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Amazon, Netflix in deals with Disney-ABC
by Staff Writers
New York (AFP) Oct 31, 2011

Amazon and Netflix announced separate deals Monday to stream television shows from The Walt Disney Co. and ABC TV network.

Amazon, which offers unlimited streaming of movies and TV shows to Amazon Prime members, said the agreement with Disney-ABC Television Group includes rights to shows from ABC Studios, the Disney Channel, ABC Family and Marvel.

It includes such ABC TV hits as "Grey's Anatomy" and "Lost," Disney's animated series "Phineas & Ferb" and Marvel's "Spider-Man."

Amazon is beefing up its online video stable ahead of the November 15 launch of the Kindle Fire, its rival to Apple's iPad tablet computer.

The Seattle, Washington-based Amazon is offering buyers of the Kindle Fire a free month of Amazon Prime, whose members pay $79 a year for free shipping and receive other benefits such as unlimited streaming of movies and TV shows.

Amazon is touting the books, music, movies and TV shows available through its online store as a selling point for the Kindle Fire.

Amazon's director of video content acquisition, Brad Beale, said Amazon expects to have nearly 13,000 titles available in Amazon Prime instant video by early 2012.

Amazon also has licensing agreements with CBS, Fox, PBS, NBCUniversal, Sony, Warner Bros. among others.

The deal between Netflix and Disney-ABC Television Group is an extension of their existing licensing agreement and includes a bigger lineup of shows than the deal with Amazon.

In addition to "Grey's Anatomy" and "Lost," the Los Gatos, California-based Netflix will also offer ABC's "Desperate Housewives," "Private Practice" and "Ugly Betty," Disney's "Hannah Montana" and other shows.

Financial terms of the deals were not disclosed.

Amazon shares were down 0.22 percent at $216.85 in early trading on Wall Street.

Netflix shares were trading 1.24 percent lower at $83.10.

Netflix shares hit a high of $304.79 in July but have plummeted in recent months amid a backlash against a new pricing scheme and a spate of management bungles.

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