Cologne, San Francisco Apple So far, it has not been known as a low-cost supplier. On the contrary: the US group has always deliberately placed its latest smartphones in the upper price segment.
The attack on the market for video streaming starts Apple but now with a real competitive price: The Group placed its own gambling service with a subscription price of only 4.99 euros a month – and is thus not even half as expensive as the market leader Netflix,
It is understandable that Apple now enters the video streaming after the music. The market is lucrative. The media usage behavior of people is changing. They want to decide for themselves what to look for and when to look. The linear television, for the classical TV transmitter like RTL or Pro seven stand behind the clock. Streaming pioneer Netflix serves the desire for self-determination and so far brings together 160 million customers. They are ready to pay more than ten euros a month.
Apple is also under pressure. The IT community has been waiting for years for the famous “one more thing” in the hardware palette. With these words, founder Steve Jobs had once launched the presentation of innovative products such as the iPhone or the iPad. But “one more thing” did not come this week either, when the company's annual novelty event took place. Instead, another camera on the iPhone, a longer battery life. But no true innovation.
The hardware business offers little growth opportunities. “The company needs recurring revenues – this is the new TV streaming service quite suitable,” says Jan Oetjen, CEO of United InternetSubsidiaries Web.de and GMX, on the sidelines of the Dmexco digital trade fair. “Nothing is as dangerous as a predator that no longer finds enough food in its area.” Apple will now take on other business models.
According to analysts, around 190 million devices will be sold worldwide outside China from the iPhone to the MacBook Air next year. Each of these devices will receive the new video streaming service “Apple TV +” for free for a year as a welcome gift. China is out of the 100 countries where the service will start in November; but India with 500 million users. According to Bloomberg, Indian shoppers can watch Apple's TV service for a year and then pay the equivalent of $ 1.40 a month. In Germany it will be 4.99 euros, in the US 4.99 dollars.
Apple would then be the largest video streaming service in the world – ahead of Netflix, which took ten years to reach the 160 million mark. However, most of the Apple viewers are not yet paying customers.
According to studies, people spend an average of 30 euros per month for entertainment. These include the contribution service (formerly GEZ), newspapers, music streaming services and even video streaming portals. As a result, viewers will subscribe to a maximum of two to three TV streaming services. In this world, “content is king.”
Netflix owns hundreds of the most popular series, films and documentaries, built in years and with high commitment. In 2018 alone, Netflix invested around $ 12 billion in in-house productions. The “Originals”, as the in-house productions are called, are the figurehead and have won four Oscars this year.
Steven Spielberg films for Apple
By contrast, the library of Apple initially looks thin. The launch offer of the new service fits on a DIN A4 page. But the ambitions are high: At the iPhone presentation on Tuesday evening, CEO Tim Cook showed the trailer for “See”, a lavishly produced series.
Unlike its competitors Netflix, Amazon Prime Video and Disney the customer gets to see only own productions. Apple plans to invest $ 2 billion in 2019. The company has already committed stars like Steven Spielberg. The expectations are high.
Andrea Malgara, Managing Director of the Mediaplus Group and thus one of the most experienced media managers in Germany, considers the new offer from Apple to be promising. The low price is designed to open up a mass market quickly. “Apple needs new business,” said Malgara on the edge of Dmexco.
The fight for the limited attention of the audience has flared up. It's not just Netflix and Apple that are going to bust. In Germany, the position RTL Group with “TV Now” and Pro Sieben Sat 1 with “Joyn” in this market. Max Conze, CEO of Pro Sieben Sat 1, campaigned at Dmexco for his new service: “The broadcasters are fighting back,” Conze said laughing onstage. He referred to popular content such as “The Masked Singer” of his station.
But the market is getting narrower. Companies like Disney, AT & T and Comcast get in as well. On November 12, the new streaming service “Disney +” launches – at a price of $ 7.99 per month. This will not only bother Apple but also weaken Netflix. Popular Disney movies and children's programs are removed from the Netflix library. Disney also wants to package a package of Disney +, Hulu and the sports channel ESPN and offer for $ 12.99.
AT & T is the most powerful newcomer besides Apple. The telecommunications company announced on October 29 details of the long-awaited streaming service “HBO Max” announced. The service should include programs of the cable TV service HBO and the entire Warner Media world, which includes the transmitter CNN. “HBO Max” is scheduled to launch in spring 2020.
As if the market is not already enough in turmoil, another player ventures into it: NBC Universal wants to start its own streaming service in early 2020. Details are not known yet. Just so much: The new service will be “significantly different from HBO,” said NBC Universal CEO Steve Burke in a conference call from the parent company Comcast said.
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