Amazon Might Partner With Netflix Or Blockbuster To Rent DVDs In The US

from the reassessing-the-market dept

Last year, Netflix surprised a lot of people by announcing that they believed Amazon was about to enter the DVD rental market. It's not often that one company's entrance into a market is announced by a potential competitor. While Amazon eventually did launch a DVD rental service, it was only in the UK. Perhaps Amazon's brief experience in that market has convinced Jeff Bezos that the company would be better off not going it alone in the US. Amazon execs have reportedly been chatting with both Netflix and Blockbuster about a partnership to offer DVD rentals in the US. Depending on the terms offered (a big if, of course), Netflix would probably be smart to jump on this opportunity. It keeps Amazon from competing directly, and gives them access not only to Amazon's marketing reach, but also could allow them to better tie into Amazon's customer database and recommendation information -- which could strengthen Netflix's own recommendation offering.