CNBC reports that Apple’s new television streaming service will not include Netflix. Subscribers may also be denied HBO streaming channels with the tech giant’s offering.
The launch, scheduled for April or May, functions as a typical streaming subscription service enabling members to access some existing digital streaming material. It will also offer original Apple programming, much like Hulu and Netflix. The company has announced deals with Oprah Winfrey and Steven Spielberg as it prepares for the launch of its newest digital product.
Talks about the subscription news program included with Apple’s service have also stalled, as various publishers aren’t pleased with Apple’s proposed 50% revenue split for subscriptions to news made through the streaming service. So far, Lion’s Gate’s Starz, Viacom, and CBS may participate.
The success of Apple’s streaming service is crucial to the company’s overall health as iPhone sales stagnate. According to the January letter to investors from CEO Tim Cook, services business is the focus of future growth. Cook indicated that Apple is on track to double the size of the services business from 2016 to 2020 and the success of their streaming service is integral to that plan.
Streaming platforms created over $10.8 billion in revenue during the quarter ending December 2018, which represents a new quarterly high.
