Amazon dumps rival Apple and Google streaming devices

Amazon.com has announced it will end the sale of Apple TV and Google Chromecast video-streaming devices because those products do not work well with its own Prime Video service.

The move, which makes obvious sense in that the products from Apple and Google compete directly with Amazon's Fire TV devices, is also a head-scratcher in that the e-tailing giant has decided to end the sale of the popular items (Oct. 29) as it moves into the important Christmas selling season.

According to Parks Associates, nearly 20 percent of U.S. households with broadband own at least one video-streaming box, while eight percent own a stick. Among those same households, Roku devices are used most often (37 percent) followed by Google (19 percent), Apple (17 percent) and Amazon (14 percent).

Michael Pachter, an analyst at Wedbush Securities, told Bloomberg that Amazon's decision "was a bad move" and "sends the wrong signal to consumers."

According to Mr. Pacheter, only one-in-five Amazon customers are Prime members, so limiting the choices of the vast majority so that it can promote its own devices may wind up working against the e-tailer.

Dan Rayburn, a principal analyst with Frost & Sullivan, was also critical of Amazon. He told The Seattle Times that Amazon's stated rationale is unconvincing. "To me, this is anti-choice," he told the paper. "They are making a strategic choice for their ecosystem."

Photos: Amazon, Apple, Google

• Amazon to ban sale of Apple, Google Video-Streaming Devices - Bloomberg
• Amazon to end sale of rival streaming-media players - The Seattle Times (tiered sub.)
• Amazon bars sales of Apple and Google streaming devices - The Financial Times (tiered sub.)
• Amazon, Apple, Google, and Roku dominate streaming media device market with 86% of sales - Parks Associates