Apple Embraces Movie Rental Business

According to a report in the Financial Times, Apple has inked a deal with News Corp.’s 20th Century Fox that will bring a new video-on-demand service to iTunes. The companies are expected to announce the deal on January 14 at MacWorld.The agreement reportedly will allow consumers to rent, for a limited time, just-released Fox movies via digital download from iTunes. Although Apple already peddles newly released movies through a deal with Disney, this is the first time iTunes will be renting rather than selling movies digitally.

MGM, Lionsgate, Viacom, and Paramount restrict their digital libraries to older titles. However, the Fox deal could open the floodgates for new release rentals. Apple is reportedly in talks with Paramount, Warner Bros., and Sony to make their new releases available on iTunes for rent or purchase.

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Add comment December 27th, 2007