Forbes: Apple vs. NBC battle won’t amount to much
Saturday, September 01, 2007 - 09:40 AM EST
"Apple! NBC! At war! Sounds like heady stuff: Apple and NBC Universal brawling in the press over an iTunes' contract to sell downloads of NBC TV shows," Louis Hau writes for Forbes.
"But we're having a hard time getting excited about this particular battle. In the end, it probably won't make much difference in the media industry's embryonic efforts to make money from online video, which are shifting to advertising-supported streaming video. In fact, the dispute may not even affect the long-term availability of NBC's content on iTunes," Hau writes.
"While TV networks have a vested interest in remaining on iTunes, the online store will likely end up being less important to them over time," Hau writes. "Rather than focusing on selling downloads of their programming, the strategy being pursued by NBC, News Corp.'s Fox, CBS , Disney's ABC and Viacom's MTV and Comedy Central is increasingly emphasizing the sale of advertising to keep their content free."
"No doubt Apple sees the writing on the wall, which is why we can probably expect the company to come up with new ways of getting iPod owners the content they want. One possibility: Apple has reportedly been in talks with film studios about starting a movie-rental service on iTunes," Hau writes.
Full article here.

Meanwhile NBC will be fretting and wringing their hands trying to figure out how to make up the money they're going to lose in this Fall season. They've got another think coming if they think the News Corps deal is their salvation.