Apple is targeting April to launch its new video service

“Apple is in the final stages of preparing its new streaming video service, which will feature free original content for device owners and a subscription platform for existing digital services,” Alex Sherman reports for CNBC. “But don’t expect Netflix to be a part of it, and HBO’s participation is also in doubt, according to people familiar with the matter.”

“Apple is aiming to launch service in April or early May. It will allow customers to sign up for existing digital streaming products and watch them in the iOS TV application, similar to Amazon’s Prime Video Channels,” Sherman reports. “Apple wants to simplify mobile video viewing by housing content in one app instead of forcing users to launch separate apps for each service.”

“Lions Gate’s Starz; CBS, which owns Showtime; and Viacom are expected to offer subscription streaming services on the Apple platform, according to people familiar with the matter,” Sherman reports. “Netflix and Hulu aren’t part of Amazon Prime Video Channels and aren’t expected to be a part of Apple’s product either, according to people familiar with the matter.”

MacDailyNews Take: Our moms could start a streaming service and Starz and Showtime would sign on.

“HBO may join its premium network brethren but isn’t as far along in discussions with Apple, one of the people said. Apple hasn’t offered HBO the same terms that Amazon offered, said the person,” Sherman reports. “Apple is pushing for a 30 percent cut on every customer that subscribes to an over-the-top video service through its streaming service, three of the people said. Currently, Apple takes a 15 percent cut on revenue from customers that sign up to HBO Now, Netflix, and other streaming apps through the App Store, two people said.”

Read more in the full article here.

MacDailyNews Take: An April launch would be excellent! We’re really only interested in Apple’s new original content. We already have subscriptions to HBO and Netflix, thanks. While it’d certainly be nice to have both (and Hulu) fully integrated into Apple’s TV app, we’ll survive without them for the time being – until the holdouts realize that they’d do better inside the TV app that going it alone (which they eventually will; see the iTunes Store holdouts of yore – you’ll find them in the iTunes Store.)

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4 Comments

  1. I will withhold judgment until the final product is released, but there seem to be multiple competitive headwinds to make this a challenging environment. But if they can resist the urge to price it in the stratosphere, with software that doesn’t frustrate, well, definitely maybe.

  2. Apple has made admirable progress with Apple Music and catching up to Spotify’s vast lead. Video will be more challenging because of the role original content plays and the lead Run 3, Netflix and Amazon have in that regard

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