Apple plans to enter the field of original TV programs and movies, which may strengthen the strength and status of apple in the content production market, ease the pressure on iPhone and iPad sales growth slowed to the company.
Informed sources said that Apple will provide these original content for Apple Music service users. Apple Music service subscription price of $10, has lagged behind competitors Spotify. Apple has launched a small number of musicians in the Apple Music documentary, but has never provided original television programs and movies and other content.
In recent months, Apple has been working with the industry's senior producer to discuss the right to buy TV programs. It is also with the major studios and television networks senior marketing executives were approached to dig them over to help promote their content.
Apple said to these professionals, in addition to television programs, the company also consider making original movies, but this is only a preliminary intention.
Apple executives on Hollywood's film session said they hope to be able to provide the original content before the end of 2017.
Apple is currently considering production of original programs with those popular programs almost, such as Time Warner's HBO television network broadcast of the "western world" or Netflix production and broadcast of "strange stories" and so on.
Because Apple wants to make the original film and television programs in the small and fine route, it may not be prepared to invest too much money in this regard. If it invests hundreds of billions of dollars a year or even billions of dollars to make the original content, it will become Netflix, Amazon's Prime Video and direct competition with major cable TV network.
Apple apparently does not want to do so, it does not want to see the phenomenon of increased competition between Apple Music and Spotify. Spotify, like Apple Music, also offers tens of millions of songs, but unlike Apple Music, it also provides other content.
However, as the world's richest company Apple entered the original TV shows and movies for Hollywood is still a revolutionary moment, it also marks a major shift in Apple's strategy, it will further transformation of the company to the media, not just media content of other companies distributors.
In addition to documentary films and documentaries related to music, Apple Music has bought a half hour version of "Cara OK" carpool program broadcast rights. It is the West Coast Rap founder and leader. Dr. dre (Dr. Dre) a similar to the biography film series, plans to premiere later this year.
But Apple has not purchased from the outside of the producer to adapt the content, the content of these adaptations is relatively high, and the risk is relatively large, because it will harm the interests of other entertainment companies. According to people familiar with the matter said, apple is now considering the purchase of TV series and movies have nothing to do with music.
Apple has not yet purchased an adaptation of the TV series, one of the reasons is that it has not yet determined the details of the original content business strategy. But it says it hopes to provide a key advantage for producers, who can share the original ratings and other statistics. In contrast, Netflix did not provide these data to content producers, which also caused a lot of dissatisfaction in Hollywood.
Apple to enter the field of original content is one of the reasons it wants to alleviate the pressure brought by traditional business slowdown. Apple's revenue last year did not meet its own set of revenue targets, which is the first time in nearly 7 years, such a situation. Revenue is not the main reason for the target is iPhone 6S sales did not achieve the desired objectives. Apple with iPhone to become the world's most profitable company, but due to the growing market competition, especially in the Chinese market is extremely competitive, iPhone sales growth rate has slowed down significantly.
Apple Music service has become a key component of Apple's service business. IPhone sales growth slowed, while Apple's service business has maintained a steady growth momentum. In the quarter ended September 24th last year, from the Apple Music service revenue grew by 22%, but the number of users of this service is not the number of users Spotify.
Apple Music business department announced in December last year, the number of users of this service has more than 20 million people, the majority of users choose the monthly subscription service. In contrast, Spotify in September last year, the total number of paid users more than 40 million people.