Apple And Fox To Offer Movie Downloads

Boston (dbtechno) - The latest group to enter into the online digital movie fray is News Corp, in the guise of its movie studio, Twentieth Century Fox.

Fox Studios and Apple computers jointly announced that they would be renting movies through the iTunes store online. Apple has for quite some time been working with the major studios to try and get them to rent movies using their new iTunes venue, but studios have been slow to jump on the bandwagon.

Until now there has been no studio willing to participate, Fox Movie Studios would be the first.

Fox Studios also announced that it has plans to release on DVD movies using the digital rights management format that Apple has used for some time now. This would allow people to make and keep legal copies of certain movies that they have paid for using this system.

These movies could be played using the iPod system, or in some cases on a computer.

Apple Co. does have some movie sales agreements with other studios, such as the Walt Disney Company. But the new arrangement for using iTunes to rent movies is a new thing. Other studios have been willing to sell movies, but not rent.

It is believed that using this method to rent movies will help Apple to position itself in the marketplace and give Apple a foot in the door in online movie sales. Consumers would benefit from having more options in movie rentals. While the iTunes format has been a successful one for Apple, the sales of video and similar products through the iTunes Stores have not kept up with the music download business.

Apple wants to be competitive in the online movie business, but it is still finding its way. The main companies that are featured in online movie sales are currently NetFlix, and Blockbuster, Inc. Both have a model and method of delivery different that the Apple model.