• NY Times, Friday, March 10, 2006 10:30 AM

Amazon is set to unveil a movie and TV download service that lets users purchase content for a fee and then burn it onto a DVD. According to The New York Times, the online retailer is in "advanced" talks with three Hollywood studios. A download service would position Amazon against Apple Computer' iTunes, the leader in digital content distribution. Paramount, Universal and Warner Brothers are said to be engaged in the talks, said one of three unnamed sources cited by the Times. The proposed move comes as the media and retail worlds converge on the Web. Amazon is the Web's largest retailer, and expects to leverage its sizable user base in selling digital content. Other retailers like Wal-Mart and Target are also said to be working with the studios on ways to distribute programming on the Web. While Warner Brothers, Paramount and Universal are all involved in various other video on-demand services, including the joint venture MovieLink, none of them currently offers a way to download and burn DVDs--or stream them at a lower price, which is also said to be part of the negotiations. Another supposed advantage for Amazon is ownership of the Internet Movie Database, which is increasingly viewed as a primary destination for all kinds of movie information.

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