Apple wants to cut TV show price to 99 cents: reports

Feb 11, 2010
Apple Inc. CEO Steve Jobs announces the new iPad in San Francisco, California in January. Apple is in talks with television networks to begin selling TV shows on iTunes for 99 cents, half the current price, to coincide with the release of the iPad next month, newspapers reported Thursday.

Apple is in talks with television networks to begin selling TV shows on iTunes for 99 cents, half the current price, to coincide with the release of the iPad next month, newspapers reported Thursday.

The Financial Times and The Wall Street Journal said the talks between the California maker of the iPod, and new tablet computer and networks were ongoing and had not been concluded yet.

During the unveiling of the touchscreen iPad in late January, Apple chief executive Steve Jobs touted its TV-viewing capabilities. The iPad is slated to go on sale in late March.

The FT, citing "people familiar with the discussions," said offering some TV shows at a lower price would be aimed at testing whether a reduced cost would spur video sales on iTunes.

Single episodes of most TV shows on iTunes currently cost 1.99 dollars in standard definition and 2.99 dollars in high-definition.

The FT said some US broadcast and pay television networks had agreed to the lower prices after initially resisting Apple's push.

The Journal said had already begun testing a price of 99 cents for certain shows on iTunes.

The newspaper quoted a "person familiar with the talks" as saying the lower prices would be a bid to "ignite the video part of iTunes," which has been a small contributor to revenue so far.

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User comments : 2

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shyataroo
not rated yet Feb 11, 2010
Steve you don't make sense, first you shazz like restrict your devices, then you turn around and do this. Are you trying to make everyone love AND hate you at the same time?
Nyloc
not rated yet Feb 12, 2010
Apple touts the fact that it has a solid advantage by controlling both the hardware and software. Although this is true, what they don't control is the content itself. The iTunes Store is their attempt to at least control the distribution of content. The iPad is their attempt at doing print media better than old tech. Now they want to take on television. As with music, their best bet is to deliver TV 'better' than the old media. Their best bet is to offer only what the user wants, in an easy way and totally portable.

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