topics

Fox In Movie Rental Deal With Apple For iTunes; DVDs Will Allow Ripping To PC And iPods

As had been speculated earlier in the month, News Corp (NYSE: NWS). and its studio Twentieth Century Fox have signed a deal with Apple (NSDQ: AAPL) to allow users to rent the latest Fox DVD releases by downloading a digital copy from Apple’s iTunes platform for a limited time, reports FT, citing sources. No pricing info in the story, though an earlier report in June pegged it at around $2.99 per rental.

Disney (NYSE: DIS) is the only major studio with full catalog within iTunes for now, while Paramount, Lionsgate and MGM have partial catalog deals, though all of these are download-to-own, not download-to-rent. Rival online movie services like CinemaNow and Movielink have had these download-to-rent options since the beginning, and neither of them have had any significant traction among online users till now.

The new deal will likely be announced at the Macworld show on January 14, and FT portrays it as a deal that “has the potential to transform film distribution.” I am not so sure the consumer market is ready yet…also, download speeds and time, usually on the higher side for movie files, still matter. Also, the Disney movie downloads on iTunes haven’t burned the charts yet in any meaningful way.

One interesting twist that will help, though: Besides the online rental deal, a digital file protected by Apple’s DRM scheme FairPlay will be included in new Fox DVD releases, enabling film content to ripped to a PC and video iPod. DVD content can already be moved to an iPod but this requires a bit of an effort.

Sony (NYSE: SNE), Paramount and Warner Bros, the remaining major studios, are also in talks on similar lines, the story says.

Couple of additional points: I would expect Disney to come on board for rental as well as DVD ripping as well. Also, it might be that an upgrade to Apple TV would be announced, which would help push these rental movies to the TV, as well as improve on the experience overall, hopefully.

Related Stories
Dec 26, 2007 8:40 PM ET

Posted In: Entertainment, Movies, DVD, Companies, Apple, News Corp., itunes, twentieth century fox

Leave a Comment

Comments (4)

Dec 27, 2007 3:54 AM

It’s about time!!!

Been waiting for this for like forever and half.

By the way, you actually can rent movies for your Apple TV through a video service called “Jaman” (http://jaman.com).  That is if you don’t mind hacking your Apple TV to install the Jaman player.

-Luck (http://appletvsource.com)

Luck Kanthatham

Dec 27, 2007 5:27 PM

“DVD content can already be moved to an iPod but this requires a bit of an effort.”

Hmm…not so for Mac users. Just do a search for a little free app called Handbrake.

1) Pop the DVD in the drive
2) Launch Handbrake
3) Choose iPod setting and press start
4) Marvel at the movie file you’ve just created.

Sometimes I even use the AppleTV setting…that is, of course, if I plan to watch it on my AppleTV!

Adam

Jan 7, 2008 11:33 PM

Adam, you got to it before I could. Ripping a dvd for an iPod is as easy as cooking noodles when using a Mac. Its clear this journalist uses a PC….. When will they ever learn????

beau

Oct 4, 2008 7:52 AM

But what % of the population out there actually has a Mac?  10%?  15%  PC still dominates, for better or for worse.

Vanilia

Leave a Comment

Commenting is now closed for this article.

The Economics of Content | paidContent Newsletter

Know something we don’t?

Send Us a News Tip

All tips are anonymous and untraced.

Sponsors

Contributors