Reuters is reporting that Time Warner's HBO cable network is expected to start selling shows in Apple's iTunes Store, and with flexible pricing, sources familiar with the discussions said on Monday.

The report said that episodes of some HBO shows are likely to be sold at the standard price of $1.99 per episode or higher, these sources said, marking the first time Apple has agreed to selling television shows at different prices in the United States. An official announcement may come as early as today. Like all shows sold in the iTunes Store, they'll be playable on iPhones, video-capable iPods, the Apple TV set-top box, and on desktop PC and Macintosh computers.

The lack of flexible pricing was what NBC claimed drove them away from the iTunes Store in the first place.