NEW YORK (CNNfn) - Amazon.com named Audible Inc. Monday as its exclusive provider of Internet-spoken audio services and will take a 5 percent stake in the company.|
In exchange for promoting Audible's (ADBL: Research, Estimates) content and services, Amazon.com (AMZN: Research, Estimates) will receive $30 million in payments from the company during the next three years.
The deal comes just days after Amazon announced a cut of 2 percent of its employees.
Audible provides spoken-audio services for download or playback from the Internet to personal computers and mobile digital devices, including speeches, lectures, lessons and radio programs.
The company will deliver audio to Amazon's 16 million customers from content partners such as The Wall Street Journal, The New York Times, The Economist, as well as books by Stephen King, Shakespeare, John Grisham and other best-selling authors.
In trading Friday, Amazon fell 5-1/4 to 61-11/16 and Audible edged down 1/8 to 14-1/2.