Amazon accounts for 15 percent of U.S. consumer online shares, according to the Department of Commerce. But Amazon’s actual reach in the retail market may be as much as double that due to an undetermined volume of sales transacted with third parties. Just as Walmart destroyed many smaller retailers, so may Amazon’s massive reach have an even greater disruptive impact. The comparison is apt because Amazon is now building pickup locations for groceries in Seattle that could open by the end of 2016. Continue reading Amazon’s Reach in Online Retail Much Bigger Than Estimated

On the heels of acquiring DirecTV for almost $50 billion, AT&T plans to roll out DirecTV Now, an Internet video service, by the end of 2016. This new over-the-top service challenges the pay-TV industry with its ability to stream a 100-channel line-up to TVs and mobile devices without a satellite dish, cable set-top box or annual contract. Sources say that AT&T is likely to charge about $50 a month for the service. Currently 25.3 million subscribers pay an average of $117 a month for AT&T’s pay-TV business. Continue reading AT&T Set to Launch DirecTV Now 100-Channel OTT Service

Disney founded its own accelerator a few years ago, providing financial and logistical support to a range of startups from Hanson Robotics, which makes lifelike robots, to Jaunt and its VR cameras. Disney chooses the startups it supports wisely, selecting companies that are creating things that could potentially align with Disney’s media and business pursuits. Take virtual reality for example; Disney isn’t likely to build its own camera, but it can certainly benefit from supporting a company with the expertise to do so. Continue reading Disney Accelerator Supports Nine Startups for Mutual Benefit

In partnership with Lionsgate and Starz, Vimeo has opened a TV storefront in the model of iTunes, meaning viewers can purchase shows rather than stream them. Available series include “Orange Is the New Black,” “Casual,” “The Royals,” “Mad Men,” and “Weeds” as well as the entire Lionsgate catalog, which adds “Nurse Jackie,” “Boss,” “Blue Mountain State,” and “Manhattan.” Vimeo has been focused on improving its video-on-demand business, including buying VHX, a video distribution platform, and making its own original content. Continue reading Vimeo Refreshes Creator Pages and Launches New TV Store

Retail giant Walmart announced the launch of its free, ad-supported streaming video service called Vudu Movies On Us, which offers thousands of titles available for 1080p HD streaming, and supports Dolby Digital sound when available. Vudu has been selling and renting movies and TV shows for almost 10 years. The new service, however, will not feature new releases or current series. Instead, it will focus on older blockbusters and classics. Vudu considered developing a subscription VOD service, but opted for the ad-supported model since the majority of Walmart customers expressed interest in free or discounted video services. Continue reading Walmart Debuts Free, Ad-Supported Video Streaming Service

IBM is launching commercialization of its artificial intelligence technology Watson with the hope of growing it into a multibillion-dollar enterprise. Big Blue has already invested billions of dollars and, currently, a staff of 10,000 employees to evolve Watson, which was launched as a business unit in 2014. The effort is beginning to pay off, as Watson is now assisting in diagnosing cancer. IBM is also marketing its AI in TV ads featuring Watson bantering with Nobel laureate Bob Dylan and tennis celebrity Serena Williams. Continue reading IBM Looks to Commercialize Artificial Intelligence with Watson

Amazon Game Studios recently unveiled its first big-budget video game, the multiplayer online battle game “Breakaway,” described as street basketball played in a mythological world where athletes are armed. With the game, Amazon integrates live streaming app Twitch, which it bought for nearly $1 billion, and also incorporates Lumberyard, its cross-platform, 3D game engine. Lumberyard, free to game developers, connects to its Amazon Web Services cloud storage. The game is available for free, indefinitely, as Amazon works out the bugs. Continue reading Amazon’s New ‘Breakaway’ Integrates Twitch and AWS Cloud

According to World TV Production Report 2016, over-the-top services including Amazon and Netflix now rank with traditional media sources as TV titans. The report notes that, combined, Netflix and Amazon spent $7.3 billion in 2015 on programming, as much as the country of Germany. The only media outlets to best Amazon and Netflix in terms of production investments are Disney (at $11.84 billion) and NBC (at $10.27 billion). The new status reflects a boost in online series production, from 13 in 2013 to 20 in 2014 and then 41 in 2015. Continue reading Netflix, Amazon Spending More on Original Series Production

After years of starkly different strategies in computing, Amazon and VMware have inked an agreement marking a new stage in the development of cloud computing. The partnership, which takes effect in 2017, will allow VMware customers to use their familiar toolset to manage virtual machines in Amazon’s cloud. VMware virtual machines can already run on Amazon’s cloud, but the service, which VMware will sell, is a new version of Amazon’s cloud and also integrates nicely with Amazon cloud services for databases and storage. Continue reading Amazon, VMware Ink Landmark Deal to Take VMs to the Cloud

Amazon debuted its streaming music service Amazon Music Unlimited, which costs $7.99 per month for Prime members and $3.99 a month for consumers who’ve purchased its Echo speakers. The Echo deal is significantly less than the $9.99 charged by Amazon’s many, already-established competitors. Amazon is also playing up another way Echo distinguishes its offering: a user can ask Echo’s digital assistant Alexa to play a band’s “new song” without knowing the title, a group’s music from a specific decade or a song based solely on its lyrics. Continue reading Amazon Ties Digital Music Service to Echo Speaker and Alexa

According to research firm SNL Kagan, cord-cutting started in 2011 when the cable industry lost 744,000 subscribers. Last quarter, cable was down 298,000 subscribers. In response, streaming video services such as Amazon, Hulu and Netflix are ramping up investments in original programming. With a growing array of options for today’s cord cutters, The New York Times offers suggestions based on consumers’ habits. For movie fans, NYT cites Netflix as best service and the Roku Streaming Stick as best hardware. For sports, PlayStation Vue is the recommended service, with Fire TV or Google Chromecast the best hardware — while Roku’s Stick, Netflix and Amazon are recommended for binge watchers. Continue reading Hardware, Service Recommendations for Today’s Cord Cutters

Walmart told its investors that it was opening fewer brick-and-mortar stores in favor of investing in online operations, a strategy that was initiated when Walmart chief executive Doug McMillon paid about $3.3 billion for e-commerce startup Jet.com. That company’s founder, Marc Lore, will lead the initiative. The company predicts online sales will grow 20 percent to 30 percent in the next three years. Still, it’s a risky gambit since Amazon is increasing its dominance in the U.S. consumer space. Continue reading Walmart to Ramp Up Online Operation, Google Opens Pop-Up

With its game engine, Electronic Arts can apply code created for one game to another new game. EA has evolved its engine, now integrating the features of a dozen into a single game engine, dubbed Frostbite, which was used most recently to create the title “FIFA 17.” Now, Facebook, Amazon and other tech companies are also interested in game engines, which can handle graphics and physics as well as save time and money on R&D, and open doors to development in new media markets such as virtual reality. Continue reading Game Engines Are Now Entrée to Better Titles, Faster Delivery

The smart assistant app Thington just launched, with the aim of making the smart home and its devices less intimidating. Thington’s Concierge is a conversational bot that helps the user set up smart devices in the home and get the maximum benefit from them. The idea, say its founders, is that Thington is a “super smart remote” that will talk users through the confusing process of setting up an Internet of Things-enabled home. Thington is currently compatible with devices from six manufacturers. Continue reading Thington Concierge Helps Users Navigate Their Smart Homes

After two years of working on the technology, Verizon will soon connect drones to its wireless network, with drone data plans starting at $25 a month for 1 gigabyte of data and $80 for 10 gigabytes, similar to what consumers are already paying for data. The company just demonstrated the technology with drone manufacturer American Aerospace Technologies at Cape May, New Jersey. The new drone data plan will allow consumers to connect their drones to the Internet, streaming videos and photos to earth. Continue reading Verizon Plans to Launch New Internet Data Service for Drones