Amazon also announced that it is launching a service to sell TV shows for download, the latest move in a trend by online retailers to take advantage of the growing demand for digital content.
The movie rental service will feature more than 2,000 titles, including current hits such as "The Dark Knight" and "Indiana Jones and the Kingdom of the Crystal Skull," as well as older movies such as "The Godfather" and "Citizen Kane."
Movies can be rented for $2.99 for a 24-hour period or $3.99 for a 48-hour period. HD movies can be rented for $3.99 for a 24-hour period or $4.99 for a 48-hour period.
The TV show sales service will feature more than 1,500 episodes from more than 70 different shows, including current hits such as "Lost," "Desperate Housewives," and "Mad Men," as well as older shows such as "Seinfeld" and "Friends."
Episodes can be purchased for $1.99 each or in a season pack for $24.99. HD episodes can be purchased for $2.99 each or in a season pack for $39.99.
Amazon's move into HD movie rentals and TV show sales is a challenge to Apple's iTunes Store, which has been the dominant player in the digital content market.
Apple's iTunes Store offers more than 10,000 movies for rental, including more than 1,000 HD titles. Movies can be rented for $2.99 for a 24-hour period or $3.99 for a 48-hour period. HD movies can be rented for $3.99 for a 24-hour period or $4.99 for a 48-hour period.
The iTunes Store also offers more than 30,000 TV show episodes for sale, including more than 3,000 HD episodes. Episodes can be purchased for $1.99 each or in a season pack for $24.99. HD episodes can be purchased for $2.99 each or in a season pack for $39.99.
It remains to be seen whether Amazon will be able to overtake Apple in the digital content market. However, Amazon's move into HD movie rentals and TV show sales is a sign that the company is serious about competing in this market and that it is committed to providing its customers with a variety of options for purchasing and viewing digital content.