Apple's upcoming video service will be lacking Netflix. HBO support
APPLE’S INCOMING video streaming service is reportedly facing the same opposition as its rumoured news subscription service and could launch without support from HBO and Netflix.
That’s according to a report at CNBC. Citing people “familiar with the matter”, it claims that Apple is aiming to launch the service in April or May, and says that while it’ll be focused on the firm’s original TV shows – such as, er, Planet of the Apps and Carpool Karaoke – it’ll also pull together shows and films from all the services you subscribe.
Well, probably not all of them. The report claims that HBO is unlikely to sign-up, noting that it “isn’t as far along in discussions with Apple”, which hasn’t offered it the same terms tabled by Amazon. Likewise, neither Netflix nor Hulu are expected to be part of the service.
The issue, unsurprisingly, centres around Apple’s proposed revenue split terms. The TV app will reportedly allow users to sign up to services rather than going through services’ own apps, and Apple is said pushing for a 30 per cent cut on every customer that subscribes.
Currently, Apple takes a 15 per cent cut on revenue from customers that sign up to HBO Now, Netflix, and other streaming apps through the App Store.
CNBC‘s scoop comes just days after a report at the WSJ claimed Apple’s subscription news service is facing resistance from publishers. Apple will reportedly price the all-you-can-read subscription service at around $10 per month and will demand a hefty 50 per cent cut of the revenue.
The remaining 50 per cent would be divided among publishers based on how much time readers spent reading each outlet, the WSJ says.
The service will reportedly be announced at a star-studded event on 25 March. µ