Apple may be putting the finishing touches on a new feature in iTunes 8 that will allow users to stream their downloaded videos directly from the Apple’s servers for playback anywhere.
The service, expected to be called iTunes Replay, would allow iTunes users to expand their video collection without fretting over hard disk space. At the moment, it’s unclear whether this service, which allegedly works with both iTunes Movie and TV show purchases, will be free.
One of the main complaints from users about video purchases from iTunes is that they are forced to find a place to store the files once they’re finished watching them, often taking up vital disk space. Apple would essentially be offering a media center alternative.
iTunes Replay service will no doubt improve the service and usability of Apple TV, which has limited hard drive space set at 160GB. However, a major disadvantage lies in the fact that high definition video will need higher bandwidth, lest be plagued with buffering video issues.
If Apple continues to offer downloads and adds streaming video on demand, it will have quite a bit of leverage against competitors like Netflix Watch Instantly, and even Boxee. It would also allow users to unplug their Apple TV box to bring downloaded content with them and watch videos without an internet connection.
