“If earlier reports are accurate, Steve Jobs will soon be in the movie rental business,” Dan Frommer reports for Silicon Alley Insider.
Frommer asks some yet-unanswered questions, including:
How much will rentals cost? In June, when the FT said Apple was in “advanced talks with Hollywood’s largest movie studios” to offer rentals, the price was $2.99 for a 30-day period. Most Amazon Unbox rentals range from 99 cents to $3.99 for a 24-hour viewing period. Our cable company usually wants $3 to $5 for an on-demand rental. Apple’s current iTunes movies from Disney cost about $10 to buy.
Can you rent to own?
Will rented movies play via the Apple TV?
Will Apple sell or rent movies via its Wi-Fi iTunes store for iPhones and iPod touches?
Will Apple offer HD movies for sale or for rent?
How will Blockbuster, Amazon, Netflix, Microsoft, Sony, cable, telco, and cellphone companies, and other rivals respond? Apple’s iPod line dominates the portable media player market, and the iPhone is taking a big chunk of the smartphone market. And now, it appears, there will finally be digital rentals compatible with Apple’s gadgets. Surely Jobs’ rivals haven’t been sitting around doing nothing. How will they fight back? Lower rental prices? More portability/less DRM? This should be a fun one!
Full article here.
A quick look at the smartphone and digital media player markets show quite clearly that Blockbuster, Amazon, Netflix, Microsoft, Sony, cable, telco, cellphone companies, and other potential rivals most certainly could have been and still are sitting around doing nothing. Sounds like a new group of companies are about to get run over by Apple. At least they can ask those who’ve been already pancaked by Apple’s iPod+iTunes+iPhone (Microsoft, Sony, Motorola, etc.) how it’ll feel.