After Texture Acquisition, Apple's Prepping News Subscription Service

17 Апреля, 2018, 20:24 | Author: Juana Mckenzie
  • Report: Apple to launch premium magazine and news subscription service within a year

Apple is thought to be preparing to launch its own premium news service, according to a new report from Bloomberg. Apple has said that it is targeting annual service revenue of $50 billion by 2021.

Apple's fastest growing revenue segment is now their services division so it makes sense for them to attempt to grab some of the low-hanging fruit in the form of news subscriptions.

More likely, it's being saved for iOS 13.

"We're excited Texture will join Apple, along with an impressive catalog of magazines from numerous world's leading publishers", he said.

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There's a bigger question out there: will consumers be willing to pay for premium news and magazine content in the same way they now pay for Netflix video content? A sliver of the yet-unknown subscription cost will go the magazines. But previous efforts like Newsstand weren't an all-you-can-eat way of going about it.

American tech giant Apple is reportedly planning on launching a new premium subscription feature which will give users the opportunity to access a variety of news outlets in one single app. Since then, the company has turned the service into Apple Music and now has over 40 million paid users on the platform. Then, within the next year, Apple is expected to launch "an upgraded Apple News app with the subscription offering", and some of the revenue generated from the subscriptions will be distributed to the magazine publishers participating in the program.

Currently, Apple has two subscription services, Apple Music and iCloud Storage. At the time, Beats Music had fewer than a million subscribers, and Apple has turned that into more than 40 million paying users. Apple also gets a 15 percent cut from the subscription revenues that are being sold by third-party apps through the App Store, as pointed out by TechCrunch. Now, by starting this new Apple News subscription service, Apple will gain more paid subscribers who would love to stay updated with news and what's actually happening around the world.

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