Apple and Google Developing Rival Pay-TV Services
Posted by Jesse Ward on Monday, August 30, 2010 · 
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The Financial Times is reporting that Google is developing a pay-per-view system that will allow users to stream movies for about $5 each. Google, the parent-company of You Tube, is reportedly in negotiations with major Hollywood studios and the service could go live before the end of the year.
The service will likely integrate with the soon-to-be-released GoogleTV platform which is slated to be embedded in a variety of televisions and set-top boxes made by Sony and Logitech.
Google faces stiff competition from the likes of Netflix, which early this month signed a five-year deal worth nearly $1 billion to stream movies from Paramount, Lionsgate and MGM, and Apple, which offers movie rentals through its iTunes service and is rumored to be developing a new TV rental service.
Apple is reportedly negotiating with television networks to rent their TV series for as little as 99 cents an episode. The iTunes store currently sells TV episodes for $1.99 and $2.99 apiece, but its rental activities are limited to movies. The content negotiations and announcements are expected to coincide with the release of a new revamped version of its video platform, Apple TV, in September.
For more on Google, see this Financial Times article (subscription required) or CNet.
The New York Times has more on Apple’s content negotiations.
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