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Sat, Jul 04, 2009 - 08:47 PM EDT  —  AAPL: 140.02 (-2.81, -1.97%)  |  NASDAQ: 1796.52 (-49.20, -2.67%)

Apple faces hurdles in bringing iTunes Movie Rentals to Europe
Monday, January 21, 2008 - 01:43 PM EDT

"After introducing an online film rental business for American consumers last week, the chief executive of Apple, Steven P. Jobs, said he expected that the service would be expanded into international markets later this year," Eric Pfanner reports for The New York Times.

"But trying to establish a European version of the iTunes movie rental service, which allows users to stream films or television shows to their computers or televisions, will not be easy," Pfanner reports.

"Apple will have to confront legal and regulatory hurdles, copyright challenges, scheduling conflicts and technological issues, reminders that the European media landscape remains a patchwork of individual countries, rather than the single market that the European Commission envisions," Pfanner reports.

"Because of the difficulty of setting up cross-border services, many participants in the nascent market for digital film rentals or downloads in Europe operate in only one or a handful of countries," Pfanner reports.

"Apple declined to discuss the timetable for its planned movie rental service in Europe," Pfanner reports. "But the company may already be more familiar than many other companies with the intricacies of European content licensing, having recently settled an investigation by the European Commission into the pricing policies on its iTunes music store."

"Despite the challenges that Apple and others will face, the European Commission predicts that revenue from digital sales of 'creative content,' including films, music and video games, will rise to 8.3 billion euros in 2010 from 1.8 billion euros in 2005, or to about $12.2 billion from $2.6 billion, across the European Union," Pfanner reports.

Full article here.

[Thanks to MacDailyNews Reader "Too Hot!" for the heads up.]

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Jan 21, 08 - 02:47 pm Comment from: Ampar

"will rise to 8.3 billion euros in 2010"

It sounds like it's worth the challenges.

Jan 21, 08 - 02:54 pm Comment from: almux

It's 12.2 billion $... pretty much monney!

Jan 21, 08 - 02:57 pm Comment from: Irish Dude

I agree Ampar. We don't even have music videos or movies to buy on iTunes here and I think they've had them in the US for over a year and a half at this stage. I know I would certainly be interested in this method of movie rentals or purchases and I know others here who feel the same way. Hopefully Apple can overcome the strict legalities and differences in laws between European nations and deliver this on time ie: some time this year.

Jan 21, 08 - 03:10 pm Comment from: Mac+

iTunes Movie Rentals in Europe will happen... and elsewhere too.

Apple will go around all obstacles. Just like it did to sign all top US. studios. Who would have guessed it last Tuesday morning? None of us. So stay tuned for the internation expansion of this service.

Jan 21, 08 - 03:19 pm Comment from: silverhawk

What Apple should do is open a all-European store. If an individual state within Europe complains then let the European Union Commission settle the matter. The Commission basically just came out and said all the little music licensing communities can pound sand.

Jan 21, 08 - 03:22 pm Comment from: NuZoinder

Just to add to Irish Dude's comments....here in the Mac 3rd world of NZ - where we only got our own iTunes store last year - I'll be amazed if there's any appearance of rentals here this year or next.

Jan 21, 08 - 03:24 pm Comment from: Demon

Apple's dealing with the music industry in Europe. The movie industry is easier to deal with cause while the European market and laws are fragmented the all the big studio's are in step with Apple, to push iTunes Movie Rentals Worldwide ASAP. They see the profit and benefit of it. The Movie Industry unlike the Music Industry are more then willing to ride on Apple's Coat tails and let Apple Drive. The Music Industry is too stupid and dense to see the light in Digital Content and they are suffering for it.

Jan 21, 08 - 03:42 pm Comment from: bizlaw

This author makes it sound like Apple did all the work to set up movie rentals on the US iTunes store, sat back, and said, "Hey, wouldn't it be great if we could do the same for international markets? Let's start working on that!"

I'm sure Apple has been examining all copyright laws and negotiating with international studios well before the iTunes rentals were announced at Macworld. Apple also has one big advantage here: the US film industry is the largest in the world, so Apple can simply take US company's movies and offer them first. The music industry is much less global, with more regional strongholds. Plus, the movie industry already deals with and embraces movie rentals. This is simply another format to expand their sales.

Jan 21, 08 - 03:43 pm Comment from: Non Ampar

Hey. You know what? We're both Apple fans.

I was in a peevish mood and said (ok, typed) stupid things.

Let me make amends by apologizing. You have the right to your opinion. This is an open forum.

I hereby make a late new years revolution: Nothing but helpful comments from now on.

Mr. Ampar - peace.

Jan 21, 08 - 03:54 pm Comment from: Petey

This will be no more difficult than setting up the iTunes store in the European countries.

Apple did that and have learned how to deal with Europe - I can't really see a problem.

It's the same fragmented market for music and video in Europe. As long as they approach it country by country like they did with the iTunes store then they cant really go wrong.

Jan 21, 08 - 04:05 pm Comment from: Ampar

"Let me make amends by apologizing."

O.K., thanks.

Jan 21, 08 - 04:33 pm Comment from: MathiasLM

Steve said the exact same thing about TV-shows and movies 2 years ago, but nothing has happened. I don't buy it!

Jan 21, 08 - 04:39 pm Comment from: HMCIV

This will be a challenge. Apple has never attempted to sell anything in Europe before. wink

The biggest hurdle will be dealing with all the funny shaped plugs they have over there, especially for wireless internet.

Jan 21, 08 - 06:02 pm Comment from: cptnkirk

You'll get European iTunes movies when Canada gets iPhone. I guess that means never. Sorry. And we're on the same continent!

Jan 21, 08 - 06:52 pm Comment from: Vista Pracova

Please bear in mind that just on the 27 countries that make up the EU there are 23 different languages and that al least in Spain, France and Germany almost all movies are spoken on their native language, that thing alone is one of the reasons for movies over there taking much longer to appear on the big screen, let alone on the rental market.
So, I really dont have much hope that it will happen any time soon, remember that outside of the UK we still dont have TV shows or film sales on itunes. I really dont think that rentals will come first...

Jan 22, 08 - 02:40 am Comment from: flappo

only the uk matters , who cares aboot the rest of europe anyway ?

Jan 22, 08 - 04:05 am Comment from: Worm in the Apple

UK = 51st US state in case you hadn't noticed.

Jan 22, 08 - 04:06 am Comment from: iPol

Flappo, you deserve a flap from
"the rest of Europe"---

Jan 22, 08 - 05:03 am Comment from: nekogami13

Someone pointed out-27 different countries make up the EU-that's 27 different distributors for each movie/tv show Apple has to deal with.
In the US, for each title-1 distributor with Jobs sitting on the board and the biggest individual shareholder of one of those.

Be patient, Apple will come around and collect your money as soon as possible.

Jan 22, 08 - 07:49 am Comment from: Not quite..

Sorry, but Canada is the 51st state and Mexico is the 52nd. They just don't realize it yet. The UK will have to wait in line.

Jan 22, 08 - 06:31 pm Comment from: Vista Pracova

I'm sure that by now the rest of the EU would not mind if the UK would be the 53rd US state and quit screaming and dragging its feet about anything EU related... man, some of you "brits" really are full of ... err... yourselves!

Jan 23, 08 - 04:43 am Comment from: MacSheikh

When Steve said the store will go "International" by this year, do you guys think he meana a-whole-bloody-lot-of countries-including-Asia "international" or UK-that's-it "international"?

Apr 14, 09 - 04:54 am Comment from: pavithra

So, I really don't have much hope that it will happen any time soon, remember that outside of the UK we still don't have TV shows or film sales on i tunes. I really don't think that rentals will come first...

Apr 17, 09 - 02:44 am Comment from: shazia

Hi,

Guys, Apple will go around all obstacles. Just like it did to sign all top US. studios. Who would have guessed it last Tuesday morning? None of us. So stay tuned for the international expansion of this service.

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