I blame studio greed. Yes you got a good deal on Snow White, thanks for the tip BTW, but normal folks will line up a BB, Target, Walmart and shell out $20-25 bucks.
Those retailers already suffer at the hands of the iTunes music store. One thing ITMS cannot offer is the sale of other items tied to movies, Toys, Games, clothes, ect. Profits from those items go back to the studio in one way or other.
Im also pretty confident the studio guys don't want to give Apple any more power over how content is sold.
Its funny that the the very few movies I actually want to see in HD are not offered that way in the ITMS. You know what studio guys, I STILL WON"T BUY THE BLURAY.
Physical media is dead to me. I don't want cases and discs laying around my house. I don't want to get up off the couch, yeah I'm lazy, to find a movie and put it into my BR player.
I want all my content in one place, my Apple TV. If I must purchase a disc, Disney movies for the little one, I use it once to make a copy and never touch it again.
Just my 2 cents