Rent a TV episode for 99 cents on iTunes. That possibility is now being considered by industry watchers as the rumor mill gears up for an expected Sept. 1 Apple press event in San Francisco, Calif.
The initial report came Wednesday from Bloomberg News, which cited “three people familiar with the plan.” The news service said Apple is in “advanced talks” with News Corp., owner of Fox, as well as with CBS, NBC Universal, and Walt Disney. Apple cofounder and CEO Steve Jobs is a member of the board at Disney and its biggest shareholder. Bloomberg said Fox and the ABC Network, which is owned by Disney, are closer to a deal than the other two major entertainment networks, CBS and NBC.
48-Hour Rentals
In the 99-cent rental being discussed, a user could watch a commercial-free program an unlimited number of times within a 48-hour period. New episodes would be available on iTunes within 24 hours of their airing.
As the 600-pound gorilla in the world of online entertainment, an iTunes TV rental service could have a significant impact on the TV industry in general, and on online competitors Netflix, Amazon.com and Hulu in particular. Among other things, it could propel Apple’s popular mobile devices — the iPhone, iPad and iPod touch — into a favored position as the device of choice for those watching off-air TV.
TV might be the primary theme of the Sept. 1 event, as reports also indicate the company will announce a $99 version of its Apple TV set-top box. Renamed iTV, the new device is expected to essentially be an iPhone 4 adapted for display on TVs.
Van Baker, an analyst with Garter, noted that the “iPad is a very nice device for watching TV content.” If iTunes does get 99-cent TV rentals, he said, it…