Apple's going to have to get movies to larger displays if they're going to charge $14.99 to $19.99. In fact, I think there's a lot of us who won't even pay $9.99 for a movie that we can only play on our Mac or iPod.

To sell a lot of movies at those prices, Apple's going to have to come up with an appliance or device that will send data to users' televisions. Whether that's an improved dock for the iPod or home entertainment server or even an improved Airport Base Station, something's going to have to come out of Cupertino that will get movies from Macs to displays large enough to justify the price.

On the other hand, what if Apple prices movies by resolution? One price for an iPod resolution film and another suitable for a 42" plasma screen?

This actually makes sense on all sides. The customer gets what it pays for. The movie studio sells more units. Apple sells more units.

Think of it this way. Someone traveling from Chicago to LA might be more willing to pay $4.99 for a movie suitable only to their iPod Video (or whatever Apple releases next) just because of the convenience factor. Apple could set up kiosks or micro-stores in major airports to distribute data and popular products to passers through. There are plenty of other compelling examples, such as teens that would prefer to watch a film on an iPod rather than a TV.

Or, substitute a bigbox retailer for the airport and Apple will have kiosks in major chains where you can buy movies and move them to your iPod instantly. If you shop at that venue weekly, why not get a subscription similar to Netflix?

One price or several, it's going to be hard for Apple to beat the convenience/price ratio presented by Netflix. We'll know more on September 12th.


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Don't forget How to Buy a Mac.

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