The option to rent episodes of TV shows is no longer available on
either the Apple TV, or when browsing content via Apple's iTunes
application. Previously, participating networks offered users the
ability to rent a TV episode for 99 cents, with 30 days to begin
watching and 48 hours to complete it.

http://www.appleinsider.com/articles/11/08/26/99_cent_tv_show_rentals_quietly_removed_from_apple_tv_itunes.html

Apple says they are doing this because people prefer to buy episodes.
I think the reason is either they lost their market to Netflix
Streaming or they couldn't get enough deals signed with studios.

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