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Wal-Mart, Apple Considering Digital Download Deal

After months of pressuring movie studios not to partner with Apple to make movies available for download via iTunes, Wal-Mart itself may be ready to partner with Apple over movie, music, and TV show downloads.

Apple and Wal-Mart are considering an alliance that would allow consumers to purchase a digital download "coupon" that would let consumers download movies, music, and TV shows, with Apple paying Wal-Mart a portion of the proceeds, Variety reports. The move would in turn allow the major movie studios to finally open their catalogs to Apple.

So far, Disney is the only major studio that has a distribution deal with Apple. Others considering following Disney's lead were reportedly put off by Wal-Mart's pressing them for the same pricing deal on movie downloads that Apple would have gotten.

Though Wal-Mart wants to move into the digital download business, it also understands the power of DVD sales. Variety notes that DVDs drive foot traffic in the store, with the average purchase for a consumer who buys a DVD at $75, far more than those not buying a DVD.

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