Published: Thu, May 10, 2018
Technology | By Russell Knight

Apple plans Amazon-style distribution strategy

Apple plans Amazon-style distribution strategy

The app now presents a unified view of content that users can access, but they need to exit the Apple app and enter the ecosystem of the relevant third-party provider to subscribe to or purchase shows.

Bloomberg revealed Thursday that Apple is reinventing cable TV by selling subscriptions to video streaming services directly through its TV app. It would also be another way for Apple to keep boosting its services business, which it expects to generate $50 billion a year in revenue by 2021.

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Apple doesn't yet offer one place to subscribe to multiple video services, however, but it does have its TV app which aggregates content from various movie and TV show providers. In doing so, users would no longer need to go to third-party apps and sites just to subscribe and enjoy the content they want to watch.

Bloomberg has published a report with new details about how Apple plans to leverage its TV app on iOS and Apple TV to add new subscribers to its ecosystem.

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Apple declined to comment on the project. HBO, Starz and others have credited Amazon with helping them boost new online services by marketing them to its base of more than 100 million Prime customers. The company flirted with creating an online package of live TV channels before recent efforts by YouTube, Hulu and Dish Network Corp.

If Apple were to push through with its plan, the TV app will become the ultimate hub for users to find and stream content.

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The report does not specify which companies Apple is planning to partner with, but offering these subscriptions through the app is another way for Apple to make money. Sales of its Apple TV box meanwhile trail those of rivals including Roku, Google Chromecast and Amazon Fire TV in the US.

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