NBC to shut down iTunes dealNBC Universal, one of the companies that allied with Apple to bring content on iTunes, announced that it will end the partnership with the Cupertino firm. NBC used the Apple platform to sell content on the Internet but, due to some negotiation issues concerning the pricing of the movies, the agreement will be ended. The New York Times reports that NBC's representatives confirmed the rumors but the Apple officials refused to comment on them. NBC brought a lot of content on Apple's iTunes including 'Heroes', 'Battlestar Galactica' and other video content owned by the media company.
A few days ago, NBC and News Corporation announced that they are preparing to launch the long-awaited video sharing platform which is expected to represent the new threat for YouTube. Formerly named Hulu, the new video product will provide one click access to NBC's content, almost the same as the one offered to iTunes. The decision of stopping the agreement with Apple was probably influenced by Hulu, the service which is supposed to go out as a private beta in October 2007.
But it might be possible to see a change in the negotiations as the two companies continue to talk about the deal. "The two companies could still reach an agreement on a new contract before their current deal expires. While each side has so far refused to budge, the talks will continue and have been free of acrimony, the person familiar with the matter said," the New York Times wrote.
Meanwhile, YouTube gets ready for the big release of Hulu, the new video sharing platform that is supposed to fight with Google's product for the supremacy of the category. NBC and News Corporation announced the product since the beginning of the year, saying that their technology will represent the best YouTube alternative ever created.