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Apple fights Hollywood to price 4K movies on iTunes at $20

Apple fights Hollywood to price 4K movies on iTunes at $20


If they’re more than $20 a pop, you know who to blame

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Apple is struggling to come to agreement over what to price Ultra High-Definition (4K) films from on its upcoming new Apple TV, reports The Wall Street Journal. Apple wants to charge $19.99 for major titles in 4K, which is in line with what it charges for newer HD movies, but some Hollywood studios want add an extra $5 to $10 surcharge. The company is set to reveal a new Apple TV device at its September 12th event, with the new set-top to finally support 4K and HDR streaming.

“I wouldn’t tell Apple how to price their iPads”

“I wouldn’t tell Apple how to price their iPads,” one studio executive involved in negotiations reportedly said. Apple usually supports lower prices because it believes that would entice more customers and help generate more profits over the long term, though studios often prefer to charge a premium for higher quality content to protect their profits. Apple TV, which is priced at $149 for the 32GB version, is losing market share to other companies like Amazon and Roku, which offer 4K and HDR media streaming players at a fraction of Apple TV’s cost. Amazon’s Fire TV for instance, is $89.99.

Pricing for current movies in Ultra HD vary, but most are around the $30 mark. For instance, Guardians of the Galaxy Vol.2 is priced at $29.99, and Wonder Woman is at $34.99.

Rumors have swirled about an Apple TV with 4K and HDR support being released this fall, and Apple would be keen to have a wide array of blockbuster movies in Ultra HD ready in the iTunes store. Paying $30 however, for one copy of a movie may still seem like a steep price to pay for some, considering a Netflix subscription costs $11.99 a month and offers Ultra HD content.