) announced a content licensing agreement with PBS Distribution,
a unit of The Public Broadcasting Service, extending the archive
of television shows and films currently available on its
streaming video site, Amazon Prime Instant Video.
Amazon Instant Video is a digital video streaming and download
service that lets users rent, buy or subscribe to a range of
The online retailer has been consistently upgrading and
promoting movies and television shows on its streaming video
service. Over the past 12 months, Amazon has entered into a
number of deals with every major Hollywood studio, as well as
some of the major cable networks. In December last year, Amazon
signed a deal with Turner & Warner, which took the number of
videos it offers to a total of 30,000.
The latest deal with PBS Distribution will make Amazon's Prime
Instant Video service the exclusive subscription service for
streaming Season 3 of "Downton Abbey" beginning Jun 18, 2013. By
the end of this year, no other digital subscription service other
than Prime Instant Video will be able to offer any seasons of
"Downton Abbey." Currently,
) and Hulu Plus, owned by
Walt Disney Co
), offer some seasons of "Downton Abbey."
We believe the deal is the latest effort by Amazon to
strengthen its position versus Netflix, the leading online video
subscription service in the United States. The deal will add the
leading TV series to Amazon's video streaming library, which
Amazon Prime customers have shown a great preference for.
We believe that one of the key strategies for Prime Instant
Video remains the expansion of its video archive. Amazon is
spending a considerable amount on licensing deals for movies and
TV shows to attract more viewers to Prime Instant Video.
Prime Instant Video now features more than 36,000 movies and
TV episodes for Amazon Prime members to stream on Kindle Fire HD,
iPad, iPhone, iPod touch, Roku, Xbox 360, PlayStation 3 and Wii
Amazon is one of the leading players in an extremely
fast-growing market. In the fourth quarter, Amazon's revenue of
$21.3 billion was up sequentially as well as from the year-ago
quarter. Management attributed the increase in revenue to the
growing consumption of digital content across different
categories owing to the advantageous value proposition Amazon was
able to provide to its customers.
Amazon shares currently retain a ZacksRank #3 (Hold).
Investors should look out for some other stocks with positive
Zacks Rankand Expected Surprise Prediction or ESP (Read:
Zacks Earnings ESP: A Better Method
) has a Zacks Rank #2 (Buy) with an ESP of +10.26%.
) has a Zacks Rank #2 (Buy) with an ESP of +350.0%.
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