Apple's iTunes pitch: TV for $30 a month
Would you pay $30 a month to watch TV via iTunes?
That's the pitch Apple has been making to TV networks in recent weeks. The company is trying to round up support for a monthly subscription service that would deliver TV programs via its multimedia software, multiple sources tell me.
Apple isn't tying the proposed service to a specific piece of hardware, like its underwhelming Apple TV box, or its long-rumored tablet/slate device. Instead, it is presenting the offer as an extension of its iTunes software and store, which already has 100 million customers.
A so-called "over the top" service could theoretically rival the ones most consumers already buy from cable TV operators--if Apple is able to get enough buy-in from broadcast and cable TV programmers.
That's a big if: Apple has told industry executives it wants to launch the service early next year, but I have yet to hear of a single programmer that has made a firm commitment to the company, which has tasked iTunes boss Eddy Cue with promoting the idea.
But industry executives believe that if anyone jumps first, it will be Disney, since CEO Bob Iger has shown a willingness to experiment with Apple and iTunes in the past: In 2005, Disney was the first player to sell its programming on iTunes, via a la carte downloads. And Apple CEO Steve Jobs is Disney's largest single shareholder, a result of Disney's 2006 acquisition of Jobs' Pixar animation studio. Apple didn't respond to requests for comment.
Network executives I've talked to are intrigued with the idea--they are eager to find new revenue streams--but are also wary, for multiple reasons.
Cable networks, for instance, don't want to threaten existing relationships and subscription fees from cable providers like Comcast. And programmers are also worried about the effect a subscription service would have on advertising revenue: Even if the service didn't distribute TV programs until after their initial air date, that could cut into ratings, which now measure viewership over the course of several days.
But the move to deliver TV and movies over the Web is already well under way. Netflix, for instance, already bundles free streaming movie and TV along with its disc-by-mail subscription service. iTunes and Amazon rent movies on a one-off basis, and Google's YouTube is trying out the same thing. And Hulu, the joint venture between GE's NBC, News Corp.'s Fox, and ABC, is figuring out how to launch a paid service that may include rentals, paid downloads or subscriptions.
So Apple's proposed subscription service, which the company has floated in the past, is no longer a huge stretch. Says one executive briefed on the company's plans: "I think they might get it right this time."
Story Copyright (c) 2009 AllThingsD. All rights reserved.
I guarantee you that Steve Jobs does not use iTunes to rent movies. And the people at Apple in charge of this fiasco pray that he never does.
Got Quake to run once and now you're a computer expert, huh?
But I don't follow your logic. Instead you'll be paying Apple to do the same thing. It doesn't sound like you're buying one channel or one show- it's a subscription which entitles you to more quality crahp like the Kardashians.
Apple isn't "modernizing" anything. The technology has been there for years. They're just using their new clout to offer their own subscription to the same old content. Instead of paying the cable company, you're paying Apple. Of course, you're going to have to pay the Cable company anyways for your internet access and when you get rid of your subscription TV, they'll usually tack another $10-15 dollars onto your internet bill.
In the end, you'll be paying the same or slightly less for Apple TV and getting a lot less channel choices.
both of my TVs have a PC connected to them so there is no "jury rigging" and i cant believe your actually complaining about 15-30 second commercials compared to 5 minutes on cable
Even VUDU's On Demand TV is not quite a complete solution that I would want to have. I'd want a complete subscription TV solution. Of course it would also be nice if Apple added DVR functionality and an on screen interactive program guide but they seem to be opposed to allowing it to have the functionality of a cable box.
So I'm with savvy dude in saying go Steve go! Go Apple go!
In a truly 'a la carte' model, what would be the likely minimum charge per channel? $5 a month perhaps? (probably conservative - some channels would probably want $10 a month or more, given the cost of buying individual shows at $2 each). So given your list of ESPN, History, Discovery, several kids' channels and 'the woman channels' (we'll take a leap and assume the local channels will be free or almost free), I bet you'll quickly be paying almost as much as you already do. Which might be just fine, if the iTunes interface is much better than crappy cable boxes and if you can put shows on your iPod and watch offline on your laptop etc. I'd still be interested, for those reasons. But I'd be amazed if a la carte winds up saving the average TV watcher any money. Having said that - it will be a million times cheaper than buying individual shows at $2 or $3 a pop as per the current, ridiculous model.
It'd be nice, though, if all cable channels weren't owned by the same networks and movie companies that own everything else. NBC, for an example, made every channel they own another version of NBC: USA, Bravo, UHD, Sleuth, Chiller, etc. And then it seems every channel started airing worthless, boring, stupid, should-be-banned-by-law "reality" TV shows, usually about either prison or housewives.
Then the Seven Heads of the Beast, I mean, the Seven Major Companies in Hollywood (Sony, CBS, Viacom, NBC, WB, Disney, Fox) scream at low ratings and lack of viewers when they're airing the same garbage over and over and over and over again. Blame pirates. Blame iTunes. Blame video games. God-forbid they blame their programming managers!
This would probably sell a lot of Apple TVs and Mac minis too.
To be able to access any show I want any time of day for a low monthly fee is very consumer-friendly. The only drawback would be getting real-time or close to real-time sports broadcasts. Until Apple can wrangle a streaming deal with the leagues and collegiate sports coverage networks, I may have to try and find some special sports-only package (if it even exists) to supplement an iTunes package as described here.
As for news media, I've moved to getting most of mine via RSS feeds (fastest selective coverage) and podcasts. Sorry, but I can't stand to have many of the cable news outlets as something I can stare blankly at and wait for news to be spoon fed. Give me audio or print any day.
However, if (big if) itunes offered $30 a month for cable PLUS their movie/tv show rental service (flat rate, all the tv you can watch/movies to rent) then i might consider. Throw in usuability/portability on the tablet device ( if more than just a rumor ) and i sweetens the deal even more.
I can't say i'd def pay for the service, but i would take serious time to consider it.
Instant gratification.
Streaming video to a mobile device isn't using Web browsers (HTML pages). Yes, it's using the Internet to transmit data, but it's not the Web.
If cable wasn't included in my rent, there is no way I would sign up. It is much nicer to watch higher quality and commercial free tv on iTunes. But, it is expensive to buy an episode at a time. I hope they do a everything-on demand package and cut out the commercials. Otherwise, what's the point? It would basically be Hulu with a fee... Oh wait...
Something tells me Comcast won't be letting Apple usurp their business by allowing them to fall outside of the 250GB/month cap. And before you cry net neutrality, that still won't force the providers to remove their caps, just to stop prioritizing.
I wonder just how much data would be used per month to serve up HD video to 2-4 devices... Enough left over for NON-streaming-TV usage?
The providers could always just tack an additional $30 onto your bill to remove that pesky cap... But do we think the content providers will let apple do this ad-free? Or are we back to paying $60/month for something that is still ad-supported?
February 9th: Macworld Keynote Steve Jobs announces $30 dump your cable plan with iTunes TV Store. Every single show on iTunes everything from ABC to HBO, from the WB to CBS.
February 10th: Every single cable operator in the U.S. universally and simultaneously announces a 10 Gig a month cap and a 20% price increase on ISP service, but a 20% price cut and no cap if you keep your triple play package.
My Internet is, say, $20 a month because I have a land line (very basic phone service, pay by the minute for outgoing. It costs me $7 a month and I don't have a phone even hooked up to the line). If I got rid of the $7 phone line that I never use, my internet cost goes up $10. So, yes, it's cheaper for me to get an extra service.
They'll do the same thing. If you drop your TV subscription, something else will rise. They'll start imposing a digital media transport fee or something lame like that.
Plus, personally iTunes is a curse on most Windows machines. I look forward to Windows Media Center doing the same thing through our XBox360.
- by AppleSuxLeo November 2, 2009 12:40 PM PST
- Windows 7 is a HTPC already and supports ATSC/NTSC tuners as well as HD cable cards.
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- by AppleSuxLeo November 2, 2009 12:41 PM PST
- Woot Woot !
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- by DrtyDogg November 2, 2009 12:51 PM PST
- you still have to pay fees for cable card access.
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- by cary1 November 2, 2009 12:59 PM PST
- so you don't pay anything to your cable company?
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- by AppleSuxLeo November 2, 2009 1:24 PM PST
- OTA is free , and has the HIGHEST quality HD possible. Not compressed like iTunes, Cable , Satellite
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- by tektaktyks November 2, 2009 2:22 PM PST
- or you can get fta (free to air i believe) dish and a pc card,and never pay a fee again.
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Showing 1 of 3 pages (86 Comments)Records TV and acts as DVR...can stream to TV via Xbox or any other media center extender.
NO FEES !
I do frame grabs and they are like 8 megabytes !
Plus you get all the sub-channels they broadcast. Just get an UHF antenna.