WSJ Online
reports that Apple is seeking to license music videos to sell through its
iTunes Music Store. The newspaper further states that it is likely that Apple will announce an iPod player that can play video by September. A music clip would be sold for $1.99 each, with the possibility of a discount if consumers buy a music video and a song at the same time. Apple has refused to comment on the report, calling it "industry speculation."
In addition to licensing music video content, Apple might also be looking to license television shows. The creation of a whole video-distribution service could hint at the possibility of future portable Apple devices dedicated for playing video content.
Among those media companies approached were Warner Music Group Corp., EMI Group PLC, Vivendi Universal SA's Universal Music Group and Sony BMG. As to the question whether his Pixar company is also going to make its blockbuster movies available for portable video players, Steve Job replied:
"So far there really hasn't been a successful portable video device other than those that play industry standard DVDs, and that we participate in just because we sell DVDs," Mr. Jobs said in the call. "So who knows what's down the road?"
Update:
Paul Sloan has some more information regarding Disney's intent to team up with Apple on the Video iPod.