iPhone at the Movies - Video Rentals on the Way in the Fall
Home » iPhone at the Movies - Video Rentals on the Way in the Fall
According to a recent article in the Financial Times, Apple is in advanced talks with Hollywood's largest movie studios to enable iTunes users to play rented movies on their computers, as well as one additional device, like their iPhone. The service, set to be released in the fall of 2007, would have consumers pay $2.99 for a 30-day rental.
The more studios Apple can sign, the better access it could get to premium content. While some studios have shied away from from being tied into Apple's download-and-own service (for fear it may impact DVD sales), such concerns would not come into play when it comes to video-on-demand rental services. While video-on-demand or VOD is a growing revenue stream for cable and satelitte operators, none of the major players like Comcast, DirectTV, Microsoft XBox Live, Movielink or Unbox, have a customer base as large as Apple. One studio executive was quoted as saying, "When you think about the Apple customers they are so connected to the brand they will try anything to do with it."