Apple Bets on Online Movie Rentals

Absolutely right, and why would I pay $3.99 to rent a movie? With Netflix a customer can get a DVD the day it is released and is beginning to feature online rentals with no extra cost. And if that's not enough, my local rental store charges a dollar and a half less than that for a new release.

I love the updates for iPhone though, the new map features and customizable home screens are great.

yes... I joined Netflix because at 14.99 a month, I can get 2 movies at a time as many as I can get in a month plus unlimited instant watches (which will grow to complete with apple).

So, I can rent a 4 dollar movie from the appleTV 3 times and get a 3 dollar movie once, or watch 5 3 dollar movies. With netflixs, I get get a reasonable 3 day send and receive cycle. so if I worked hard at making sure to dump the movies into the mail box the day I watch them, I can get 20 movies in a month not counting the instance watch. more realistically, I will get 5 cycles through and on bad months, 3. in each case, I get more movies for the money I am paying and I get to hold on to them for more than 24 hours if I choose.

This laptop doesn't interest me either, but I'm sure there is a demographic that would want this.

As for the pricing on the Movies, it's exactly in line with what cable companies offer with their On-Demand and HD movies are cheaper on the Apple TV than what my cable companies offer by 99 cents.

I'm not sure if NetFlix is who Apple is competing with that pricing model.

So, I can rent a 4 dollar movie from the appleTV 3 times and get a 3 dollar movie once, or watch 5 3 dollar movies. With netflixs, I get get a reasonable 3 day send and receive cycle. so if I worked hard at making sure to dump the movies into the mail box the day I watch them, I can get 20 movies in a month not counting the instance watch. more realistically, I will get 5 cycles through and on bad months, 3. in each case, I get more movies for the money I am paying and I get to hold on to them for more than 24 hours if I choose.

Well, if you travel alot, you can't get Netflix, unless you plan ahead. I'm currently in SF, and being able to rent amovie for the plane ride home seems appealing. I'd certainly prefer a more netflix "like" model, but I would also point out that (I don't think) you can get HD movies from Netflix.

With that said, Apple's selection is limited, but I think that will change soon enough.

I can get 2 movies at a time as many as I can get in a month plus unlimited instant watches (which will grow to complete with apple).

Also, if Netflix is still throttling, it's not necessarily "as many as you can watch."

I think Apple is disconnecting from the market. The trend - and market interest - seems to be directed at low cost small form factor units.

This machine doesn't interest me at all, whereas the ASUS EeePC seems really interesting, for example. Maybe it's just me, but I was hoping to see an Apple entry in the low-end market.

Apple has *never* been in the low-end market. And they most likely never will be. That's a market they have no interest in, and has never been connected *to*, so they're not disconnecting from anything.

but I would also point out that (I don't think) you can get HD movies from Netflix.

You can select which HD formats you can play (HD DVD and/or Bluray) and Netflix will automatically sending you HD versions of whatever's in your movie queue.

Well, right -- physical media, if you bought into one of the HD formats. I'm talking about digital delivery.

I'm not sure if NetFlix is who Apple is competing with that pricing model.

Exactly, this isn't targeting all of Netflix's customers, just some of them. While you could work really hard and watch a ton of movies in a month, I don't think most people use Netflix in that way, especially when Netflix continues to throttle. Not everyone likes to manage a queue or make two trips to the video store. On top of that, for people who travel a lot the iTunes model is very convenient.

Exactly, this isn't targeting all of Netflix's customers, just some of them.

But why not?

Steve Referred to this as a subscription model during the keynote, and it's not. Netflix is a subscription, and now I have to pay for THAT (because it serves a purpose this doesn't) and if I want to rent something while I'm out of town, I also have to pay for this. That simply means I'm less likely to use this service. Currently, that's fine, because of the limited selection. Once that selection is no longer limited -- I really think they need to think bigger.

If Apple had gone the subscription route (a monthly payment for a certain number of downloads) I could dump netflix, because my constant flow of content would be taken care of and I'd be able to my selections/receive more selections on the road with me. (Again, current selection aside.)

That would demolish Netflix AND Blockbuster online -- and the only reason I can think NOT to do that is because the studios don't want to do that.

Jeremy,

10 movies in one month is not use that netflix throttles. for Apple it would cost 40 dollars for those movies, as little as 30 if you only go with older titles. Netflix, I get all that plus I pay only 15 bucks. I get access to all the video I care to watch on the instance access as well.

Brian, watching movies on instant watch on my LCD monitor which is set at a higher H/Vres than a 720p screen, the movies look good. IT is all based on your connection speed at the time of the initiation.

But why not?

Actually, that is half right IMO. Why not offer a subscription model? For some people that would be the ticket. The best way is to offer both. That allows both the casual consumer to rent a movie occasionally and those who want more to subscribe. I can't see why Apple doesn't offer that kind of solution.

for Apple it would cost 40 dollars for those movies, as little as 30 if you only go with older titles. Netflix, I get all that plus I pay only 15 bucks. I get access to all the video I care to watch on the instance access as well.

You CAN watch that number of movies a month, but DO you? You might. Other people might. But I bet that Apple is counting on the fact that most people don't.

sure... it is more convenient than running to blockbuster. and the titles will be fresher than those on "OnDemand". It is just not a very attractive offer to netflix subscribers I think. Especially those who do not watch TV but rather rent their content.

My main concern is the non-user replaceable battery. Having had two PowerBooks over the last several years, the ability to change the battery once the LiIon unit starts to lose its juice is very convenient. It would be annoying to have to send it off for service (and also batteries aren't typically covered under warranties beyond a single year; it's not certain to me that AppleCare would cover the parts and labor for a dying battery beyond that time). I'll be interested to see how the battery service works out.

I bet that within 72 hours of it going on sale, someone will post a YouTube step by step guide showing how to replace the battery yourself...

someone will post a YouTube step by step guide showing how to replace the battery yourself...

and then answer the question "Will it blend?"

It really depends on what you're looking for.

The Macbook Air isn't meant to compete with something like the eee PC. The Air has much better technical specs, and has a footprint nearly identical to that of existing Macbooks.

A person content with the capabilities of the eee PC and who doesn't care much about Apple design won't be in the market for an Air, because it's a completely different market.

To convince people that it's a financially feasible option, it seems Apple really needs to push the 'thin' idea. But how important is that really important to people? I don't mean that rhetorically, I'm genuinely curious. Is anyone here willing to pay that kind of premium for a thinner form factor?

Thin is part of it. The whole package is what Apple usually sells. With the iPod, it was everything from the iTMS to iTunes to the player. For the Air, it is a good sized display and full-sized keyboard in the smallest possible package. So, you can interface with a machine just like every other machine with a nice trackpad, keyboard, screen, camera, etc. And, backli keyboards rock. No other vendor has anything like it on a portable.

The eee is a very low priced machine that has a lot of compromises. The display is tiny. Most people would not be comfortable using such a small display for long periods of time. The keyboard is cramped. The best thing that I have seen in a review is something like 'I got used to it and can almost type as well as a full-sized keyboard, but...' The trackpad is equally cramped. The amount of storage is miniscule for doing much more than surfing and e-mail. The amount of RAM is livable, but not great. But, the eee PC is very inexpensive. It is what it is. Cool machine, but more of a niche machine.

I think that Apple's intent was to go as small as possible without giving the user the feeling that they have sacrificed a lot in the ultra-portable form factor. Certainly, there are compromises, but if the correct ones are made, you do not think about it often.

I don't mean that rhetorically, I'm genuinely curious. Is anyone here willing to pay that kind of premium for a thinner form factor?

Yes. Thin is nice. Light is better yet. For folks that lug their machines around a lot (back and forth to the office or traveling), I think that it is with the premium. While it is hard to say definitively without putting my hands on it, it appears that the Air fits my needs better than most of the other ultra-portables. For me, I think that it could be worth the $1,800 price tag.

This blog post seemed to sum up my thoughts pretty well. It's seeded here. Also, David Moore addressed the feasibility of the Air being used in photography (here). It makes me wonder if its really required anywhere? There doesn't seem to be a whole lot wrong with the size of the MacBook, plus its a hell of a lot cheaper and a whole lot faster.

There are a lot better MP3/MP4 players than the iPod, but that does not mean much. The Air is simply perfectly stylish which will appeal to fashion conscious people and as for more legitimate ownership reasons, I can already see small-framed female executives lining up for this...

That's the second time tonight that someone has tried to tell me that executives will buy this laptop. Executives buy HP, Lenovo, Dell. OS X still has no meaningful way of authenticating to a Microsoft AD domain, so I don't think Apple should be relying on this selling well to corporate users.
Executives do have a way of making their IT departments do some crazy @!$%# (I can speak from experience), but there does come a point (somewhere between trying to access network NTFS drives and not being able to run the company proprietary software) when the bosses realize its just all too hard, and they swap it for a Thinkpad.

Well, you say, what about students who want something for class? Umm, Too expensive. No student I know can afford an $1800 writing pad.
Or someone who has a desktop computer already, and wants something to take with them on the road to help them 'stay on top'? Again, too expensive.
I think when people see this side-by-side with a regular MacBook, they'll soon sacrifice that marginal benefit of something thinner and lighter, for something more powerful and cheaper, yet still not massive by any stretch.

That's the second time tonight that someone has tried to tell me that executives will buy this laptop. Executives buy HP, Lenovo, Dell. OS X still has no meaningful way of authenticating to a Microsoft AD domain... the bosses realize its just all too hard, and they swap it for a Thinkpad.

Absolutely. I work in investment, and using a Mac for any sort of business purpose is: 1. a royal hassle for IT, because while it's UNIX-based, it's a security and connectivity contingency totally different from the end-to-end Microsoft network solutions most firms buy, 2. it's laughed out of the office.

Without a sizable active push towards business interoperability (i.e. conforming to Microsoft's protocols), Macs will never (within the next 10 years) gain traction in business.

Well, you say, what about students who want something for class? Umm, Too expensive. No student I know can afford an $1800 writing pad.

I don't know about you, but a sizable number of students get laptops as graduation presents, or convince their parents to help them pay for one.

I think when people see this side-by-side with a regular MacBook, they'll soon sacrifice that marginal benefit of something thinner and lighter, for something more powerful and cheaper, yet still not massive by any stretch.

Well, it's also aluminum (i.e. "shiny") and has social cachet among the in-crowd. While such things may seem, objectively, a non-issue, they're worth the extra cost to some.

no need for disks and a better integration to the home theater.

Aren't Netflix and BB just streaming services? Apple TV is download and play.

With a sub-optimal internet connection, a streaming movie could be painful.

"Luke, I am ...."
Please Wait. Buffering....50%...60%...70%...80%...90%...Done.
"... your father."

um, bb and netflix have very limited ability to hook into your home theater. Apple has a much better system.