Fox and Apple in Movie Distribution Talks

The studios actually have an edge on Apple this time. The popularity of XBOX makes this a possible paradigm shift for online video sales if Apple doesn't get more studios on board soon.

Speculation: Nintendo Wii and Sony Playstaion 3 come out within two days of each other. so MS decided to finally release HD movie rentals and HD TV purchases to furthur solidify the XBOX dominance. This, hopefully, will cause Apple to release it's own 720p HD* content on the iTunes Store to maintain it's video store dominance.



* No need to point out your prescriptivist notion that 720p is Enhanced Defintion. it's higher than standard defintion, ergo it's High Defintion by comparison. WE called it high until even higher defintions were available.

I believe in greed of US movie companies. Not in their ability to make intelligent decisions (long or short term alike). And Apple knows how to drive a hard bargain.

And if this round of nagotiations fail - just give it some time and soon enough we will see how XBOX service will play out (read: be much less sucessfull then iTunes Store). And then the choice will be simple: losing revenue to P2P networks or selling it on iTunes.

I expect that this might in the worst case delay movie studios coming to iTunes, but they will come. Apple has already outsmarted them all and they actually have no choice. Acceptance and eating a humble pie on the way to contract signing in Cupertino will take some time.

"The fact that they only have Disney is because they stuck to their ground."

And because Steve Jobs is now one of Disney's largest stakeholders since it bought Pixar.

"I think this is the difference between Apple and Microsoft. Apple has already innovated, Microsoft is trying to play catchup. In order to catch Apple, Microsoft will have to give into demands, where Apple already has the success and has set it's guidelines in stone."

Exactly. Apple could easily have every major studio on board if they'd let them walk all over them. The fact that they only have Disney is because they stuck to their ground.

After I submitted that tip, I saw something later that said that Apple had sold nearly 500,000 movies through iTunes in 8 weeks (that's about 9,000 a day), amounting to $4 million in revenue for Disney.
http://www.appleinsider.com/article.php?id=2222

I think this is the difference between Apple and Microsoft. Apple has already innovated, Microsoft is trying to play catchup. In order to catch Apple, Microsoft will have to give into demands, where Apple already has the success and has set it's guidelines in stone.

This is why the Zune marketplace limits how many devices you can put music on, were an iPod can play music from any iTunes account.

That said, given it's success with NBC/Universal with television shows. I think that Apple will easily get support from Universal. Paramount a little further down the line, and most likely Warner and possibly Sony some time late next year.

Sony is really going to depend on it's feelings of isolation. If the company cares more about money any given week, Apple has it in the bag.