“It looks like Apple’s mysterious ‘AppleTV’ project may not be so revolutionary — or disruptive — after all,” Julia Boorstin reports for CNBC. “After months of speculation that Apple will upend the TV business, allowing consumers to ‘cut the cord’ and buy TV channels a la carte, the latest word is that Apple will not threaten cable operators and their media giant partners.”
“The Wall Street Journal reports the tech giant is in talks with cable operators to use its device as a set top box. If this is true, cable and media moguls must be breathing a huge sigh of relief,” Boorstin reports. “Though nothing has been settled, Apple would offer a service from the cable operators, likely charging them a fee — it takes 30 percent of much of the content it sells. Ultimately Apple would offer a cool interface to seamlessly navigate TV and web content.”
Boorstin reports, “(If this is true) Bottom line: Apple is focusing on the box and not the delivery system because the content creation and delivery companies are just far too entrenched to be disrupted. The largest media company — Disney — and the largest distribution company — Comcast — struck a ten year distribution deal earlier this year. That means it’s going to be virtually impossible for Apple to offer channels a la carte…. Media companies are wary of giving too much control to Apple — look at the disaster that befell the music industry when Steve Jobs controlled all transactions.”
Read more in the full article here.
MacDailyNews Take: Look at the disaster that befell the music industry? You mean, Apple saving its ass from all-out piracy? Without Apple or Steve Jobs there would be no music industry of which to speak today. And Steve Jobs never “controlled all transactions.” Not even close. Stick to reporting facts, Julia.
Apple in talks with U.S. cable operators over transforming Apple TV into set-top box for live television – August 16, 2012