Apple is negotiating with Hollywood studios to put movies on cloud servers, which would help users stream those movies on Apple devices such as iPads or iPhones, as per media reports.
The service could launch as early as late 2011 or at the start of the next year, as reported by LA Times. This could be possible with Apple’s system, an alternative approach to the Ultraviolet digital locker, expected to launch with “Green Lantern” and “Horrible Bosses” this week.
In spite of the fact that Apple's system is Ultraviolet's rival, several of the studios are reportedly keen to welcome the company to the industry.
Ultraviolet offers a digital copy of a purchased DVD or Blu-ray, available for streaming to DRM-compatible devices. Apple’s system could also end up working with Ultraviolet, if further details in the negotiations go according to plan.
Meanwhile, Apple has not made any comments on the LA Times report.
With the launch of iCloud along with iOS 5, which is Apple's latest mobile operating system, the company is now allowing all iTunes customers to re-download all their purchased music and TV shows to any of their devices. Keeping this situation in mind, integrating movies purchased in iTunes into the iCloud as well could be possible.