Published on August 29th, 2017 | by Brad Gibson0
WSJ: Apple, studios disagree over 4K movie pricing
The Wall Street Journal is reporting (subscription required) Apple and various movie studios are deep into negotiating deals to offer a ultra-high definition, 4K films for a rumored fifth-generation Apple TV, but that both sides are at odds over how much to charge.
According to people familiar with the talks, WSJ reports Apple wants to charge $19.99US for those movies, equal to the price is charges for many new HD movies, while “several Hollywood studios” want to charge $5 to $10 more for 4K movies.
An executive at one movie studio said Apple’s preferred price point would likely prove more popular with consumers given the vast amount of content available for $12 or less a month from competitive online service Netflix.
The disagreement is similar to the same problem over the years between music companies and technology companies, with the latter arguing lower prices help generate more long-term revenue, while studios worry more about protecting profit margins and higher prices for better quality content.