Published: Tue, April 17, 2018
Research | By Derrick Holloway

Apple's upcoming new service might be the Netflix of news

Apple's upcoming new service might be the Netflix of news

An Apple news subscription service makes sense, no?

Your Apple News app may soon get a paid-subscription makeover, as Apple plans to integrate what's been called "the Netflix of magazines" to the now free service.

Apple did not respond to request a comment on the report. Apple just bought Texture last month, and is said to be focusing on iOS 12 stability, not features, given all of the iOS 11 problems.

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A new report out of Bloomberg suggests Apple plans to launch its own news-focused subscription service in the next year.

Bloomberg says Apple is now integrating the technology and employees behind Texture into its own News app and team to develop the service. Seeing as how the company managed to take less than a million people who had subscribed to Beats Music and turn them into 40 million Apple Music listeners, it's not like they have no experience convincing people to hand over a bit of money every month.

Apple needs successes like that to meet a bold target for its services division.

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Currently, Apple sells subscriptions for iCloud storage and Apple Music. Sales from that segment grew 23 percent to $30 billion in the company's 2017 fiscal year. During a recent earnings conference call, Apple told analysts it had a total of 240 million paid subscriptions, with 58 percent year-over-year growth.

Apple will reportedly share a portion of the revenue from the new service with partner organizations. This will be a similar service as major companies will be offering content based on subscriptions.

Job reductions at Texture aren't necessarily a sign that the news subscription effort is off to a slow start. Texture previously had about 100 staff members. The company also laid off 20 former Texture employees after its acquisition, according to Bloomberg.

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