In a move which exploits their status as a film maker as well as a manufacturer of the electronic display equipment, Sony is to stream some of its films over the internet from this Autumn in the US.

Designed to increase their competitive advantage in the flat panel market, the service will only be available to consumers with the latest Bravia LCD TV's.

Hancock, staring Will Smith will be the first film Sony offer for download and critical to the success of the service, movies will be offered before general release on DVD.

With intense competition in the flat panel LCD arena, Sony, along with other manufacturers are looking at innovative ways to gain a competitive advantage. Film downloads are likely to play a pivotal role in Sony's entertainment strategy with their PlayStation 3 games console becoming a medium for such purposes.

Despite their heavy investment in Blu-ray, Sony recognize that the way consumers watch films is in a considerable state of flux. Competition from satellite and cable providers as well as other internet streaming services indicate that Sony's return on investment from Blu-ray may be minimal.