Apple TV to Stream 99 Cent Shows, Sources Say

From PC World: The Apple TV set-top box will offer 99 cent TV episodes that can be streamed, not downloaded, according to sources. If true, Apple would be cutting the price of TV episodes in half and competing more squarely with rivals such as Netflix, Hulu Plus, and Amazon's Video On Demand. Currently Apple TV only allows you to download TV episodes from iTunes and charges an average of $1.99.

According to reports from NewTeeVee Apple TV's restrictions on content would be similar to current iTunes rentals; you would have 30 days to view your television episode and then have unlimited access to the episode for 24 hours after you start viewing it.

t's not clear if any content producers are already on board with Apple's rumored streaming plans, and that may be the biggest hurdle for Apple to overcome. Right now, television networks and specialty channels like NBC, ABC, Showtime and HBO sell individual episode downloads on iTunes for $1.99-$2.99, depending on whether you buy standard or high-definition videos. Entire past seasons and passes to current television seasons are also available, and typically range in price from $10 to $40.

It's not clear how lucrative television content sales on iTunes are--

Apple recently reported $1.1 billion in net sales for the iTunes store during the second quarter of 2010--but I have to wonder how enthusiastic content producers would be with this plan. Especially when you consider Apple's past fights with television execs over pricing, most notably the temporary split between Apple and NBC in 2007.

Then again, with the proliferation of other television streaming services the time may be ripe for an iTunes rental deal. In fact, Apple's entrance into streaming individual television episodes could help the industry overcome a growing problem with piracy.

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