Microsoft Targets iTunes, Offers TV Shows For Zune

NBC Will Sell Shows For Zune Through Microsoft Service.

By Alex Weprin -- Broadcasting & Cable, 5/6/2008 9:12:00 AM

Microsoft, setting its sights on Apple’s iTunes store, will begin selling television shows for its Zune portable media player, the company announced Tuesday. NBC, which pulled its programs from iTunes due to a pricing spat, will make its shows available on the service.

In the dispute last year, Apple said that NBC wanted to push the wholesale price of TV shows up to where it would cost $4.99 per episode, while NBC said that it wanted a more flexible purchasing model, including different prices for different shows and bundling options. iTunes charges $1.99 per television episode, with a discount given if you purchase a whole season. NBC says that the deal with Microsoft did not have those same issues.

"Partnering with Zune will allow us to develop innovative content offerings for their customers, including flexible pricing and packaging options beginning this fall," said JB Perrette, president of NBC Universal Digital Distribution in a statement. "NBC Universal is excited to offer our hit television shows to Zune customers."

In addition to NBC, programming from MTV, VH1, Nickelodeon, Comedy Central, Turner Broadcasting, Starz and Ultimate Fighting Championship will be available on the service at launch, with most available for the price of $1.99