Online retailer Amazon has reportedly approached US media firms to buy programme rights for its upcoming online pay-television service.

Amazon’s Prime Instant Video service would offer live programming on demand for subscribers similar to conventional pay-TV providers, according to the Wall Street Journal report.

The latest initiative by the online retailer, would increase the number of US firms who plan for Web-based pay-TV businesses to three, to compete against existing cable and satellite providers including Sony and Verizon Communications.

Amazon spokesman Drew Herdener said that the online retailer would build selection for Prime Instant Video and create original shows at Amazon Studios.

"We are not planning to license television channels or offer a pay-TV service," Herdener said.

Amazon Prime, which rivals subscription-streaming company Netflix, offers unlimited viewing of 41,000 films and TV shows, in addition to free shipping on several items and book hiring to read on its Kindle tablet.

Last April, the company started work on its television (TV) set-top box that would stream video over the internet within its Instant Video -branded service.