Apple has postponed the release of the Apple TV software update by a week or two, saying it needed more time to finish the upgrade that would let people rent movies directly from their televisions.

In delaying the Apple TV upgrade, the company said the software wasn’t quite finished. “Apple now plans to make the free software download available to existing Apple TV customers in another week or two,” the company said in a statement. Apple chief executive Steve Jobs had said during his Macworld keynote that the software would be ready by the end of January.

Apple Delays Apple TV Software Update — Apple — InformationWeek

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LOS ANGELES (Reuters) - Apple Inc and Twentieth Century Fox are set to announce a deal that will allow consumers to rent Fox movies through Apple’s digital iTunes Store, according to media reports on Thursday.

Apple and Fox plan movie rental deal: reports | Reuters

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Apple now derives 20 percent of its revenue from its physical stores. And the number is growing. In the fourth quarter in 2007, which ended Sept. 30, Apple reported that the retail stores accounted for $1.25 billion of Apple’s $6.2 billion in revenues, a 42 percent increase over the fourth quarter in 2006.

Inside Apple Stores, a Certain Aura Enchants the Faithful - New York Times

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A new high for Apple, as their stock peaks over $200 a share on strong sales.

For its fiscal fourth quarter, Apple reported in October that it sold 10.2 million iPods and 1.12 million iPhones.

Meanwhile, the company reported selling 2.16 million Macintosh computers, a quarterly record.

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Apple Inc. Chief Executive Officer Steve Jobs’s annual Macworld surprise may be a slimmed-down laptop and a higher-capacity model of the iPhone.

Jobs traditionally uses the Macworld Expo in January to showcase new products. Last time, it was the iPhone and Apple TV; the year before, faster Macs with Intel Corp. chips.

Jobs, 52, also may introduce a larger-screen handheld device for playing music and video and surfing the Web, said Andy Neff, an analyst at Bear Stearns & Co. in New York. Apple may also unveil a new version of Apple TV, a $299 device that connects to TVs and lets people watch movies and shows stored on their PCs.

Apple’s Jobs May Surprise With Slim Mac, New IPhone

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 Lost in the news of iTunes updates and DRM-free music, comes the updated AppleTV.  I knew this was coming sooner or later.  The next version of AppleTV sports a 160 GB drive, 4 times the current drive size.  Also upgraded, the price.  The next version is $399, up from the original $299 price tag.

 Apple also announced that AppleTV users will be able to browse YouTube, as well as login to their YouTube account via their AppleTV.  Initially only the most popular videos will be available, until later this year when it expands to the entire YouTube library.

 The new 160GB version if AppleTV is reportedly to be available this Thursday.

 In the midst of an expected announcement from Apple, the iTunes store is current unavailable with just the curious phrase, “It’s Showtime.”

 It is expected that Apple will be announcing the addition of full-length movies for purchase from iTunes.

 In other video iPod news, 4Flix.net has announced non-DRM movies and TV shows, via a monthly subscription fee.  But most of them seem to be the out of copyright films already available for free at Archive.org.  The movies will be viewable on the video iPod.

 UPDATE:

iTunes is updated with movies and games.  Enjoy Pirates of the Caribbean, Life Aquatic, or play a game of Pac-Man.  All with your iPod.  Sadly the movies are way more expensive than if you just bought the DVD, ranging from 9.99 to 14.99.  The games aren’t cheap either at 4.99.

GM and others will be adding integrated iPod connectors to more than 56% of their 2007 vehicles. Bring the total number of iPod supported vehicles for 2007 to more than 70%.

The systems will offer iPod charging, improved sound quality, and convenient iPod storage. iPod integration will give the driver full control over the iPod through the stereo controls included with the car.

The rise of iPods over Satellite radio has already been predicted.

The Queen of England has honored Johnathan Ive, senior vice president of design at Apple Computers, with the title of Commander of the Most Excellent Order of the British Empire (CBE).

The title recognizes Ive’s achievements in industrial design as leader of the team that produced not only the iPod but also the iMac, iBook and Powerbook computer lines in his nearly 13-year career at Cupertino, California-based Apple.

NBC, currently in last place for viewers within the major networks, will be trying their hand at marketing their shows via iTunes. A collection of current and older TV programs will be made available for download through iTunes.

NBC Universal has inked an agreement for 11 shows–current series as well as library programs. This includes NBC’s mainstay “Law & Order,” as well as “The Office,” “Surface,” “The Tonight Show with Jay Leno,” “Late Night with Conan O’Brien,” USA Network’s “Monk,” and Sci-Fi Channel’s “Battlestar Galactica,” as well as classic library shows “Alfred Hitchcock Presents,” “Dragnet,” “Adam-12,” and “Knight Rider.”

The shows are currently available on the iTunes store for $1.99 each, commercial-free.