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Amazon and Netflix to go head-to-head on original content

Online retail giant Amazon is hot on the heels of Netflix as it works to create original content for its streaming video service.

This time the house that Jeff Bezos built is looking to pilot its own dramas, putting it in direct competition with Netflix's popular shows like "House of Cards."

Amazon CEO Jeff Bezos
Getty Images
Amazon CEO Jeff Bezos

Amazon announced two new hour-long dramas that will be available on Amazon Instant Video. This is in addition to the comedies it added last April.

Does Amazon have an inherent advantage since it already has its own tablet, and it offers free shipping as part of Amazon Prime's unlimited content? Samantha Murphy Kelly, tech reporter at Mashable, says that's not an issue: "Consumers will go where their favorite shows are."

—By CNBC's Christina Medici Scolaro