23/07/2012 10:24 BST | Updated 22/09/2012 10:12 BST

Amazon To Build Massive London Research Base

Amazon has announced it will open a research and development centre in London.

The online retail giant said that the lab will help lead development on TV and film services.

It is likely that will include work on the film streaming and DVD rental service Lovefilm, which Amazon purchased in 2011 for £200m after a long partnership.

The eight-floor, 47,000 square foot Digital Media Development Centre will be built at Glasshouse yard near the Barbican, and could open before the end of the year.

Mayor of London Boris Johnson said the project was a "vote of confidence" in London.

"We know we have the talent, the space and infrastructure to make the most of the digital economy – this will be my prime message during Games time as I seek to woo even more companies," he said.

He added that Amazon's presence near to the 'Tech City' hub around Old Street station was a "feather in the cap" of the capital.

Amazon said that "London is a hotbed of tech talent".

The centre's managing director Paula Byrne said: "we are creating a British centre of excellence to design and develop the next generation of TV and film services.