HBO shows coming to iTunes under new pricing structure?
HBO, the premium television subsidiary of Time Warner, is reported to have reached an agreement with Apple that will see its hit television programming made available for purchase on iTunes in the next couple of weeks.
Citing HBO executives familiar with the deal, Portfolio reports that Apple has for the first time agreed to a separate and distinct pricing structure for a TV show provider, though it's not quite sure what that arrangement entails.
"One possibility is that HBO programming will have a higher retail price than the flat $1.99 fee Apple currently charges for video content," the publication said. "[A]nother is that HBO will receive a larger cut of the same flat rate than other iTunes content providers receive."
In either case, the deal would present exciting growth opportunities for both parties. HBO, which currently offers an online service only accessible to its television subscribers, would be able to tap a much broader audience in iTunes' 50 million registered users.
Meanwhile, offering HBO hits like "The Sopranos," "Entourage," and "The Wire," could help spur sales of Apple's fledging Apple TV set-top-box, which allows users to rent movies and purchase television shows from the iTunes store for viewing on their big-scren TVs directly from the comfort of their living room sofa.
Any move by Apple to instate a variable pricing structure for television content is likely to draw the attention of NBC Universal. The television studio last fall pulled all of its programming from iTunes amid a bitter feud with Apple in which the iTunes operator refused to allow it to set higher prices for some TV shows sold through service.
Citing HBO executives familiar with the deal, Portfolio reports that Apple has for the first time agreed to a separate and distinct pricing structure for a TV show provider, though it's not quite sure what that arrangement entails.
"One possibility is that HBO programming will have a higher retail price than the flat $1.99 fee Apple currently charges for video content," the publication said. "[A]nother is that HBO will receive a larger cut of the same flat rate than other iTunes content providers receive."
In either case, the deal would present exciting growth opportunities for both parties. HBO, which currently offers an online service only accessible to its television subscribers, would be able to tap a much broader audience in iTunes' 50 million registered users.
Meanwhile, offering HBO hits like "The Sopranos," "Entourage," and "The Wire," could help spur sales of Apple's fledging Apple TV set-top-box, which allows users to rent movies and purchase television shows from the iTunes store for viewing on their big-scren TVs directly from the comfort of their living room sofa.
Any move by Apple to instate a variable pricing structure for television content is likely to draw the attention of NBC Universal. The television studio last fall pulled all of its programming from iTunes amid a bitter feud with Apple in which the iTunes operator refused to allow it to set higher prices for some TV shows sold through service.
Comments
I hope HBO produced movies will be available also. Every once in a while they produce an interesting well acted/directed/produced show of value.
I've heard good things about "John Adams."
Plus, by the time it gets to me, I won't think it is the prequel to The Nanny Diaries. (In both movies, Paul Giamatti and Laura Linney play the leading couple.)
But I agree... the HBO films would be very enticing.
Apple TV needs either a disc drive, internet access meaning Safari, or recordability for it to really take off- IMO.
I would be willing to subscribe to HBO via iTunes only, leaving cable out of the picture entirely.
Not only is that brilliant, but I suspect its where we're going in the not-too-distant future...
As a netflix subscriber, I would like them to allow me hook into Netflix's instant play content, but that is probably unlikely as they don't want to have it impact their iTunes sales.
Isn't apple shooting itself in the foot? If it agrees to different price structures for one network (especially if the network gets a larger slice of revenue), then the others are gonna want an increase share of the pie too...
This actually wouldn't be the first time shows have had special pricing. I can't double-check right now (no iTunes on the work computer), but I believe a select number of shows, such as PBS's Nova, have a slightly higher price than the standard TV shows. In fact, I think some education genre shows from PBS are around $4-5/episode.
Nova, like many of HBO's shows, is considered to be a high quality production. Also like some HBO shows, many PBS episodes are sometimes longer than an hour (plus a 1-hour commercial TV show is really only about 45 minutes). This later fact may be a "loophole" for Apple to charge more for those episodes than for a standard commerical TV show.
PS: What I want to know is when are we going to get TV show rentals (@ $0.99 or $1.49) and/or HD TV shows? I don't need to own a show just because I missed an episode (if I want the whole season I'll buy the DVD). And I certainly don't need it taking up storage space. And HD would bring me tantilizingly close to cancelling my Comcast subscription!
And HD would bring me tantilizingly close to cancelling my Comcast subscription!
You've hit the nail on the head. Millions of people would defect tomorrow if these options were available.
Until videos/movies on iTunes gets its specs up to cable/ DVD standards Apple TV will never take off in its present format. It's been over a year now and the basic quality for an iTunes video/movie purchase is poor for watching on TV and acceptable only for iPods and iPhones for which they are optimized.
Apple TV needs either a disc drive, internet access meaning Safari, or recordability for it to really take off- IMO.
I'll agree with making it DVD quality (the problem there is that it would apparently leave out anything other than the newest iPods as even my 5th gen iPod wouldn't be able to play DVD quality). But please, please, please don't match Comcast's gawd-aweful cable quality! Give me a clean 720p over Comcast's 1080i any day!!!
I will 2nd your suggestion for an optical drive for AppleTV (or even the ability to play video_TS folders). Safari? Eh...whatever. DVR...nope, there's just no way to be successful playing that game with the cable companies, and a broadcast DVR is pointless for most people.
Until the TV shows have a higher bit rate, it doesn't really matter. On a larger TV they look fuzzy.
How do the HD movies look on a big screen? I don't have an AppleTV so can't see for myself.
I am often confused by the request of others to have Safari on the Apple TV. Usually in my house, if I want to use the Internet, I use my computer. I hate surfing the Internet on my PS3. To me it just seems like extra bloat. I rather them build in specific modules that access Internet content...kind of like they are doing with flickr, youtube, and .mac.
As a netflix subscriber, I would like them to allow me hook into Netflix's instant play content, but that is probably unlikely as they don't want to have it impact their iTunes sales.
When did AppleTV get a .Mac module?
How do the HD movies look on a big screen? I don't have an AppleTV so can't see for myself.
HD movies are good but you can't purchase them and the selection is limited. But the vast majority of everything else is smeary/blocky and worse than broadcast cable on a HDTV -40 inches. What are you using to watching your iTunes movies on your 1080p plasma? -an iPod?
Until the TV shows have a higher bit rate, it doesn't really matter. On a larger TV they look fuzzy.
And blocky.