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Apple's TV subscription plan gains potential partners in CBS, Disney

Both CBS Corp. and Walt Disney Co. have shown interest in offering content for Apple's TV subscription proposal slated for roll out sometime in 2010.

Walt Disney Co. and CBS Corp. are considering participating in Apple's future plan to offer subscriptions for television shows through iTunes, according to a report by the Wall Street Journal. CBS would offer programs from its parent network as well as CW, while Disney would offer programs from its ABC, Disney Channel, and ABC Family networks.

Apple would pay the content providers $2 to $4 a month per subscriber for a broadcast network like CBS or ABC, and about $1 to $2 a month per subscriber for a basic-cable network, according to the WSJ.

The report also states that Apple has briefed companies on its forthcoming tablet device, which it calls a "multimedia gadget." The touchscreen device, larger than an iPhone but smaller than a laptop, is reportedly expected to arrive by the end of March 2010.

AppleInsider reported early in November that Apple had pitched a $30-a-month iTunes TV subscription plan to major networks in hope of gaining support for an "all-you-can-eat" subscription plan. At that point it was suggested that Disney would be the first to opt in. Disney was the first company to provide its programs over iTunes in 2005, and the company has close ties with Apple - CEO Steve Jobs is the company's largest single shareholder.

It is possible that Apple has changed its strategy somewhat due to push-back from some of the larger media companies. Many of the companies in question also have cable TV interests, meaning a potential deal with Apple could result in a decrease in traditional cable revenues. With Comcast's purchase of NBC Universal earlier this month, it would be unlikely that the company would be willing to participate in a deal, and would therefore weaken a potential "all-you-can-eat" subscription plan.



41 Comments

sfoalex 22 comments · 15 Years

Quote:
Originally Posted by AppleInsider

Both CBS Corp. and Walt Disney Co. have shown interest in offering content for Apple's TV subscription proposal slated for roll out sometime in 2010.

Walt Disney Co. and CBS Corp. are considering participating in Apple's future plan to offer subscriptions for television shows through iTunes, according to a report by the Wall Street Journal. CBS would offer programs from its parent network as well as CW, while Disney would offer programs from its ABC, Disney Channel, and ABC Family networks.

Apple would pay the content providers $2 to $4 a month per subscriber for a broadcast network like CBS or ABC, and about $1 to $2 a month per subscriber for a basic-cable network, according to the WSJ.

AppleInsider reported early in November that Apple had pitched a $30-a-month iTunes TV subscription plan to major networks in hope of gaining support for an "all-you-can-eat" subscription plan. At that point it was suggested that Disney would be the first to opt in. Disney was the first company to provide its programs over iTunes in 2005, and the company has close ties with Apple - CEO Steve Jobs is the company's largest single shareholder.

It is possible that Apple has changed its strategy somewhat due to push-back from some of the larger media companies. Many of the companies in question also have cable TV interests, meaning a potential deal with Apple could result in a decrease in traditional cable revenues. With Comcast's purchase of NBC Universal earlier this month, it would be unlikely that the company would be willing to participate in a deal, and would therefore weaken a potential "all-you-can-eat" subscription plan.

I would love subscription content. Bring it on.

quadra 610 6685 comments · 16 Years

Not surprised. Apple knows content distribution like fish know water.

solipsism 25701 comments · 18 Years

Quote:
Originally Posted by Quadra 610

Not surprised. Apple knows content distribution like fish know water.

Quoted for truth.

Quote:
Originally Posted by VisualZone

Anyone ready for Apple vs NBC round two?

http://www.appleinsider.com/articles...nes_shows.html

I think $1.99 is a lot but when I can?t find it on torrents and newsgroups or want to watch something right away I do head to iTunes. I?m sure I?ve spent thousands on iTS video at this point.

At this point I think NBC would be on board with Apple wanting subscriptions. While Hulu seems successful to users of the service I don?t think it?s a money maker so any additional revenue will be seen as positive. But I really don?t know, NBC does a lot of really stupid crap.

rpurrept 5 comments · 16 Years

I am hoping that they do not offer an "all you can eat" $30 a month plan but let me choose the networks that I want to subscribe to independently. Like, if I know that all I want to watch is Curb Your Enthusiasm and the Colbert Report, then I should be able to only subscribe to HBO and Comedy Central for something like $5 a month each.