Apple, Google, Netflix , Amazon and Microsoft try to dominate digital video market

Amazon’s new, meticulously thought out ‘Video on Demand’ service is not expected to rake in huge profits for the firm, which would be required to pay a large amount of royalties to Hollywood studios and also develop the costly technical infrastructure needed for making the service run reliably and without any hassles.

However, Amazon’s chief executive Jeff Bezos may perhaps have another goal in mind. Establishing a foothold on TV could be a way to lure couch potatoes and TV advertisers to get linked up to the rest of Amazon’s web-based store merely with a click of the remote control, making it as simple as that. That is certainly a distinct possibility for the future.

But the fact remains that Amazon will have to contend with some formidable rivals if it is intent on dominating the emerging domain of digital video. Apple, Google, Netflix and Microsoft all are all keen on capturing the coveted real estate in the users’ living room as well.

Apple so far has enjoyed the most success with video format on its iTunes video store as well as its Apple TV set-top box. It also recently added sizable content from many movie studios apart from introducing video rentals to the service.

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