Analyst: two major studios seen joining Apple’s iTunes Store

“Two major motion picture studios have indicated that they expect to join Walt Disney in offering their film content on Apple Computer’s iTunes Store within six months, says one Wall Street analyst,” Katie Marsal reports for AppleInsider.

“PiperJaffray analyst Gene Munster made the comments in a research note on Tuesday, after having met with four of the six major film studios to discuss various topics, including issues related to offering content on services such as iTunes,” Marsal reports.

Marsal reports, “In a summary of his findings, Munster said he believes there are three key reasons why other studios are taking their time in opening up film libraries to iTunes — mainly ‘retaliation’ concerns on the part of retailers, copy protection issues, and a desire to have a more flexible pricing model… ‘A couple of the studios indicated that they expect to have content on iTunes within six months, but it may require some tweaks to Apple’s pricing guidelines to get them there,. Munster told clients. ‘We would not expect additional studios to sign on with iTunes before the holidays, however, as most studios recognize that this change could disrupt their holiday business at retailers.'”

Full article here.

Related articles:
Target complains to studios about iTunes Store movie download prices – October 09, 2006
Report: Apple and Wal-Mart in discussions over iTunes Store alliance – September 29, 2006
Wal-Mart threatens retaliation against Hollywood studios if they sell movies via Apple’s iTunes – September 22, 2006
Disney’s remarkable 1st week iTunes movies sales should have studios clambering aboard Apple train – September 20, 2006
Disney sells 125,000 movie downloads via Apple’s iTunes Store in first week – September 19, 2006
Apple debuts iTunes 7 – September 12, 2006

16 Comments

  1. Munster said he believes there are three key reasons why other studios are taking their time in opening up film libraries to iTunes — mainly ‘retaliation’ concerns on the part of retailers, copy protection issues, and a desire to have a more flexible pricing model.

    These guys are NUTS! They are worried about copy protection issues? Why because DVDs are so safe? Go to any torrent site and you can download nearly any movie with full DVD content! Perhaps having a legal way to download movies will discourage piracy! It’s quicker, and with guaranteed quality.

    As for retailer retaliation, that should be illegal. Isn’t that how Microsoft got into trouble? Bullying people into going their way?

    And as for the price flexibility, go into a WalMart today, and see how much flexibility there is there. New flicks are almost uniformly the same price. The only flexibility I see is when they offer an old movie for $5. Not only that, but they will make more money as they don’t have to print packaging, pay truckers to ship the products, etc.

    Wake up world!

  2. This delay is no big deal. Just like Apple brought out the iPod to take advantage of the fact that people where ripping CDs, Apple will sell tons of iTVs to people who are ripping their DVD collections to their hard drives. The iTunes movie store is just a bonus feature for the iTV.

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