Interested in learning what's next for the gaming industry? Join gaming executives to discuss emerging parts of the industry this October at GamesBeat Summit Next. Register today.
Amazon is planning to release its own set-top box for the holiday season, according to a Wall Street Journal report that cites unnamed sources familiar with the company’s plans.
Rumors of an Amazon-branded set-top box first popped up back in April. And like the previous reports, the set-top box would stream digital media to your television and directly compete with Roku, Apple TV, and a variety of Google TV-enabled devices. The rumored Amazon box should be unveiled soon, and go on sale in time for the holiday season, according to WSJ’s sources.
If true, an Amazon-branded set-top box would make a lot of sense for the company. A set-top box would allow Amazon to help grow the number of people paying for its Prime Instant Video service, which offers a large library of free video content and competes with Netflix. A set-top box would also help Amazon sell more video purchases/rentals. And probably most importantly, a set-top box would allow Amazon to keep its happy Kindle Fire customers from using devices made by rivals Apple and Google — both of which are also competing for digital video sales, too.
It’s likely that an Amazon set-top box would also follow much of the same strategy the company used for its Kindle Fire tablets — meaning, it will sell the device at a low price (possibly even at cost) and make money solely on digital media sales. Amazon also uses its Kindle devices — to a lesser degree — to deliver advertising to its customers. An Amazon set-top box would obviously be better suited for advertising, (specifically video ads).
But for now, we’ll have to wait to see if Santa Bezos will debut a set-top box to accompany the new line of Kindle Fire tablets announced last week.
VentureBeat's mission is to be a digital town square for technical decision-makers to gain knowledge about transformative enterprise technology and transact. Learn more about membership.