Apple set for iTunes movie rentals

Stephen Withers
Monday, 31 December 2007 04:00

Business IT - Technology

Apple will use Macworld Expo to announce a movie rental service through the  iTunes store, according to an entertainment industry paper.

According to Variety, Fox and Disney will be Apple's initial major studio partners for the new service.

Paramount, Lionsgate and MGM may also participate, but Sony, Universal and Warner Bros are not expected to offer rentals via iTunes.

Prices will reportedly be in the $US2 to $US5 range for 24-hour rentals.

The Financial Times reports Apple and Fox have already signed a rental contract that will also see the inclusion of FairPlay-protected content on Fox DVDs allowing transfer to a computer and then on to a video-capable iPod.

While existing movie rental services only work with Windows PCs, iTunes rentals would be compatible with Mac and Windows.

The introduction of rental content to iTunes marks a significant change in Apple's thinking. The company has previously maintained that people want to own media, and has so far resisted calls to introduce rental or subscription offerings.

In related news, Wal-Mart shuttered its movie download service shortly before Christmas. Previously purchased movies remain playable by their owners.