Tech Giants Are Making A Huge Play For Online TV

Following the success of Netflix and a fresh push by Amazon in online video, the battle of the tech giants is now moving into television with Microsoft, Yahoo and AOL, among some of the latest players.

These moves come as a growing number of consumers are turning away from traditional television to online services such as Netflix, and with those providers looking to draw viewers by offering new, and not just recycled programs. Inspired by Netflix's "House of Cards," a blockbuster with a reported investment of $100 million, Yahoo is seeking writers and producers for four comedy programs with per episode budgets of at least $700,000, according to The Wall Street Journal.

Amazon, which has already seen some success with its "Alpha House," program, is now making an all-out push to expand its original offerings to ramp up its challenge to Netflix and Hulu, which also produces original programs. Sony is getting in on the act as well, in a move that seems to undercut its Hollywood studio operations. The company's PlayStation Network is commissioning its first original drama series called "Powers," based on a comic book of the same name, combining the genres of superhero fantasy, crime noir and police drama. AOL, looking to find a new niche, is extending four original programs, including one on the world of ballet in New York produced by actress Sarah Jessica Parker.

"The success these series have seen is on par with top-tier cable programs reaching sizable audiences who are highly engaged, making them incredibly attractive for advertisers and establishing a viable alternative to place dollars," says Charles Gabriel, an AOL executive for global video sales. "We have seen a strong response from top brands looking to reach consumers they may be missing on TV." Analysts say the potential ad revenues are also being eyed by Yahoo.