Apple sought original content deals with Bill Simmons and Top Gear cast, reports say
Coming on the heels of rumors pointing to Apple's interest in creating original content, which included a bid for the cast of hit BBC show Top Gear, a report on Tuesday claims the company was in discussions to bring former ESPN star Bill Simmons on board.
Source: ESPN
According to Re/code, Apple SVP of Internet Software and Services Eddy Cue was in talks with Simmons this summer to forge an exclusive podcast deal. Nothing came of the negotiations, however, which sources point out were "preliminary at best," the report said.
Yahoo was also looking to nab the sports commentator for its video service, but Simmons ultimately landed at HBO in a multi-year deal that covers multiple content platforms, including a podcast title launching in October.
Apple is said to be mulling an entry into original content production in a capacity akin to Netflix, Hulu and Amazon. The project is in its very early stages and might never see the light of day, but Cue is apparently testing the waters in Hollywood for potential partnerships on long-form movies and episodic series.
A report on Monday said Apple made an "audacious bid" for Jeremy Clarkson, Richard Hammond and James May, the cast of BBC's Top Gear, who recently left the show after Clarkson was dismissed for punching a producer in the face while on set. The trio was picked up by Amazon in July for what is thought to be a large-sum contract.
Some expected Apple to enter the entertainment industry through music, an area long dominated by iTunes, but the company's content creation efforts are so far limited to Apple Music's Beats 1 radio.
Source: ESPN
According to Re/code, Apple SVP of Internet Software and Services Eddy Cue was in talks with Simmons this summer to forge an exclusive podcast deal. Nothing came of the negotiations, however, which sources point out were "preliminary at best," the report said.
Yahoo was also looking to nab the sports commentator for its video service, but Simmons ultimately landed at HBO in a multi-year deal that covers multiple content platforms, including a podcast title launching in October.
Apple is said to be mulling an entry into original content production in a capacity akin to Netflix, Hulu and Amazon. The project is in its very early stages and might never see the light of day, but Cue is apparently testing the waters in Hollywood for potential partnerships on long-form movies and episodic series.
A report on Monday said Apple made an "audacious bid" for Jeremy Clarkson, Richard Hammond and James May, the cast of BBC's Top Gear, who recently left the show after Clarkson was dismissed for punching a producer in the face while on set. The trio was picked up by Amazon in July for what is thought to be a large-sum contract.
Some expected Apple to enter the entertainment industry through music, an area long dominated by iTunes, but the company's content creation efforts are so far limited to Apple Music's Beats 1 radio.
Comments
if Apple has cash that they don't know what to do with how about entry level iOS storage of 32GB or if not that then how about making iCloud really competitive with competitors offerings?
Ditto.
if Apple has cash that they don't know what to do with how about entry level iOS storage of 32GB or if not that then how about making iCloud really competitive with competitors offerings?
iCloud and iCloud Drive is a cruel, expensive joke. For $70/yr I get the latest version of Office for Mac, 60 minutes of Skype per month, and 1TB of OneDrive storage. From Microsoft of all people!
I pay monthly, so $120 a year gets me 1TB of OneDrive storage and five Office installs (yeah, I use all of them), as well as five iOS installs.
so... Clarkson's antics were seen as no longer appropriate for the BBC, but some how Apple is seen as more tolerant?
I wouldn't be surprised for Amazon picks up a reality show with Donald Trump after getting dropped by NBC.
Shhh...don't give Eddy Cue any ideas.
if Apple has cash that they don't know what to do with how about entry level iOS storage of 32GB or if not that then how about making iCloud really competitive with competitors offerings?
iCloud and iCloud Drive is a cruel, expensive joke. For $70/yr I get the latest version of Office for Mac, 60 minutes of Skype per month, and 1TB of OneDrive storage. From Microsoft of all people!
You forgot to mention free Windows 10 for a year. How quickly times have changed.
If the following is accurate, $250m is a bit much to be paying for the 3 ex-Top Gear staff:
http://www.forbes.com/sites/ianmorris/2015/07/31/amazons-250-million-spend-on-top-gear-trio-is-actually-great-value/
It says this was for just 12 episodes per year for 3 years. The finale of the last season only had 5.3m viewers:
http://www.theguardian.com/media/2015/jun/29/top-gear-final-episode-viewers-bbc
They don't even get the brand so it won't be called Top Gear, nor can they use any BBC-owned components of the show. Likely won't have the same theme song, The Stig, it won't have the studio, race track or contacts with high-profile celebrities.
The format had gone on too long and while there would still be some loyal following from fans, most of those will just continue to watch the new Top Gear.
Apple would probably be better off getting original content from Disney to get families on board. They can link kids TV shows with physical toys and apps on iOS. They might be able to get exclusive fashion content through contacts with Burberry and other fashion brands that again can link up with iOS to buy the clothes in the shows. The following has a breakdown of popular shows:
http://www.hollywoodreporter.com/news/television-shows-men-watch-222356
There are clear targets to hook in each type of viewer. Sports, cars etc for guys but there's also console usage that lowers TV viewing. There could be gadget shows. Jimmy Fallon would be pretty good covering games, consoles, gadgets with some comedy thrown in. Conan O' Brien does some of this.
The good thing with exclusive content is that future license deals won't mess with the library. Netflix is always having content pulled because it goes to Hulu (owned by Comcast) or the license expires. Hulu got Seinfeld too.
With an app platform, content providers will be stepping up to offer whatever they each have anyway.
They don't need the Top Gear formula. That was mostly boring. They just need the specials. That's just a travelogue with cars. It really isn't a car show.
The 50 some countries only account for the simulcast of the season opener within 24 hrs of the original broadcast in the UK. Top gear is sold to 212 territories based upon their Gunniess World Record in 2013
Don't need an Office 365 subscription for that
In any event, getting into content production is a complete waste of Apple's time, talent, and attention. Indeed, they should be spinning off their content distribution (music, movies, books, streaming) business too.
The shows would be worth having but it's always the question of how much they're worth. They wouldn't be buying the existing shows nor the localised worldwide versions, it's just new shows with the 3 presenters under a new brand that people wouldn't recognize e.g The Car Show. Estimates on revenue for the whole Top Gear franchise are between £50-150m per year ($76-229m). I doubt a new franchise would make this kind of revenue in direct sales, especially considering the hardware units people can watch it on and all the parts missing from the old Top Gear franchise and the fact it competes with Top Gear, which continues. Amazon has only sold about 4.5m boxes. ?TV has over 25 million units worldwide. Apple could let people watch via iOS devices and have them hook up to the TV.
If the content is to help push the TV units more than direct sales then they might get a significant boost in unit sales if a large enough portion of the Top Gear worldwide viewers wants to adopt the new show. 10 million extra boxes at $100 = $1b revenue with potentially $250m profit. Amazon is going to put the new car show in their Prime section where there's a yearly subscription:
http://www.theguardian.com/technology/2015/aug/16/amazon-boss-jeff-bezos-top-gear-show
Content sales can be quite risky investments. Apple obviously has enough cash to take risks but they don't want to have a series of major losses. The problem going up against Amazon when bidding for content is they seem far more willing to take massive financial hits. Bezos just doesn't care at all that his company makes next to no profit.
It would have been a nice purchase to have if Apple plans to make a car. They could have had them introduce the car at a keynote.
If 3rd parties are going to be making money on direct sales of the content then they're going to want it on as many platforms as possible. Hulu, Netflix and others are on the ?TV so Apple doesn't need to be competing with them for exclusive content. An app model will let the BBC or any other organisation submit channels whenever they want. If Amazon wants to be shifting prime memberships then they can submit it to the ?TV too.
It would have been a nice purchase to have if Apple plans to make a car. They could have had them introduce the car at a keynote.
I really cannot see Clarkson presenting a Self Driving Car without making fun of it. He ridiculed a Human controlled (!) electric car already. Just ask Elon Musk.
Seriously, Clarkson is king of the Petrolheads: the more horsepower the better. He's great entertainment for the bored English white middle class.