“Apple Inc. is taking its time building an original-video operation, but its streaming efforts could become a major contributor to services revenue in just a few year,” Emily Bary writes for MarketWatch.

“Morgan Stanley analyst Katy Huberty raised her price target on Apple shares to $245 from $232 on Wednesday, writing of the company’s opportunities in video and streaming,” Bary writes. “‘We believe that Apple Video will become a reality sooner than investors think,’ she said, and if the company plays its cards right, it could bring in $37 billion in media revenue by 2025.”

“Huberty figures that Apple could take one of two approaches with its video offerings: focus on a standalone video service or combine original content with its music and subscription news products,” Bary writes. “Apple could perhaps offer a standalone video product for $7.99, reasoned Huberty, which is lower than what Netflix Inc. and others charge. But the company seems focused on quality over quantity, meaning that it might not have a huge content library at the start and thus would be ‘more reliant on big hits.’ With a bundled offering, Apple could appeal to more value-oriented customers, those who might currently be considering Hulu and Spotify’s combined $12.99 product. It could offer a video-only option as well.”

Read more in the full article here.

MacDailyNews Take: Apple will have big hits. The strength of the talent, from executives to producers to writers to actors, that they’ve already signed and the projects currently underway is unmatched.

SEE ALSO:
Apple orders a sitcom from ‘It’s Always Sunny in Philadelphia’ creators – August 10, 2018
TV series based on Min Jin Lee’s ‘Pachinko’ in the works at Apple – August 8, 2018
Apple announces multi-year partnership with Oprah Winfrey – June 15, 2018
Apple inks content deal with Oprah Winfrey – June 15, 2018
Apple’s original content is further along than you think with 16 new shows in the works – June 15, 2018
Apple is close to a deal for an animated feature film – June 14, 2018
Breaking Bad’s Aaron Paul join Apple’s upcoming drama ‘Are You Sleeping?’ – June 14, 2018
Apple nabs creative development executive Layne Eskridge from Netflix – June 12, 2018
Apple hires Broadway Video’s Kelly Costello as business affairs executive – June 12, 2018
‘Master’s of Sex’ star Lizzy Caplan joins cast of upcoming Apple series ‘Are You Sleeping’ – June 7, 2018
Apple TV: The underestimated story – June 5, 2018
‘Once Upon a Time’ co-creators sign on as showrunners for Steven Spielberg ‘Amazing Stories’ reboot for Apple – May 22, 2018
Apple inks deal for Isaac Asimov ‘Foundation’ TV series – April 10, 2018
Apple aiming original TV series launches for spring or summer 2019 – March 26, 2018
Is this Apple’s plan for Apple TV? – March 22, 2018
Apple orders animated comedy ‘Central Park’ from ‘Bob’s Burgers’ creator Loren Bouchard – March 12, 2018
Apple hires Carol Trussell as Head Of Production for Worldwide Video Programming division – February 22, 2018
Apple’s TV tactics: Can Cupertino figure out the television formula? – January 16, 2018
Apple orders ‘See’ series, a futuristic drama from ‘Hunger Games’ director – January 10, 2018
Life after iTunes: Apple’s big media challenge – January 9, 2018
Apple developing new original drama ‘Are You Sleeping’ starring Octavia Spencer – January 3, 2018
Three more Amazon Studios executives move to Apple – December 26, 2017
Apple orders space drama series from ‘Battlestar Galactica’ producer Ronald D. Moore – December 15, 2017
Apple gives Jennifer Aniston-Reese Witherspoon series a 2-season order, confirms Spielberg’s ‘Amazing Stories’ reboot – November 9, 2017
Apple outbids Netflix for show starring Jennifer Aniston and Reese Witherspoon – November 8, 2017
Apple eyes iconic studio as base for Hollywood production push; vying with Netflix for high-profile Jennifer Aniston drama – September 1, 2017
The magic and misdirection of Apple’s streaming strategy – August 18, 2017
Apple wants to spend $1 billion on 10 original TV shows over the next year – August 16, 2017
Former WGN America president Matt Cherniss joins Apple in latest TV push – August 15, 2017
Rivals leaving Apple behind as Apple TV remains stuck in a test pattern – August 8, 2017
Apple’s so-called TV ‘strategy’ continues to be an embarrassing joke – June 30, 2017
Apple poaches Sony TV executives to lead major push into original content – June 16, 2017