Apple unveiled a new movie-downloading service today, as well as a retooled iPod and the next generation iPod Shuffle.
The new offerings include an iPod capable of playing video games and storing more full-length movies and a new, half-inch-square iPod shuffle, which the company described as the world's smallest digital player.
Apple Chief Executive Steve Jobs also unveiled a new deal to sell 75 films from Walt Disney Co. through its iTunes online store. The films — which include those made through Disney's Pixar, Touchstone and Miramax divisions — will be sold for $12.99 on the same day they become available in the DVD format.
"In less than one year we've grown from offering just five TV shows to offering over 220 TV shows, and we hope to do the same with movies," said Jobs in a statement. "iTunes is selling over 1 million videos a week, and we hope to match this with movies in less than a year."
The new, top of the line version of the iPod, priced at $349, will feature a brighter screen and enough expanded capacity to hold as many as 20,000 songs or 100 hours of video. The fifth-generation iPod will also be able to play video games sold over iTunes.
While Apple expanded the capacity of the iPod, it shrank the size of its entry level music player, the iPod shuffle, into a half-inch cube priced at $79. The new shuffle, which weighs half an ounce, can hold about 140 songs.
The online distribution deal expands the Apple and Disney online relationship. Last year, Disney's ABC television network agreed to sell episodes of some of its most popular shows on iTunes one day after they were broadcast.
The new service will offer will offer consumers movies from studios in the Walt Disney family.
Apple is selling films from Disney, Pixar, Touchstone, and Miramax, each studio owned by Walt Disney. Movies will become available on iTunes the same day they're out on DVD. Apple plans to offer over 75 films available online Tuesday, downloadable through an upgraded iTunes 7. Among the movie offerings is the Disney blockbuster "Pirates of the Caribbean."
The new movies are priced at $12.99 when pre-ordered or bought during the first week. Other movie offerings will be priced at $9.99. The videos are encoded in H.264. Previously iTunes video was scaled to 320x240. Apple announced it will now provide 640x480 resolution. Usage rights are said to be the same as TV shows.
"Here we go again! First music, then TV shows, and now movies," said Steve Jobs, Apple's CEO. "In less than one year we've grown from offering just five TV shows to offering over 220 TV shows, and we hope to do the same with movies. iTunes is selling over one million videos a week, and we hope to match this with movies in less than a year."
Engadget liveblogged the Steve Jobs show and has photos and detailed descriptions of all the new Apple goodies.
Apple unveiled a new movie-downloading service today, as well as a retooled iPod and the next generation iPod Shuffle.
