Apple Boots NBC Off iTunes

There is a game of corporate chicken going on. Hours after NBC decided that it was going to pull its shows from the iTunes store at the end of this year, Apple (AAPL) trumped them and will not sell shows from the upcoming TV season on iTunes, the largest online music and video store.

Apple declined to pay more than double the wholesale price for each NBC TV episode, which would have resulted in the retail price to consumers increasing to $4.99 per episode from the current $1.99. Apple’s agreement with NBC ends in December. Since NBC would withdraw their shows in the middle of the television season, Apple has decided to not offer NBC TV shows for the upcoming television season beginning in September. NBC supplied iTunes with three of its 10 best selling TV shows last season, accounting for 30 percent of iTunes TV show sales.