Is Apple Preparing to Launch a Premium News Service?
Is Apple Preparing to Launch a Premium News Service?
Apple Will Reportedly Launch a Paid News Subscription Service in the Next Year
17 April, 2018, 20:23
The company agreed last month to buy Texture, which lets users subscribe to more than 200 magazines for $9.99 a month.
Apple is reportedly planning to launch its own premium news subscription service.
Apple's Newsstand and News services offered magazine subscriptions on an individual basis, but the new News service would work more like the Apple Music streaming service.
Apple shares are up 0.5% to $176.72.
Apple's ambitions for Texture, the "Netflix of magazines" app that it acquired last month, are slowly coming into the light.
Apple is no stranger to delivering people their news, with the Apple News app launching alongside iOS 9 two and a half years ago. It is only available in three markets: USA, the United Kingdom and Australia.
Apple plans to introduce a subscription-based news service following its Texture acquisition.
Apple previously had a dedicated news app called Newsstand, which allowed users to subscribe to magazines and newspapers individually. Beats Music, with its fewer than one million subscribers, shut down not long after Apple Music came out.
If Apple goes through with these plans, it would be treating news similarly to how it treated music around the creation of Apple Music.
This ties into expectations of an upgraded Apple News experience within the next year and Apple's lofty goal of increasing profits of its services division by 60% by 2021. If anything, Apple Music showed how important free trials can be. It also gets a cut of subscriptions sold by third-party apps on the App Store. 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. However, it's likely that the company will use its current Apple News relationships to its advantage, as well as those that Texture brought into the mix (titles available on Texture included People, Rolling Stone, National Geographic, Sports Illustrated, and others).
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