Amid growing buzz that online games are poised to benefit from the recession as people seek out escapist forms of entertainment, Amazon.com is making a big splash in the space today. The online retail giant today launched a new store with more than 600 downloadable PC games for less than $10. In jumping into the business, Amazon will go head to head with companies like RealNetworks, Big Fish Games, and PopCap that distribute online games.

The Amazon Game Downloads store went live this morning. Games are priced at $6.99 or $9.99, and for the next week Amazon is offering three full version games for free -- “Jewel Quest 2,” “The Scruffs” and “Build A Lot.” Every game comes with a free, 30-minute trial. Amazon says store is in beta and "will continue to evolve over time."

Gamasutra has more on the Amazon Game Downloads store, noting it follows the company's acquisition of Reflexive, an online casual games developer and portal, in October 2008. Gamasutra talks to Greg Hart, Amazon's vice president of video games and software, who tells the blog that Amazon has been working on technology for its tax software and other types of software downloads and will be putting that technology to use in downloadable games.

Hart was confident about Amazon's chances for success in the highly competitive online games market.

As my colleague John Cook noted today, companies like Seattle's Big Fish Games are enjoying unprecedented success and are in full-on hiring mode. The Wall Street Journal explores internet games and other types of web-based entertainment in an article today, noting that "Some purveyors of online entertainment say business has never been so good for them." Amazon's entry in the space could certainly shake up the market, given the company's brand and reach.