Amazon Prepares To Take On Netflix - Spokane, North Idaho News & Weather KHQ.com

Amazon Prepares To Take On Netflix

Posted: Updated:

SAN FRANCISCO (Reuters) - Amazon.com Inc's deal to purchase streaming movies from cable network Epix could transform the way such deals are done, thanks to a pay-for-performance sweetener that had not been previously disclosed.

According to an executive directly involved in the deal, Amazon agreed to an earn-out provision payable to Epix over time if the number of subscribers to Amazon's Prime Instant Video service rises above a certain threshold. That comes in addition to a fixed upfront fee, the basis for most subscription video-on-demand deals up to this point.

The generous terms of the deal, announced in September, provide the strongest evidence yet that Amazon is willing to pay up to be a player in this market as it faces a dwindling demand for DVDs - once its core entertainment offering - and tough competition for its Kindle Fire tablets.

Film studios and TV network executives, meanwhile, now have a worthy foil to play against Netflix - once the only major streaming player - and possibly a template for future deals. click here to read more

  • Most Popular StoriesMost Popular StoriesMore>>

  • Family's Car Catches Fire Inside Lion Enclosure

    Family's Car Catches Fire Inside Lion Enclosure

    Sunday, April 20 2014 2:57 PM EDT2014-04-20 18:57:30 GMT
    (NBC)- A British family was forced to flee their car inside a lion enclosure, after the vehicle caught fire. Other visitors shot amateur footage of the car on fire. Helen Clements, who was in the car with her two children, said they were caught between wanting to escape the burning car while evading the lions.>>
    (NBC)- A British family was forced to flee their car inside a lion enclosure, after the vehicle caught fire. Other visitors shot amateur footage of the car on fire. Helen Clements, who was in the car with her two children, said they were caught between wanting to escape the burning car while evading the lions.
    >>
  • BEAUTIFUL HOMES: Top 10 Most Expensive Homes For Sale In CDA

    BEAUTIFUL HOMES: Top 10 Most Expensive Homes For Sale In CDA

    Tuesday, March 25 2014 9:20 AM EDT2014-03-25 13:20:34 GMT
    KHQ.COM - When it comes to shopping around for a house, it's always fun to dream. We did a search for some of the most expensive homes for sale right now in the Coeur d' Alene area.>>
    KHQ.COM - When it comes to shopping around for a house, it's always fun to dream. We did a search for some of the most expensive homes for sale right now in the Coeur d' Alene area.>>
  • Fallen Hero Banner Project Denied From Marching In Seafair Torchlight Parade

    Fallen Hero Banner Project Denied From Marching In Seafair Torchlight Parade

    Sunday, April 20 2014 3:27 PM EDT2014-04-20 19:27:07 GMT
    SPOKANE, Wash. - This year the Fallen Hero Banner project, which honors men and women from Washington who have died serving our country, applied to march in the Seafair Torchlight Parade in Seattle. However, the organization was denied by the parade selection committee via email saying, "the Fallen Hero Banner Project was not the right fit for the Torchlight Parade.">>
    SPOKANE, Wash. - This year the Fallen Hero Banner project, which honors men and women from Washington who have died serving our country, applied to march in the Seafair Torchlight Parade in Seattle. However, the organization was denied by the parade selection committee via email saying, "the Fallen Hero Banner Project was not the right fit for the Torchlight Parade.">>