Apple will debut a new video download service tomorrow, if the rumours currently spooling around the industry proves correct.

An invitation to the latest Apple conference was sent out to a select bunch in the media with the tagline “It’s Showtime”.

Speculation is rife that Apple could also launch a new iPod with a wider screen for movie fans wanting to watch videos downloaded from the Apple movie store.

Steve Jobs is the biggest stockholder at the Walt Disney Company, after acquiring Pixar Animation Studios Inc earlier this year. Business Week reports that this “connection provides a natural toehold for Disney to be among the first to sign a distribution deal.”

The report also claims that Hollywood studios are currently in discussion with Apple about making movies available as downloads.

But apparently not everyone is happy about such an arrangement and this could limit what movies are made available on any Apple movie store.

If the launch does go ahead tomorrow, Apple will hope to monetise and legitimise the video downloading industry. And, if the success of iTunes is anything to go by, YouTube may have a run for its money.

Tomorrow, all will be revealed. Popcorn, anyone?