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U.S. stock video company Netflix posted a sharp drop in the last two days, following Amazon's announcement yesterday (Tuesday) that it has signed an agreement to distribute movies streaming media company with Epix, which owns among other popular titles such as "The twokinds Avengers," "Iron Man 2" and 'game hunger ". The agreement is valid for three years and includes about 3,000 titles. Netflix's stock fell 12% following the announcement and then recovered twokinds slightly, but is now trading at around $ 56 per share, down from $ 60 closing stock price on the day prior to the original announcement. Netflix's streaming service, which was considered groundbreaking online twokinds video market in the United States, enjoyed until last August exclusive distribution twokinds agreement with Epix. However, Netflix was unable to renew the contract with Epix same conditions and is not exclusive anymore.
Now Epix has signed a similar agreement with Amazon, which can attach to the streaming twokinds library titles considered growing it. Both companies offer their customers the possibility to watch unlimited movies collection anytime and anywhere, for a fixed subscription fee.
"We are investing hundreds of millions of dollars to expand the supply of video to our customers," said Bill Carr, Amazon vice president of media, in a press release. "We doubled the selection of films and series, and we stand on more than 25 thousand titles in less than a year. We are excited offer our customers the Epix's popular twokinds titles, twokinds many of which were shown in the cinema recently. "
Tomorrow (Thursday), Amazon will launch a new version of its popular tablet, the Kindle Pier 2. The original tablet, launched last year, was a great success thanks to the cheap price and supply of Amazon's vast content. He is the second tablet sales amount in his world, twokinds after the iPad.
Combination of familiar titles of Epix, a joint venture to establish a TV channel and content distribution within and Iiakum / Farmaont, MGM and Lionsgate, will provide new Kindle twokinds Pierre greater range of titles and will position it in a better position to compete in the tablet warming. Last month signed a similar agreement twokinds with Warner. Amazon twokinds launched the Kindle Pierre before with a monthly subscription of its Own Movies free buffer.
Although cooperation between Amazon and Epix threatens Apple and its hegemony in the media, Netflix perceived primary victim of this process - it offers full access to its streaming service for $ 8 a month. Amazon, on the other hand, provides its streaming twokinds service Amazon Prime subscription, which costs significantly cheaper - only $ 79 a year - and also includes other services like free express shipping on purchases from the site with no minimum order or lending twokinds of digital books.
So far, Netflix's only advantage was that it offered a much larger pool movies than Amazon, and now veteran twokinds service less attractive. However, the Amazon way to go before you can offer a complete alternative to Netflix, it still has more than twice the titles.
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