Apple Compromising On iTunes Movie Terms?
Businessweek reports that Apple may be close to striking a deal with most of the major movie studios to provide movies for the iTunes store.
Apple may have had to compromise on a number of issues including pricing in order to get everyone on board. Apple has reportedly agreed to pay studios "closer to the $17 wholesale price" that they get on physical DVD sales. In return, studios may offer online releases on the same day as their DVD debut. Businessweek states it's unclear if Apple will increase end-user prices or simply absorb the cost in an effort to promote iPod and Apple TV sales. Apple currently charges $14.99 for new releases and $9.99 for older titles.
Businessweek's sources also claim Apple's movie rental service will be priced at $3.99 for a 24 hour rental, which is consistent with recent rumors.
Apple may have had to compromise on a number of issues including pricing in order to get everyone on board. Apple has reportedly agreed to pay studios "closer to the $17 wholesale price" that they get on physical DVD sales. In return, studios may offer online releases on the same day as their DVD debut. Businessweek states it's unclear if Apple will increase end-user prices or simply absorb the cost in an effort to promote iPod and Apple TV sales. Apple currently charges $14.99 for new releases and $9.99 for older titles.
Businessweek's sources also claim Apple's movie rental service will be priced at $3.99 for a 24 hour rental, which is consistent with recent rumors.
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54 months ago
But if your going to buy a whole movie, will Apple offer an easy-to-use burn-to-DVD option if you want to do that with a downloaded movie ?
If they can expand both the sales and rentals to other countries too, that'd be really useful.
Hopefully they'll up the quality a bit too.
Perhaps if they the offer that $4 off a purchase of the movie if you like it ?
If they can expand both the sales and rentals to other countries too, that'd be really useful.
Hopefully they'll up the quality a bit too.
$4 for 24 hours will flop bigtime.
Perhaps if they the offer that $4 off a purchase of the movie if you like it ?
54 months ago
If the 3.99 deal is true, I really do not care about this deal.
I have the same deal from my cable company 3.99 or 4.99 for HD movies instantly. Yes I can not watch them on my IPOD but im not really interested in that anyway as the older models can barely live through one movie.
If Apple wants to make this a hit they have to make it cheaper! There competting with some MAJOR players and charging 17.00 for a reduced quality version is un-acceptable to me..
and 24 hrs stinks as well. Make it at least a week rental. I love apple just not that much...
I have the same deal from my cable company 3.99 or 4.99 for HD movies instantly. Yes I can not watch them on my IPOD but im not really interested in that anyway as the older models can barely live through one movie.
If Apple wants to make this a hit they have to make it cheaper! There competting with some MAJOR players and charging 17.00 for a reduced quality version is un-acceptable to me..
and 24 hrs stinks as well. Make it at least a week rental. I love apple just not that much...
54 months ago
IF this is true it would be a huge deal, not just for Apple. The Writers Guild of America is striking right now because writers get nothing, or hardly anything, for content they wrote that's sold on the internet.
So far the studios are saying "we'd like to pay you, but wen don't know how much we should pay you, so here is nothing instead." If they suddenly make the same amount, or close to, on internet sales that they previously made on DVDs, that line won't fly anymore.
Not saying it won't happen, but it's a mighty weird time to do something like this, if you are a studio head because it would essentially give your opposition (WGA) even more reason to stay on strike.
So far the studios are saying "we'd like to pay you, but wen don't know how much we should pay you, so here is nothing instead." If they suddenly make the same amount, or close to, on internet sales that they previously made on DVDs, that line won't fly anymore.
Not saying it won't happen, but it's a mighty weird time to do something like this, if you are a studio head because it would essentially give your opposition (WGA) even more reason to stay on strike.
54 months ago
Oh no! give us more than 24hrs! At least give us 5 days to watch a flick!
I think 24hrs will be a mistake. There are too many times, things come up that I need more time. Please, let this part be wrong!
I think 24hrs will be a mistake. There are too many times, things come up that I need more time. Please, let this part be wrong!
54 months ago
taking a hit on the pricing of the content to maximise the available downloadable video should increase ipod sales and apple tv for sure
remember a device is limited to the content on it. more stuff on itunes= higher ipod sales.
and its with the electronics devices that they make the higest margins.
remember a device is limited to the content on it. more stuff on itunes= higher ipod sales.
and its with the electronics devices that they make the higest margins.
54 months ago
Why rent for $3.99 when you can do Redbox for $1?
Yeah....I really think all these online rental schemes are making users pay a premium for not having to leave their home. C'mon....$3.99 for only 24 hours! Make it $1.99 at least, or give people 72 hours to view it.
Redbox is interesting.....at only $1/day for a rental.
-Kevin
54 months ago
Yeah....I really think all these online rental schemes are making users pay a premium for not having to leave their home. C'mon....$3.99 for only 24 hours! Make it $1.99 at least, or give people 72 hours to view it.
Redbox is interesting.....at only $1/day for a rental.
-Kevin
$3.99 is what you pay at blockbuster or for pay-per-view. Why not $3.99 for 24 hours? It's the same price, but you get your movie instantly without leaving home, and you have a larger selection of movies than pay-per-view.
54 months ago
Most new release DVD's can be found at some b&m retailer for $14.99 to $16.99, and for that you get a optical copy, a nice package and maybe a booklet. Why would I pay the same amount to download? I just can't see Apple agreeing to a price hike for new releases, unless it is to prove to the studios that there is a limit to how much people will pay for a download.
As for $3.99/24 hr rentals, it's the same as I pay to Comcast for new OnDemand content. It's the going rate...nothing sexy about it.
hohum
As for $3.99/24 hr rentals, it's the same as I pay to Comcast for new OnDemand content. It's the going rate...nothing sexy about it.
hohum
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