Amazon CEO Jeff Bezos shows off his company's new Fire smartphone at a news conference in Seattle, Washington June 18, 2014.
IN PHOTO: Amazon CEO Jeff Bezos shows off his company's new Fire smartphone at a news conference in Seattle, Washington June 18, 2014. Bezos unveiled a $200 smartphone called "Fire" on Wednesday, equipped with a 3D-capable screen and an ability to recognize music and TV shows, hoping to stand out in a crowded field dominated by Apple Inc and Samsung Electronics. REUTERS/Jason Redmond (UNITED STATES - Tags: SCIENCE TECHNOLOGY BUSINESS TELECOMS TPX IMAGES OF THE DAY) REUTERS/Jason Redmond

Amazon and Google have become increasingly competitive as the two companies make their move on each other's turf. Amazon has been working on a new ad strategy that can give Google's Adwords a run for its money. Google, on other hand, has been moving into retail with its Shopping Express service challenging Amazon's retail platform. Not only this, Amazon has been working on its Twitch acquisition which can go against YouTube potentially. Who will be the next big Internet giant? Will it be Google or Amazon?

Data is power - both Amazon and Google have it. Amazon is best known for its retail reputation amassing millions of customers. In turn, the company has built a considerable database of customer profile and information. Google, on the other hand, has been a leader in the search engine business. It remains the leading platform with data from user search across the globe. According to analysts, if Amazon chooses to use its customer data with targeted advertising it can be a formidable opponent of Google. In the same way, Google's user search data can also be useful and threatening to Amazon should it expand to retail.

The competition appears to intensify as Amazon is buying Twitch for $970 million according to The Motley Fool. This is slightly lower compared to the YouTube deal amounting to $1 billion. The deal did not push through thus Amazon's move with Twitch. The company will have total control over Twitch - the company has been gaining momentum in the video gaming industry. It has become the leading video platform as well as community for gamers across the globe.

According to Venture Beat, Twitch is a strategic move for Amazon. The company can build its retail platform around Twitch targeting gamers. Twitch reportedly had 55 million unique last July. Amazon stands to take advantage of this broadcasting potential then YouTube will have unique competitor at bay. It may not push Amazon past YouTube in an instant but Twitch is a great addition to its advertising inventory. This may be a threat to YouTube and Google in the future.