Apple recently released a new Apple TV Update that allows users to redownload television programs they have purchased, but did not allow the same feature for movies. However, rumors are that the movie feature will be released soon. iCloud is expected to be released soon, and will allow for even more streaming to wireless devices. Not only will iTunes Replay allow you to redownload videos, you can also stream the videos.

With the storage restrictions on most iOS devices, the streaming feature will be a great addition to anyone looking for more of a video variety on their device. Apple’s current functionality allows users to redownload purchased music and apps, so it only makes sense that movies and TV Shows would follow suit.

We are expecting iTunes Replay to launch with iOS 5, iCloud and we hope, the new iPhone 5. Stay tuned here for more information on what is coming next.

Why?

Apple might be ready to roll out its own video subscription service similar to Amazon and Netflix, Peter Misek at Jefferies reports in a note this morning.

Specifically, he says, “As part of Apple’s roll-out of cloud video services (and eventually an iTV), we believe Apple has unannounced deals with all/most of the studios/TV networks that are similar to the subscription streaming deal between Amazon and CBS.”

Amazon and CBS recently struck a deal for rights to stream old CBS shows.
CBS has benefited from these deals, so we’re sure it wants to do more. It reported a 21% jump in licensing revenues last night. And according to All Things D, on CBS’s earnings call, CEO Les Moonves said, “We hear about Apple wanting to buy content, and Google. Et cetera, et cetera. And Microsoft.”

This streaming service would be a surprise, but it shouldn’t be entirely unexpected. On Apple’s earnings call, CFO Peter Oppenheimer said Apple has “some neat stuff coming” for iTunes movies and TV content.

Further confirmation of Misek’s report comes from AppAdvice, which reports, “Apple is on the edge of finally launching a full-fledged re-downloading and possibly streaming service named iTunes Replay.”