Amazon Set Top Box Competitors: Xbox One and Playstation 4
Microsoft and Sony sell a lot of video game consoles, and many people are using these as their video streaming box. In fact, at one point the Playstation 3 was named by Netflix as its biggest TV-connected platform, worldwide. Amazon Instant video is also available through video game consoles.
So if you’re Amazon looking to gain a foothold in the living room, the only way you’re going to get those Xbox 360, Xbox One, PS3 and PS4 owners to connect an Amazon set top box is to give it to them for free with their Prime membership.
However, AMZN has an opportunity to push the Amazon set top box as an inexpensive streaming box for homes that don’t have a console. And if it goes with the ability to run Kindle apps, it could also make a serious play for homes that would like to have a casual video game console (parents of young kids, for example) but don’t want to shell out $499 for an Xbox One plus $50 or more for each game.
As of this writing, Brad Moon did not hold a position in any of the aforementioned securities.