Apple is reportedly purchasing movies and TV shows for its Apple TV+ streaming service to bolster its catalog and offer consumers more choice in the fight against Netflix and Disney+.
According to a report from Bloomberg, Apple’s streaming executives have been speaking to Hollywood studios about the possibility of licensing older content for its TV+ service and have already purchased a bunch of shows and movies ready to premiere later in the year.
Though Apple wants to keep its streaming service focused on its high-quality, original shows, insiders have acknowledged that they’ll need to work harder if they want to keep customers engaged and subscribed in the years ahead.
Right now, anyone who purchases a new iPhone or Mac receives a year of Apple TV+ for free, so very few subscribers actually pay.
Apple TV+ directly competes with the likes of Netflix, which offers subscribers thousands of movies and TV shows – both homegrown and licensed. Apple, on the other hand, only offers 25 original TV shows and movies in its catalog, though that will grow in the years ahead.
Until now, Apple has avoided bulking out its service with third-party content and has instead worked to encourage consumers to subscribe to other networks through its Apple TV Channels site, like HBO, STARZ, and EPIX.
This approach, however, has not proven to be successful, according to insiders at Bloomberg, encouraging Apple to change its path.
Bloomberg also suggests that around 10 million people had signed up to Apple TV+ by February of this year, but less than half had actually watched content on the platform.
When you compare that to Disney+, which attracted 10 million paying subscribers on day one, a figure that’s grown to almost 60 million in less than six months, and Netflix with its almost 200 million subscribers, and Apple has a long way to go if it wants to be taken seriously.
Do you think this is the right strategy for Apple? Let us know your take and check back soon for more news and rumors on everything Apple, every week.
