Apple is reportedly planning to set up a movie rental business as part of its iTunes service.
If the project comes to fruition it would see new release movies available to download and view for a set number of days for just $2.99 (£1.50).
Executives from Apple have already held talks with several major Hollywood studios about the deal, including Paramount Pictures and Universal Studios, reports the Wall Street Journal.
Some studios are warming to the idea, but others have expressed concerns about potential problems with copy protection.
Apple apparently wants to ensure that all movies available for rental via iTunes are compatible with both PCs and iPods, leading to concerns that they may be easy to copy and cost the studios sales.
If those problems can be ironed out, Apple also hopes to eventually offer the movies for permanent sale to iPod users at a price of $14.99 (£7.50).
The iTunes service already offers a range of films and television shows for download to iPod video, but Disney is the only major studio to market its new releases via the site.
© 2007 Adfero Ltd

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