Apple is trying to work out deals with Hollywood studios to let it rent movies as digital video downloads that could be viewed on iPods, computers or Apple TV. But, while Apple may want to become a digital alternative to Blockbuster, Hollywood execs are less than thrilled by the idea.

According to a Fox News report, major movie studios are questioning Apple’s pricing and copy-protection. Some said that, because the film download market remains small, the studios don’t need to rush into a deal with Apple.

“It just feels like the ball is in our court,” said one source.

Apple hopes to rent movies for 30 days for $2.99, a price that could undercut other online rental services and could cannabalize pay-per-view revenues. Studios are also concerned that Apple’s digital rights management software would not protect against unauthorized copies being made for the video iPod and other devices.