Apple is set to make an announcement Monday where it will unveil its new streaming product that is expected to rival that of Netflix and Amazon. Its Hollywood ambitions come at a time when the streaming industry has become larger and more competitive.
Yet, while most will focus on Apple’s latest gig, many publishers have their eyes on another product: Apple News.
Apple News is expanding with a news subscription bundle that lets users subscribe to a host of newspapers and magazines for one flat monthly fee. Consider it the ‘Netflix of news.’
While the service is a lucrative selling point for users, many publishers are hesitant to join ship.
The Wall Street Journal reported
last month that Apple would keep almost half of the revenue from the subscription service. There are a host of other terms that give publishers pause: Apple wont’ share customer data with the publishers that are supplying the news and Apple wants at least a year commitment from publishers to the platform.
Then, there’s the most obvious thing: What does this mean for native subscriptions? As publishers are rushing to grow their digital revenue, offering their product off-platform on Apple News could cheapen their product and discourage users from subscribing on their site and on their terms.
Though, if your publication is smaller and in need of more subscriptions, you won’t be too picky when it comes to where your readers are coming from.
It’s not an easy decision, but it’s also not a new decision. Publishers have had to make these deals in the past with tech companies, some of which have came back to haunt them.
The bottom line: Apple has a presence on smartphones all over the world, and that is visibility that publishers can’t buy.