Apple (AAPL) has signed a deal with News Corp’s (NWS) to rent Fox studio movies on iTunes. Apple looks at it as something of a break-through. iTunes subscribers have been reluctant to buy movies.
“Fox and potentially other studios are coming around to the idea that there is nobody out there to challenge iTunes,” said Jonathan Weitz, a principal with IBB Consulting quoted in the FT.
But, most industry experts note that Apple has not done very well selling video. A look at the iTunes site shows that most videos rent for about $12. It is hard to imagine that this is a barrier to consumers wanting to get TV and movie offerings.
The explanation may be much more simple. People do not want to watch video content on a 2 inch by 2 inch screen. It is simply too hard to see. Music listening is not "screen dependent" at all.
Video is not a "little screen" product, no matter how many deals Apple does.
Douglas A. McIntyre
Sponsored: Attention Savvy Investors: Speak to 3 Financial Experts – FREE
Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
