The arrangement more than doubles Amazon Prime Instant Video’s offerings, and knocks some of the wind out of its chief competitor: Netflix. The streaming video company’s shares were down about 10% shortly after the market opened this morning. Epix’ new agreement with Amazon comes just days after the premium movie service’s exclusivity arrangement with Netflix expired. Films from Epix — backed by Paramount, MGM, and Lionsgate — will now appear on Amazon and Netflix about 90 days after they run on traditional pay TV. Epix’ announcement also comes just before Amazon’s press conference on Thursday where it’s expected to unveil a new line of Kindle Fire tablets — possibly including a model with an 8.9-inch screen that could compete more directly with Apple’s iPad. “We think customers will really enjoy watching new titles like The Avengers, Iron Man 2 and The Hunger Games on their Kindle Fire, PlayStation 3, Xbox, iPad or any of the other of the Amazon Instant Video compatible devices,” says Amazon VP Bill Carr. Epix CEO Mark Greenberg calls the deal “a great line extension” for Amazon. He adds that with the expiration of the exclusivity arrangement with Netflix, part of the distribution deal they cut two years ago, Epix is talking with other potential distributors.
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