Apple Announces Its Long-Awaited Streaming TV Service
gvw_ap_news
By Associated Press
Published 5 years ago on
March 25, 2019

Share

CUPERTINO — Apple announced a new streaming service, Apple TV Plus, which will house its original shows and movies and could compete with Netflix, Amazon and cable TV itself.

Apple is making the announcements at its Cupertino, California, headquarters, in a Monday event studded with celebrities including Steven Spielberg, Jennifer Anniston, Reese Witherspoon and Steve Carell. The iPhone has long been Apple’s marquee product and main money maker, but sales are starting to decline . The company is pushing digital subscriptions as it searches for new growth.

The company also laid out the details of its news subscription service, Apple News Plus, and a new credit card.

The news service costs $10 a month and includes roughly 300 magazines and a handful of major newspapers, including The Wall Street Journal and the Los Angeles Times. Missing from the announcement were other major newspaper publishers, who have reportedly been wary of Apple’s terms. Apple says advertisers won’t track readers inside the app. That distinguishes it from Facebook and Google, the other major online news hubs.

The company also said it is launching a MasterCard credit card called Apple Card. It will integrate Apple Maps to show users where they spend money, but at the same time, Apple says it won’t know where you spend or where.

It won’t have any late fees or annual fees and offer 2 percent cash back. Other cards also offer cash-back rewards.

But the biggest splash was its video service. Apple also noted Monday that its Apple TV app brings together different streaming services and traditional cable subscriptions.

Expected to Have Original TV Shows and Movies

Netflix, which didn’t show up during Apple’s presentation, turned “binge watching” into a worldwide phenomenon several years ago. Apple’s new video service is expected to have original TV shows and movies that reportedly cost it more than $1 billion — far less than Netflix and HBO spend every year.

Making must-have TV shows and movies that are watchable on any device has turned Netflix into a force in both Silicon Valley and Hollywood.

“Apple is very late to this game. Netflix has become the gold standard in how to create and distribute content, using all the data they have about their viewers.” — eMarketer analyst Paul Verna

But Apple remained focused on making on gadgets: iPhones, iPads, computers and its Apple TV streaming box for TVs. Apple co-founder Steve Jobs began toying with the idea of building a powerful TV business, but he couldn’t pull it off before his death in 2011. It has taken his successor, CEO Tim Cook, nearly eight years to draw up the script that the company will now try to execute.

“Apple is very late to this game,” eMarketer analyst Paul Verna said. “Netflix has become the gold standard in how to create and distribute content, using all the data they have about their viewers.”

Netflix’s prowess has attracted 139 million subscribers worldwide. But Apple will have several other deep-pocketed competitors fighting for consumers’ dollars. Amazon has also become a formidable force in video streaming. Walt Disney Co. is launching its own service this year, armed with an imposing library that became more formidable with its purchase of 21st Century Fox’s films and TV series. AT&T is debuting another streaming service built around HBO.

Apple has plenty of money to spend, though, with about $245 billion in cash and marketable securities. It must prove itself attractive to Hollywood even without a track record for supporting high-quality programming and then ensuring it gets widely seen.

As part of its efforts to make quick connections, Apple hired two longtime Sony television executives, Jamie Erlicht and Zack Van Amburg, in 2017. They have signed up stars such as Steven Spielberg, Ron Howard and Sofia Coppola, who spoke during a video Monday.

DON'T MISS

Will FUSD Trustees Look First Only at Internal Candidates in Superintendent Search?

DON'T MISS

The 49ers Have Been Docked a 2025 Fifth-Round Draft Pick for an Accounting Error

DON'T MISS

Ohtani to Begin Throwing Program Soon. Roberts Hints Dodgers Star Might Play in the Field

DON'T MISS

Brothers Say They Found Amelia Earhart’s Plane, Will Donate It to Smithsonian

DON'T MISS

These Fresno Eclipse Chasers Are Hoping For 4 Minutes of Darkened Bliss in Texas

DON'T MISS

California Isn’t on Track to Meet Its Climate Change Mandates — and a New Analysis Says It’s Not Even Close

DON'T MISS

Aaron Donald Announces His Retirement After a Standout 10-Year Career With the Rams

DON'T MISS

Baseball Superstar Ohtani and His Wife Arrive in South Korea for Dodgers-Padres MLB Opener

DON'T MISS

Terrified Residents of San Francisco’s Tenderloin District Sue for Streets Free of Drugs, Tents

DON'T MISS

If You Want to See the April Eclipse, Make Sure to Protect Your Eyes

No data was found

The 49ers Have Been Docked a 2025 Fifth-Round Draft Pick for an Accounting Error

3 hours ago

Fresno Bank Sued. It Allegedly Helped Bitwise Commit Fraud.

bitwise /

3 hours ago

How California’s Prized Solution for Methane Gas Is Backfiring on Farmers

environment /

6 hours ago

Supreme Court Seems Favorable to Biden Administration Over Efforts to Combat Social Media Posts

7 hours ago

Putin Extends Rule in Preordained Russian Election After Harshest Crackdown Since Soviet Era

7 hours ago

Ohtani to Begin Throwing Program Soon. Roberts Hints Dodgers Star Might Play in the Field

7 hours ago

Trump: Some Migrants Are ‘Not People’, There’ll Be a ‘Bloodbath’ if I Lose

7 hours ago

Tech Lawyer and Philanthropist Nicole Shanahan Rumored as RFK Jr.’s VP Pick

news /

7 hours ago

March Madness is Here. UConn, Purdue, Houston and North Carolina Get Top Seeding in NCAA Tournament

8 hours ago

Crafts Retailer Joann Files for Chapter 11 Bankruptcy as Consumers Cut Back on Pandemic-Era Hobbies

8 hours ago

Records Show That Valley Children’s Leader Suntrapak’s Pay Exceeds $5 Million

â– Valley Children’s paid CEO Todd Suntrapak $5.2 million in 2021. The hospital also gave him a $5 million forgivable home loan. â– The Va...
Healthcare /

2 hours ago

3 days ago

Realtor Association Settles Lawsuit on Commission Rules. Fresno Broker Fears the End of Market Transparency

3 days ago

Prosecutor Leaves Georgia Election Case Against Trump After Relationship With District Attorney

3 days ago

Rory McIlroy’s 65: 10 Birdies, 2 Tee Shots in the Water, 1 Testy Dispute

3 days ago

Aaron Donald Announces His Retirement After a Standout 10-Year Career With the Rams

3 days ago

New Book Explores the Myths, Truths and Legacy of the Macho Man

3 days ago

Baseball Superstar Ohtani and His Wife Arrive in South Korea for Dodgers-Padres MLB Opener

3 days ago

India’s New Citizenship Law Excludes Muslims. Here’s What to Know

3 days ago

US, G-7 Allies Warn Iran to Back Off Deal to Provide Russia Ballistic Missiles or Face New Sanctions

Photo of San Francisco 49ers' Arik Armstead

3 days ago

Former 49ers DT Arik Armstead Agrees to a 3-Year, $51 Million Deal with the Jaguars, AP Source Says

3 days ago

Supreme Court Rules Public Officials Can Sometimes Be Sued for Blocking Critics on Social Media

Search