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Amazon Looking to Get Into Online Rentals

18 Apr, 2005 By: Jessica Wolf

Reports began circulating last week that Amazon.com has approached Netflix.com and Blockbuster Inc. about partnering to launch another online rental service.

An industry source confirmed that the online sales powerhouse Amazon is looking at creating a team venture with one of the top two online rental services rather than launching a proprietary service of its own.

Late last year, Amazon.com launched a DVD-by-mail rental service in the United Kingdom, offering a two-out, four-rental maximum monthly plan for £7.99 and a three-out, six rental maximum monthly plan for £9.99, both including a 10 percent discount on DVDs purchased from Amazon.

At the time, Home Media Retailing asked an Amazon representative if the company hoped to launch a similar program in the United States.

“We don't have anything to announce with regard to the United States at this time,” the Amazon spokesperson said. “However, our customers have been asking us for the service, and we believe we're well-positioned to offer a great customer experience. Stay tuned!”

Further information on the reported talks was not immediately available from Amazon, Blockbuster or Netflix.

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