High Definition or Bust

Whether or not high definition content will be offered from the beginning remains to be seen, but on a promising note, Amazon has cut a deal with Sony Electronics to place its Internet video store on the Sony Bravia line of HDTVs. Not only does that hint at offering HD content, but as the New York Times Online puts it, Amazon can be seen "pursuing the technology and media world's holy grail -- an internet pipeline to the TV."

What about the Competition?

Despite everything Amazon's Video on Demand has going for it, the road to digital dominance won't be an easy one. Netflix, whose streaming service was once viewed as a perk, now looks to pounce on the mainstream market. Even though it sports a much smaller catalog, Netflix recently announced a partnership with Microsoft that will give its subscribers the ability to stream videos to their Xbox 360 console, and it isn't charging anything extra for the bodacious update. And for those who don't own or plan to purchase an Xbox 360, Roku's $99 set-top box provides an affordable incentive to keep subscribers from migrating elsewhere.

Netflix isn't the only one Amazon needs to worry about either. Apple's iTunes video store can be considered a contender, along with several others that have begun saturating the marketplace. Still, between the name recognition, a large catalog, studio support, and what looks to be a nifty interface, Amazon appears to have a lot going for it.

A limited number of Amazon.com customers will receive invitations to test drive the new beta service before Amazon blows the doors wide open later this summer. The question is, can Amazon Video on Demand succeed where Unbox hasn't?

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