Apple set to lock horns with Netflix and Amazon, investing in producing original shows

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After the successful launch of its homegrown Music app, the Cupertino giant, Apple is looking at gaining a share of the video streaming industry, pitching itself against the likes of Netflix, Hulu, Amazon prime, etc.  Entertainment executives in Hollywood have held talks with Apple Inc. about producing exclusive shows for Apple TV, according to a person with knowledge of the matter. Apple has discussed investing in original series, said the person, who asked not to be identified because the discussions were private. The company hasn’t decided whether to proceed, the person said.

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With original programming, Apple would make the leap from being one of the top retailers of entertainment to its wealthiest producer, and obtain premium content for a live TV service it’s said to be planning. Next week, the Cupertino, California-based maker of iPhones and Mac computers is expected to unveil a new version of its Apple TV set-top box, along with the latest iteration of the popular mobile phone.

The move would pose another threat to the pay-TV industry, which has suffered subscriber losses as young consumers watch video using online services like Netflix Inc. and Google Inc.’s YouTube and older viewers pare their spending. It would also pose a challenge to established online streaming companies like Netflix, Amazon.com Inc. and Hulu, whose services are bedrock offerings in the current Apple TV set-top box.

Apple would want to fund a number of high-profile series, the person said, rather than start with one or two. The company attempted to work with the stars of hit BBC series “Top Gear” after they left the show, according to Variety. Netflix currently showcases its original shows like House of cards and Orange is the new black.

Analysts and executives have long speculated Apple might fund programming or buy a movie studio. Up to now, the company has stuck with producing phones, tablets and computers -- businesses with higher profit margins than content production.

The company has been taking steps into video production. Apple’s new music app, for example, includes some exclusive, behind-the-scenes clips. Artists often welcome videographers and photographers into the studio with them, and Apple has hired executives to help shoot and produce video from recording sessions with willing musicians.

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Content writer

Esmail is our very own in-house spectrum specialist. He is passionate about Telecom, DTH and OTT video streaming apps. When not writing an article, you can find him binge watching shows on Netflix while sipping on a cup of coffee.

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