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YouTube to Launch Movie Rental Service

Google is reportedly preparing a movie rental service for YouTube, the Wall Street Journal reports.

The service — which would compete with online rental firms like Apple, Amazon and Netflix — is pending closed testing among 10,000 employees. The pilot shall last three months and is currently awaiting the completion of negotiations with Warner Bros., Sony Corp. and Lions Gate Entertainment before kick-off.

Rentals will likely cost $3.99 per film, with studios getting a 70% cut. YouTube will host the titles on the same day as their DVD releases.

An interesting development as Google struggles to montize the online video giant.

I think its a great idea, I know id be happy to pay $4-7 to have a choice of recent releases in the convenience of my own home.

Got to be better than the supposed “Box Office” feature on my cable TV that has 5-10 (crappy movies) at a time…whats up with that…if they can pipe 5-10 to my TV why not 50-100?


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