Rumored iTunes TV Service Could Advance Cross-Platform Content
The news broke yesterday that Apple is trying to drum up support for a monthly subscription service that would stream TV programs via iTunes.
While episodes of some shows are already available through the service, this would represent a different go-to-market strategy for Apple. It would charge $30/month and present the offer as an extension of its current offerings.
There's definitely a growing demand among consumers for cross-platform content, and this could make for a much more seamless, real-time experience. Meanwhile, the cable companies are prepping their own multi-screen strategy called "TV Everywhere."
"We believe in the TV Everywhere model as the best solution, from the consumer's point of view," said David Poltrack, chief research officer at CBS Corporation, in AdAge. "We've done a lot of extensive research and we know the distribution of content on the internet and mobile helps generate trial for programs that do migrate to TV and create a higher level of engagement for programming that benefits both the content provider and the advertisers."
When it launches, cable subscribers will get additional features for their current monthly fee. "It isn't likely that many video viewers will also pay Apple for online content," eConsultancy points out. "However, viewers who are tired of dealing with their cable company could easily drop their terrestrial TV subscription for online. Or, new customers who have avoided cable could be drawn to the service."
The speculation is that if anyone jumps first, it will be Disney, since they have played nice with Apple in the past. However, while network executives are intrigued by the idea (= new revenue streams), they are also wary, not wanting to go down the same road as the music labels and get locked into a fixed pricing situation.
We'll see if the networks bite, but it could be an exciting leap forward for multi-screen access.
