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9:48am - Star Trek! I love the old Star Trek movies..." Chuckles. Blades of Glory: "Fun movie -- I can read about the movie, see the actors, directors..." shows recommendations based on what others have viewed.
9:47am - "All these features and an entirely new UI." Demo time! "This is the new UI -- one menu, it couldn't be simpler. Let's go into movies..." Man, this is a sexy interface, no doubt.
9:46am - "And, of course, play iTunes content. So all of this stuff on the new Apple TV. Let me focus on the HD movies for a minute... the library titles are $2.99 and $3.99 -- for just a dollar more rent them in HD, $3.99 and $4.99 -- there are over 100 titles available today.
9:45am - Here's what you can do with Apple TV: rent movies directly on widescreen TV with Apple TV. Rent them in DVD quality, rent them in HD with 5.1" HUGE applause! Screaming.
"Dolby 5.1 surround. The quality is unbelievable. You can also view audio and video podcasts right on ATV, choose from 125k podcasts and see them right on your widescreen. Get photos from your computer... get them also right over the internet from Flickr and .mac." Flickr support, good gawd yall.
"And, of course, YouTube -- we've expanded the selection. There's now over 50m videos from YT, This has worked out so great, our customers love this. Buy TV shows and music right from your TV. And if you're using a computer it'll sync BACK to your computer."
9:44am - "I'd like to say all of us have tried. We have, MSFT, Amazon, TiVo, VuDu, Netflix, Blockbuster -- we've all tried to figure out how to get movies over the net onto the TV. We've ALL missed. No one's succeeded yet. We tried with Apple TV -- it was designed to be an accessory for iTunes and your computer. But that's not what people wanted."
"We learned what people wanted was about movies. Movies. Movies. We weren't delivering that -- we're back with Apple TV Take 2 -- It still syncs to your computer, but no computer is required
9:43am - "It launches today! Free software update for iTunes, iPods, iPhones to support rentals. Rolling it out in the US today, we're dying to get this out internationally. But what about this? What about the flat screen TV? I'd like to watch the movies there too."
9:42am - "Here's how it works -- I'm on iTunes, looking at a movie I want to rent, I hit rent movie, and it adds to my rented movies category in my iTunes library...." Sorry for the technical difficulties everyone! We're at 10x the traffic of our last keynote, but things are coming back online.
9:41am - "Watch instantly! In less than 30s..." it streams. "The rules -- you have 30 days to start watching it, and once you start you have 24 hours to watch and finish it. As many times as you want. You can transfer films to another device in the middle -- transfer to your iPod and watch the rest on the iPod on your flight."
"What's it going to cost? To rent a library title will cost $2.99 -- new release? $3.99" Big applause.
9:40am - "Now, so what's the deal? We're gonna launch with 1k films by the end of February -- 30 days after DVD release. Watch anywhere, PCs, Macs, iPods, iPhone..."
9:39am - "We're gonna have all the great first run films -- REALLY, really great films. I'm sure you saw a lot of these in the theater. We've also got great library titles, Red October, Matrix... lots of library titles, all the great new ones from this last year..."
9:38am - "We've never offered a rental model in music because we don't think people don't want to rent music. But your favorite movie -- most of us watch once, and renting is a great way to do it. It's a great way to do it. We've got participation of great studios. Touchstone, MGM, Miramax,... and these six too. Lions Gate, Fox, WB, Walt Disney, Paramount, Universal, Sony..." Everyone! Huge applause
9:37am - "And we've sold 7m movies, again, more than everyone else put together. But it didn't meet our expectations, I have to tell you. We think there's a better way to deliver movie content through iTunes. So today, we're introducing iTunes Movie Rentals."