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Is Apple Eying Big A La Carte Content Push?

  • Bloomberg, Wednesday, August 25, 2010 1:31 PM
With an eye on Netflix and Hulu, Apple is in advanced talks with News Corp. to let iTunes users rent TV shows for 99 cents, sources tell Bloomberg. Per the deal, "Viewers would be able to rent programs from News Corp.'s Fox for 48 hours," three separate sources tell Bloomberg. Meanwhile, CBS, NBC Universal and Walt Disney also are reportedly in talks about joining the effort.

"The content deals would give Apple users access to some of the most-watched shows on TV and increase the appeal of its devices, including the iPad, iPhone and iPod Touch," Bloomberg reasons "Adding 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 Hulu, which offer their own online video services." According to David Bank, an analyst at RBC Capital Markets, "This is a smart move by everyone ... Something like this a la carte rental service is an incremental opportunity." Episodes will likely be available to Apple's rental service within 24 hours of their air dates and will be commercial-free.



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