Brian GarnerWednesday, the Financial Times reported that Apple may begin selling some US television shows over iTunes for $1. The pricing test will apply to a limited number of shows in the beginning as a way to test whether reducing the cost of programming increases sales.
The price reduction is expected to begin alongside the retail debut of the iPad in April. According to the Financial Times:
"Some television networks agreed to the lower prices after months of negotiations, and having initially resisted Apple’s push. Media executives are under pressure from declining DVD sales and cut-rate rental services such as Redbox, that offer rental DVDs for $1."
"It is not yet clear which or how many of the US free-to-air and pay-television networks have agreed to the lower pricing. Some media executives said they have not been approached with the new prices."
Currently, iTunes charges $1.99 for standard definition TV shows and $2.99 for high definition content. Apple is believed to be focusing on standard definition price reductions due to the iPad's 4:3 aspect ratio and non-HD resolution which lends it to standard definition programming.
In late 2009, reports surfaced of an Apple-led push for $30-a-month TV subscription plans via iTunes, but its plan to reduce single-show prices seems to render this less likely.
The Financial Times reports that Apple has been careful to avoid linking its new TV subscription and pricing concepts to its Apple TV set-top device in an attempt to reduce the perceived threat that TV-over-iTunes could pose to traditional TV services.
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71 Comments
Sounds like a winner. Of course the naysayers will still say $1 is too much...
first off the HD videos on itunes are 720p, same as the ipad.
second, i think a drop is an excellent idea. make it $1 for SD and $1.50 for HD (only not that two file thing which just eats up space). also get nets like Showtime to put up the episodes as they air and not when the DVD comes out. toss in some season pass only extras even.
third, I still think a subscription plan is a good idea if the math can be worked out. use the same files but with an expiration or an 'at a time' limit (you can always download it again).a lot of folks would go for it if the price was right, the availability was quick and there were no ads.
Sounds like a winner. Of course the naysayers will still say $1 is too much...
If Redbox really is really seen as competition as the article speculates, I think the real solution would be to offer episode rentals at half that. And it would still be more money than they can get through several other rental schemes.
[CENTER]Thanks Apple... But No Thanks
I prefer watching HD TV episodes free of charge on a far larger display.[/CENTER]
Only Disney-owned (SJ its largest shareholder) ABC will go for this. I don't see NBC in for this at all. But who watches these more than once anyway? Streaming TV shows is the way to go. IMHO.
Besides you can watch them all now in flash for free.