Akimbo, a provider of TV delivered via the Internet, has announced a potentially lucrative deal with MovieLink, an online movie property owned by six Hollywood studios, to deliver movies over the
Internet to consumers' televisions. Akimbo provides its broadband content services over the Web, but will now produce a set top box manufactured by Thomson and sold under the RCA brand in an attempt
to attract more customers. The notion of bringing movies to television screens via the Internet represents a new method of distribution for movie studios and television companies, and presents a real
threat to cable companies, analysts said. Other companies are also making similar moves. Netflix, the popular online DVD rental service, has hinted at bringing video-on-demand to the Internet, having
recently partnered with the Independent Film Channel to distribute its movies over the Web. Akimbo's new service is fairly similar, but it will offer TiVo-like functionality to consumers that lets
them watch content on their TVs. Analysts warned that consumers could be reluctant to add another set top box to their TV screens. Akimbo plans to bring the new product to market in April.
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