Chinese e-commerce giant Alibaba Group (BABA – Analyst Report) has struck a significant content deal with The Walt Disney Company (DIS – Analyst Report), following which its shares were up 2.4% to $82.49.

Alibaba signed a multiyear license agreement with Disney to offer a non-cable, over the top (OTT) device offering “DisneyLife” services, thus bringing together customers, physical products and digital entertainment for the first time.

The device, now available for pre-sale at Alibaba’s online shopping site Tmall.com, is priced at US$125. It is a Mickey Mouse-themed streaming device and comes with a one-year subscription to DisneyLife.

The web streaming service will enable Alibaba’s Chinese customers to access Disney content, plan trips to Hong Kong Disneyland and Shanghai Disney Resort, when it opens in 2016, and access other Alibaba products and services – all as part of synergistic cross promotion.

It offers a huge assortment of Disney and Pixar’s movies such as “Cinderella”, “Frozen” and others, animation series, games, e-books, songs and travel services.

The Chinese e-commerce giant intends to expand its Internet empire from e-commerce and cloud computing to the media world and move beyond its existing interest in film assets and domestic Chinese media.

Prior to this, the company acquired Hong Kong’s leading English language newspaper, South China Morning Post (SCMP) and other associated media assets for $266 million. In November, Alibaba acquired video service Youku Tudou Inc. to stream more content to Chinese Internet users. The company also invested in Paramount Pictures’ latest “Mission Impossible” movie through its Alibaba Pictures Group unit.

The latest move is yet another attempt to achieve its goals and will also help it to compete more effectively with Tencent Holdings (TCEHY – Snapshot Report) and Baidu Inc. (BIDU – Snapshot Report) to attract viewers.