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Amazon is looking to further advertise its services

Amazon is looking to complete its gadget collection by releasing a television set-top box as soon as this fall. 

According to BusinessWeek, the box will plug into user's television sets and allow the streaming of Amazon's video services -- such as the Video on Demand store and the Instant Video service. 

The device will aim to compete with the likes of Apple TV, Roku, Boxee Cloud DVR, PlayStation 3 and Xbox. 

It seems odd that Amazon would need a set-top box, considering Amazon streaming is already available through TVs, Blu-ray players and many other set-top boxes. However, with a box of its own, Amazon could place its own products on the forefront.

The company could adopt a model much like that used for the Kindle Fire, where hardware is sold cheap in order to lure customers to its digital products -- Amazon Prime. It's unclear whether competitors like Netflix will make an appearance on Amazon's new device. 

Amazon's set-top box is reportedly being developed by the company's own Lab126 division in Cupertino, California. 


Amazon has created quite a digital empire with its online store and services like Amazon Prime (which feature the Instant Video service and free two-day shipping for an annual fee of $79). It makes sense that the company is branching out into hardware in order to put these digital services into the hands of customers more quickly. 

While Amazon has the Kindle e-readers and Kindle Fire tablets, it also plans to release a smartphone soon. A phone and a set-top box could polish off a nice collection of gadgets to carry out Amazon's goals of attracting more users and subscribers.

Just last week, Amazon acquired a Siri-like app called Evi for $26 million, which could possibly hint at the launch of an Amazon-made smartphone in the near future. 

Amazon has even more incentive to spread the word about its video services as well, since it introduced 14 of its own televisions pilots earlier this week, and it’s now accepting customer feedback to see which shows should be produced. 

Source: BusinessWeek





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