NBC-Apple Break-up Official
By Andrew Wallenstein
If iTunes is looking a little light on the video side today, that's because NBC Universal has vanished from Apple's online store. That means no NBC, Bravo, Sci Fi Channel, USA Network--oh no, not "Monk"!
NBC Uni has been threatening since August not to renew its iTunes contract, which expired at the end of November. If you thought these crazy kids would patch these things up, forget it: NBC Uni accounted for 40% of iTunes' TV downloads, and yet NBC Uni CEO Jeff Zucker says they only made $15 million off those sales. No flexibility on price, packaging, piracy protection and worst of all, no percentage of iPod sales--it was a matter of time.
Now the question is whether deals with Netflix and Amazon, as well as Hulu and NBC.com, can fill in the gap. If it does, Steve Jobs may have to go hat in hand back into 30 Rock.
Here's THR's Alex Woodson and Paul J. Gough with Zucker's latest comments on the standoff, as well as two research reports on iTunes' future.
