Apple to give some real competition to Amazon and Netflix by offering TV Subscription Service in more than 100 countries. It’s time to chase and watch each brand’s strategic moves to top the other global performers.
The leading technology giant, Apple has taken a smart, yet a challenging move by launching TV Subscription Service. Initially, Apple’s new TV service will pilot in the U.S in the first half of 2019 and will make the app available globally in the next few months.
With the news, comes a good gesture for the Apple users who will be given free access to Apple’s original programs and will allow the users to sign up for TV network subscription owned by other companies. With the fast pacing market penetration strategy, Apple seems to catch up with the existing leaders in video streaming services in over 190 countries. However, rivals have already rolled up their sleeves to tackle the rising competition. One of the main things that may obstruct Apple from conditioning its expansion – the service will only be accessible and available to Apple device owners, including Apple TVs.
According to Parks Associates, Apple is considerably lagging behind in many categories. Apple TV with 28% of the U.S market for streaming devices is behind Roku with 37%. With 15% of the global market to Android’s 85% is not an easy thing to conquer the competitors like Amazon, Netflix and Roku etc.
An analyst at Macquarie, Tim Nollen suggests that Apple can smartly position its latest move as a convenience to its device users for making television viewing easier rather than going head to head with Netflix and Amazon. This is particularly true as the number of over-the-top services continues to grow globally.
“Having the ability to make life easier for consumers in this fragmented, over-the-top marketplace makes sense,” he said.
In June 2018, Apple successfully tested its tvOS 12, an operating system designed for viewing entertainment on big screen devices, and collaborated with U.S. cable operator ‘Charter Communications’ to provide Apple TV 4K to its customers. Negotiations have begun between Apple and the programmers in regards to content acquisition. With a budget of over $1 billion, Apple is continuing to sign deals like Oprah Winfrey and Sesame Workshop for children’s programming to do shows for its service.
Challenges will continue to surface as the idea of original programming hasn’t received enough encouragement as the service isn’t likely to be the same in every country. Furthermore, some media companies are trying to negotiate about getting their shows on the Apple app.
Apple fans and followers are desperate to get more insights from the concerned. Whereas, Apple is busy with the execution to blow the show. For more jaw-dropping technology insights, subscribe to our newsletter now.