Apple sells a million videos in new service

NEW YORK - Apple Computer on Monday said itsiTunes online service has sold a million videos in under 20days, sending shares up almost 5 percent.

iTunes, the most popular online music store, began sellingabout 2,000 music videos and episodes of ABC's "DesperateHousewives" and "Lost" for $1.99 (1.12 pounds) on October 12.

The debut coincided with the launch of a new generation ofApple's iPod digital music player that can play video on its2.5-inch color screen.

Technology, media and Wall Street analysts are eyeingApple's performance for validation that a market for legaldownloading of videos exists.

Topping the list of big sellers were music videos byMichael Jackson, Fatboy Slim and Kanye West, as well asepisodes of ABC shows.

"Selling one million videos in less than 20 days stronglysuggests there is a market for legal downloads," ,Apple CEO, said in a statement. "Our next challenge is tobroaden our content offerings."

At the service's launch, Walt Disney's ABC was the onlynonmusic programming provider aside from Jobs' Pixar AnimationStudios, which is also providing short films for the service.

Sources have said Apple is in discussions to lure more U.S.

television networks to provide programming.

Apple shares gained $2.63, or 4.8 percent, to $57.10;Shares of RealNetworks, which operates a rival online musicservice, gained 37 cents, or 4.9 percent to $7.87 on the Nasdaq

in afternoon trade.

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