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Netflix's market share increased to 44 percent last year, while Apple lost 32 percent of the market, according to IHS iSuppli data.
Apple has reached a deal with Fox to distribute their movies online for rental.
The Sky Store online movie rental service is now open to non-subscribers, with new films such as Alpha Papa on offer for £3.49 a pop.
A new study shows that in the months following the takedown of Kim DotCom's cyberlocker, online movie revenue increased by 6 percent to 10 percent.
More than a virtual jukebox, iTunes tops the charts in online sales of TV shows and movies, according to report.
Analysts predicted Netflix would see a 12 cents per share loss, but the company turned a 13 cents per share profit for its fourth quarter.
The video-rental service adds 1.2 million new U.S. subscribers in its third quarter, shy of the nearly 1.8 million it needed to hit its full-year target of 7 million.
Meanwhile, reps of Verizon and the U.S. government attack the proposal to give a U.N. agency more control over the Internet, which could include levying fees on content providers.
Google's video-sharing site has signed on three major Hollywood studios for the service, which could launch in the next week or two, according to a report by The Wrap.
IHS Screen Digest predicts more movies will be viewed online than via DVD. That's due in large part to the popularity of Netflix, which owns a significant percentage of that growing market, the research firm says.