[erikwiffin]

Amazon has created a similar service for a lower price.

Amazon Prime gives you unlimited access to a large part of their video catalog. For $79 a year instead of Netflix's $7.99 * 12.

[MichaelApproved]

Amazon's service will eventually be similar, if not superior, but right now their limited content keeps them from truly competing with Netflix.

I believe Amazon is simply using this as an opportunity to learn the ins and outs while also ramping up their capacity to stream.