Netflix and LoveFilm have both struck deals with big Hollywood studios as the online streaming services compete to snap up television and film rights.
Amazon-owned LoveFilm has agreed a tie-up with Disney to offer such film classics as Dumbo, The Prince and the Pauper and Bedknobs and Broomsticks to its customers on demand.
LoveFilm's deal is not exclusive as all the online pay-TV streaming services are buying up movie rights.
BSkyB, which runs Now TV, recently expanded its deal with Disney and launched a Sky Movies Disney channel.
Netflix's new deal is with Dreamworks, the creator of the Shrek (pictured), Madagascar, Kung Fu Panda and How to Train Your Dragon franchises.
Subscribers to Netflix will get access to about 300 hours of new programming from Dreamworks from next year.
Netflix, which claims to be the world's biggest streaming service with more than 30 million subscribers, has already commissioned an original children's series from Dreamworks, based on the forthcoming movie Turbo.
Both Netflix and Amazon base their European operations in Luxembourg in order to minimise their corporation tax bills.