Amazon takes on Netflix...and probably will win

With the announcement of the Kindle Fire tablet, Amazon threw something else in that may be bad news for Netflix, Amazon Prime.  

Amazon is offering to bundle the Kindle Fire with a free one-month subscription to Amazon Prime. In addition to free two-day shipping on any purchase from the store, Amazon Prime customers receive "instant commercial-free streaming of over 11,000 movies and TV shows at no additional cost." After the free month is over, Fire owners can sign up for Prime which costs $79 annually.

Let's spell that out: Amazon streaming movies cost $79. Netflix's streaming movies cost $96. And Netflix can't offer the free shipping on a seemingly infinite amount of consumer goods.  For the over one million customers who just left Netflix, they might now have a place to go.  I would have a very difficult time staying with Netflix if I were a member.  Amazon is cheaper, almost the same content and free two day shipping on everything else you buy there.