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Apple Eyes VOD in Fall

11 Jun, 2007 By: Chris Tribbey

The Financial Times Web site June 10 reported iTunes was in advanced discussions with several studios about launching an online film rental service.

iTunes currently sells Paramount and Disney library titles for $9.99 to $14.99, and offers those studios' titles for $12.99 the week they are released on DVD. The new service would allow consumers to rent a movie for 30 days for $2.99, FT reported, adding that the service would allow users to move films from their computers to at least one device, such as an iPod.

FT reported that Apple was aiming for a fall launch of the new rental service.

“When you think about Apple customers they are so connected to the brand they will try anything to do with it,” one senior studio executive told FT.

Another studio executive said the proposed service would “compete against cable companies and anyone else offering VOD into the home.”

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