Bloomberg: Apple readying 99-cent TV show rentals

By on Aug 24, 2010 at 5:30 PM
General August 24, 2010

Bloomberg is reporting that Apple is in “advanced talks” with News Corp., CBS Corp., and Walt Disney Co. to allow iTunes users to rent their programming for 99-cents an episode. The report reads: “The content deals would give Apple users access to some of the most-watched shows on TV and increase the appeal of its devices [...] Added programming also would build on iTunes’ role as the biggest retailer of music and mobile applications, and help Apple ward off companies like Netflix Inc. and Amazon.com Inc., which offer their own online video services.” The move is being billed as “smart” by RBC Capital analyst David Bank, who states that rental service opens new opportunities without upsetting the “existing ecosystem.” The idea of a la carte TV does sound appealing… although we would miss live sports. What do you think? Could you replace your cable service with a per show type system, or would you miss surfing all 800 channels?

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  • Eric S

    I’d still need a way to get football…

    • stickyd

      You could always subscribe to ESPN or the NFL’s online streaming of all games. For the CBS, ABC, FOX and NBC games, they are all available free OTA and in HD with a HD antenna.

  • Android

    What a fail. Free is where it’s at. Android!

    • bonesb

      So, with that business model we’d all be rubbing sticks together and using smoke signals again…

  • jk

    No sports…….no deal

  • Jahu

    Pay for episodes? Pay on cable/satellite, miss it and pay it again on iTunes? Paying for freely available tv shows is crazy, but then again most will :)

    • Jesus H Christ

      Yep. If it has an Apple logo on it people will pay. Plus they will actually think it’s a great deal.

      • bonesb

        And what, maybe 400 people (including myself) will read your comment and think it’s clever?

    • Roman

      You’re missing the point, I think the idea is not to pay cable but pay for every TV show episode on demand.

  • The Big Enchilada

    And you think that Google is going to offer free Network Television Programming and Movies?…..LMAO

    Royalties, Rights, Syndication, etc……have different meanings in Hollywood that they do in Silicon Valley.

    • Jesus H Christ

      Why not just set us a PC with media center and use it as a DVR. Windows 7 Media Center is amazing. Plus it’s FREEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEE

      • Eric B.

        You’re still paying for cable.

      • trooth

        If you are just wanting the cheapest deal possible just get an antenna and Windows 7 to DVR ABC, CBS, FOX, NBC, PBS for free in high definition. You can record 100 episodes for free or pay $100 for that from Apple.

  • http://Intomobile.com Marin

    I just don’t see these services as being truly competitive yet. Sure, the a la carte model seems super attractive but it still doesn’t compare to a normal cable setup with DVR and on-demand. You’ll probably wind up paying the same amount per month to four or five different services (apple, netflix, apps, MLB) and you still won’t have a great experience.

    The sports angle is often brought up but there are compelling online-only alternatives. Still, I bought NBA broadband last year for $150 and most of the games I wanted to see were blacked out for cable. I think the MLB one is the same, but could be wrong.

    • Jesus H Christ

      I toally agree. Why pay 99 cents an episode when you can have Netflix for $9 a momnth. Yea I know new shows arent’t avalible right away. Like i said us a PC as a DVR for free over the air shows. I know it doesn’t have an Apple logo on it, but it works great.

  • The Big Enchilada

    For TV Programming it makes no sense. People have DVR’s etc……

    For movies, it would just be an alternative to Pay Per View, Redbox etc and probably be successful.

  • Dan

    So it’s true… you have to be rich to own and use Apple products!

  • Alias

    Need my football too!

  • Eric

    If it is true that the new Apple TV isn’t going to support at least 1080i, then the device is going to fail regardless of what they charge for TV shows.

    I agree with what others have said: I need my live sports. Football, basketball, baseball (in that order).

    My opinion: a set top box, like Apple TV or Google TV, is just going to be an enhancement to whatever service you are using now (over the air, cable, dish, etc). I don’t think it is impossible, but I think it will be a while before Apple or Google has a set top box that will completely replace the need for OTA/cable transmission.

    • Eric B.

      From a marketing standpoint, you’re right. If consumers see “no 1080″ and go “I’m out!” then it won’t work. But from a technical standpoint, it’s likely to be a dealbreak because of the tremendous lack of 1080p (or i) content, especially in the downloadable arena. 720p currently hits the sweetspot of quality and size for both providers and users who want HD-quality their networks can handle. There’s also the issue of TV’s themselves… Most HDTVs out there are “only” 720p. Forget what’s selling now: you have to look at all HDTVs sold over the last decade to know what it’s most houses. For the vast majority of people, 720p is fine. The question is: Do they know that?

      • Eric B.

        oops, typo: second sentence should read: “…NOT likely to be a dealbreaker…

      • trooth

        Most TVs are 720p? Where are you shopping at?

      • trooth

        **** 1080i and 720p came out about the same time ****

    • serpentor

      At the next keynote, Steve Jobs will sell everyone on how 720p is better than 1080. And we’ll all realize we’ve been wrong all this time.

  • Tdot34

    Would not pay $0.99 an episode unless I got to keep it forever, would pay that for a one time viewing of a movie though.

    I am surprised cable companies are not already offering this service. My provider has video on demand service, but only has new movies, not sure why they don’t do TV episodes and old movies.

    I will just continue to stream tv and movies off the internet I guess. Netflix streaming woot.

  • neo

    gime me 1080p and I’m in.

  • Jon

    Give me a usb port to plug in a hard drive for movies or a way to stream them from a NAS/server that way then i’m in, otherwise not a chance

  • http://flavors.me/alexiaj Alexia

    Why pay for it if there’s sites out there like Hulu that give it away for free.

    • thatpimprod

      yeah i mean srsly. I dont have cable and watch all my shows…

  • Hebart Rothman

    I can get those shows for free now, what idiot is going to pay 99c?

    • Mary Warsberg

      The same idiots who bought a phone that can’t get reception.

    • Jesus H Christ

      The same idiots that bought a huge Ipod Touch. If it has an Apple logo on it the sheep will swarm.

    • Kyle

      I bought one awhile back because I prefer HD quality (1080i) on a 50″ LCD screen. Can’t do that for free through any website.

  • Kyle

    I actually have an AppleTV. Have had it about 8 months. I got it because I was tired of shelling out $140 bucks a month for HD service cable service and internet. Now my bill is only $50 a month for high-speed internet. It has all the shows I watch in HD (1080i) and actually saves me around $800 a year. The picture quality is amazing on my Sony Bravia. Plus you get to keep all the episodes (since you did purchase them). It is definitely not for people who enjoy channel surfing but for me it is perfect. And during the summer when no new episodes are out, I read. Imagine that…

  • lemonjuice

    Well, I agree that Netflix pricing is the best, but their streaming selection is still pretty limited even though they constantly tell me they are expanding. Also, I have to wait until at least the DVD comes out before I can stream most TV shows, so I prefer to convert or rip DVD movies with iFunia DVD ripper pro to my MAC and enjoy on the go.

    $.99 is overpriced, but it does give a pretty unique service for the price.

  • http://www.drewrynewsnetwork.com DrewryNewsNetwork

    Keep up the good work on reporting on Bloomberg

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