HBO has reached an arrangement with Apple, where a major rift exists with NBC. In a new deal, HBO has achieved "variable pricing" for the sale of its shows on iTunes, allowing it to sell some at $1.99
an episode and others at $2.99. The deal marks the first time Apple has allowed a programmer to sell TV episodes for more than $1.99. HBO shows now on iTunes include all 94 episodes of "Sex and the
City" (at $1.99 each) and seasons one and six of "The Sopranos" (at $2.99 each).
A call to Apple was not immediately returned.
NBC has lobbied for "variable pricing," and
Apple's unwillingness to grant it led to a breakdown in negotiations. The network pulled its shows from the iTunes store last year.
Late last week, NBC Universal CEO Jeff Zucker told FT.com:
"We think there should be a difference between an episode today of "The Office" and a library episode of something, whether it be "The Office" or something that was made 20 years ago."
Zucker
said he remains hopeful that NBC will be able to reach a "variable-pricing" deal, adding that it was curious why Apple is allowing tiered-pricing for NBC Universal's films but holding to the $1.99 per
episode for the TV content.
advertisement
advertisement
Before the network's shows were yanked, episodes of "The Office" were routinely among the most purchased of all iTunes content. It's not clear whether NBC would
accept $2.99 for episodes of top shows or would seek a higher price. NBC did not immediately return a call seeking comment.
To be determined: whether the HBO deal may give NBCU--and for that
matter, other programmers--leverage in looking to alter pricing structures.
In regard to other HBO programming on iTunes, episodes of "The Wire" and "Flight of the Conchords" are going for $1.99
each. "Deadwood" and "Rome" are $2.99 each.
Unlike NBC's deal--in which an episode of "The Office" was made available just after it ran on the network--going forward, HBO's deal calls for its
shows to be made available after (or the same day as) they become available on DVD.