Hollywood, ever cautious and cool to new technologies, is not liking what it sees with the Disney/ABC agreement to sell its shows for $1.99 on iTunes.

It seems they think the $1.99 is too low.

Media executives, however, said it costs very little for networks to repackage shows for downloading in what amounts to test marketing because the consumer appetite, costs and profits of those programs already have been realized in other arenas.

The networks can afford to experiment, but independent film and TV production companies, which the networks rely on to dream up shows, want hard facts before investing dollars in new
programming.

In a long-predicted move, Apple announced it has added video to iPod, and is starting by partnering with Disney to offer its TV products online.

As part of that collaboration, commercial free episodes of two of U.S. television’s highest rated shows — ABC’s “Lost” and “Desperate Housewives” — will be available for download from Apple’s iTunes online music store a day after their network broadcast. Last season’s episodes will be available for download immediately.

Viewers will then be able to watch the shows at their leisure on the new video playing iPods and newly upgraded iMac computers unveiled by Apple on Wednesday.

In addition to “Lost” and “Desperate Housewives,” iTunes will also offer downloads of ABC’s new drama “Night Stalker” and Disney Channel’s two most popular cable TV shows, “That’s So Raven” and “The Suite Life of Zack & Cody.”

The downloads will be priced at $1.99 per episode, the same as iTunes will charge for music videos. The service sells songs for 99 cents each.

Iger said he sees the portability of the TV-viewing experience offered by iPod and similar devices “as the future as far as we are concerned.”

Here’s a good example of how a citizen with camera and a blog can correct a misleading and biased MSM message.

Hat tip: Powerline