Blog Post

NBC Not Renewing Its iTunes Contract on Pricing Differences With Apple; On Till December

Stay on Top of Enterprise Technology Trends

Get updates impacting your industry from our GigaOm Research Community
Join the Community!

imageFirst a rift over music pricing with Universal Music Group (owned by Vivendi), and now a tiff with NBCU (NYSE: GE): NBC has decided not to renew its contract to sell downloads of its TV shows on Apple’s iTunes (Nsdq: AAPL), after disagreement over pricing, reports NYT. NBC was in early on iTunes’ video offering, and now accounts for about 40 percent of downloads. It notified Apple of its decision earlier today, the story says. The current two-year deal extends through December, so the 1,500 hours of NBCU programs will remain available on iTunes at least until then.

Similar issues to UMG: the media companies want better control over pricing decisions. For example, TV show episodes sell for $1.99, with movies priced at $9.99. NBCU wants to sell a package, say an episode of