forming a similar partnership with CBS (CBS) just last week.
This brings Amazon's portfolio of movies and television content to about 9,000, and while this is less than half of Netflix's 20,000 or so titles, it brings Amazon Prime one step closer to competing with the movie rental giant.
Janney Capital Markets analyst Tony Wible noted that Amazon is only a deal or two away from having a very comparable library to Netflix. A deal with say Liberty Starz (LSTZA), for example, would very quickly close the gap.The competition for Netflix has been heating up. Aside from Amazon, Wal-Mart (WMT) is also looking to steal a piece of the pie. The retail behemoth is aggressively promoting its own streaming network, Vudu.com, and just this week said it will make many movies available for streaming the day they come to DVD. These concerns are especially pronounced given Netflix's latest move to raise subscription rates, which has generated an outcry from members. During its second-quarter earnings call, CEO Reed Hastings addressed the rate hike and did warn that he expects to see some subscribers cancel their membership as a result. "I think
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