Apple rumored to announce newspaper subscription plan for iPad

Posted:
in iPad edited January 2014
Apple will soon announce a newspaper subscription plan for the iPad, introducing a revenue sharing model similar to the one that has been employed for applications sold on the App Store, according to a new rumor.



According to the sources that spoke with the San Jose Mercury News, Apple has agreed to implement an opt-in function to allow subscribers to share their personal information with publications. Print publications rely on that information to share demographic data with advertisers.



Earlier this year, before the iPad was even released, publishers and Apple apparently struggled to reach a deal, as Apple was reluctant to share consumer data beyond sales volume. Advertisers and publishers, on the other hand, consider demographic data to be the "most valuable asset."



Author John Boudreau spoke with Roger Fidler, head of digital publishing at the Donald W. Reynolds Journalism Institute in Columbia, Mo., who said that the anticipated plan will likely resemble the current App Store model, which would give Apple a 30 percent cut of all subscriptions sold through the digital download service. In addition, Apple could take as much as 40 percent of the advertising revenue from those applications.



Fidler also indicated that publishers are not pleased with the deal, as they would rather pay Apple a fee than a cut of their subscription and advertising revenue.



"They had hoped to offer app editions as part of subscription bundles that include print versions of the paper," the report said. "Instead, they must use Apple as an intermediary with subscribers."



Publishers have struggled with Apple in bringing their content to the iPad. At first, the Cupertino, Calif., company did not allow subscriptions to magazines through the App Store. But that impasse was broken in August, when People magazine became the first publication to offer subscribers free access to its iPad application.
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Comments

  • Reply 1 of 42
    banchobancho Posts: 1,517member
    I like this approach better. I don't want a separate app for each subscription to a newspaper (or magazine for that matter).
  • Reply 2 of 42
    Quote:
    Originally Posted by AppleInsider View Post


    ... Publishers have struggled with Apple in bringing their content to the iPad. At first, the Cupertino, Calif., company did not allow subscriptions to magazines through the App Store. But that impasse was broken in August, when People magazine became the first publication to offer subscribers free access to its iPad application. ...



    This is a bit misleading. The People (Weekly) app doesn't really handle subscriptions at all. All it does is allow current subscribers to access content through the app for free. It's not really any different than any of the other "news" apps that had already done this, and doesn't really represent a major change in App Store policies.
  • Reply 3 of 42
    Waiting for the the first iPad rev, then I am a buyer. Too late in the first cycle for me to buy now.
  • Reply 4 of 42
    Quote:
    Originally Posted by Robin Huber View Post


    Waiting for the the first iPad rev, then I am a buyer. Too late in the first cycle for me to buy now.



    Agree. I can't wait to see what goodies the iPad II will hold!
  • Reply 5 of 42
    I hope they figure out a way to make newspapers and periodicals offer their content in a sensible and affordable way. When the iPad was announced, I was seriously excited about the thought of being able to subscribe to The Times (being a Brit in the US, being able to read a daily UK paper would be great!) but the price is ridiculous.



    If they find a way to allow better integration of advertising, such that the price comes down, I would be very happy.
  • Reply 6 of 42
    not. It says that Apple will allow users to opt-in so that newspapers can access the subscribers personal information for advertising purposes. Suppose there is an "accidental" bug that automatically opts you in when you subscribe? And the price will be so expensive it will not be worth it.



    The newspapers would love it if you subscribe for the same as it costs now for the print edition, but you get less content than the print edition plus they can send your name and phone number to any advertiser when you click on an ad link.
  • Reply 7 of 42
    Quote:
    Originally Posted by AppleInsider View Post




    Earlier this year, before the iPad was even released, publishers and Apple apparently struggled to reach a deal, as Apple was reluctant to share consumer data beyond sales volume. Advertisers and publishers, on the other hand, consider demographic data to be the "most valuable asset."





    Anything for a buck, eh?
  • Reply 8 of 42
    This is nice, but I am still waiting for a great app for textbooks with an rich annotation capabilities. I had my doubts about EPUB in iBooks but they have slowly upped the capabilities of iBooks that it’s possible this could come out next year with the next iPad.
  • Reply 9 of 42
    This is going to sound weird, but when I page through my copy of the Sunday NYT, I'm as interested in the advertising as I am in the articles (in some cases, moreso). I'm curious if the model for iPad newspapers will better integrate the advertising for freaks like me?
  • Reply 10 of 42
    Quote:
    Originally Posted by solipsism View Post


    it?s possible this could come out next year with the next iPad.



    Didn't everybody say that last year, about the first iPad?



    These breathless prognostications rarely show any sign of coming to pass.
  • Reply 11 of 42
    I can feed this rumor a small but possibly significant morsel. The Los Angeles Times has suspended new signups for their e-edition pending some unspecified changes. You don't find this out unless you attempt to add the e-edition to your subscription, which as a current print subscriber, is supposed to be free. I tried to add the e-edition months ago, and when nothing happened, I followed up relentlessly with customer service, but got only vague answers about changes to a database. FWIW, the current e-edition is a clunky Flash-driven beast. Something better (and iPad compatible) might be in the works...
  • Reply 12 of 42
    Quote:
    Originally Posted by Newtron View Post


    Didn't everybody say that last year, about the first iPad?



    These breathless prognostications rarely show any sign of coming to pass.



    Meanwhile, I really like the iPad I got on launch day. It is fun and useful. If I put off buying new technology while an update is coming, I'd be missing out on a lot of fun. That said, I do occasionally skip upgrades and cycles, simply because I don't need certain offered features. While Facetime looks cool, I don't "need" it in my iPad.



    Like all tech, upgrade and adopt when you have a use. Otherwise...meh.
  • Reply 13 of 42
    Quote:
    Originally Posted by solipsism View Post


    This is nice, but I am still waiting for a great app for textbooks with an rich annotation capabilities. I had my doubts about EPUB in iBooks but they have slowly upped the capabilities of iBooks that it?s possible this could come out next year with the next iPad.



    I don't think ePub is up to this task. Either Apple needs a new, more feature rich ebook format, or textbooks are going to be released as apps, like the Algebra textbook that's either out or coming out soon.
  • Reply 14 of 42
    Quote:
    Originally Posted by eightzero View Post


    Like all tech, upgrade and adopt when you have a use. Otherwise...meh.



    I agree. All these prior predictions of the iPad being great for periodicals never really panned out. Seemingly, Apple doesn't offer what most publishers want or need.
  • Reply 15 of 42
    Quote:
    Originally Posted by anonymouse View Post


    I don't think ePub is up to this task. Either Apple needs a new, more feature rich ebook format, or textbooks are going to be released as apps, like the Algebra textbook that's either out or coming out soon.



    Yet another failed prognostication.



    Remember when the iPad was going to transform the college experience? Now it seems that there are no textbooks for it at all?
  • Reply 16 of 42
    banchobancho Posts: 1,517member
    Quote:
    Originally Posted by Newtron View Post


    Yet another failed prognostication.



    Remember when the iPad was going to transform the college experience? Now it seems that there are no textbooks for it at all?



    It hasn't even been out a year. Let's see how things pan out. I know Houghton Mifflin has been doing some work in this area and I'm sure others are as well.
  • Reply 17 of 42
    melgrossmelgross Posts: 31,368member
    Quote:
    Originally Posted by PaulMJohnson View Post


    I hope they figure out a way to make newspapers and periodicals offer their content in a sensible and affordable way. When the iPad was announced, I was seriously excited about the thought of being able to subscribe to The Times (being a Brit in the US, being able to read a daily UK paper would be great!) but the price is ridiculous.



    If they find a way to allow better integration of advertising, such that the price comes down, I would be very happy.



    The paper subscription of the NY Times, including the Sunday edition is $600 a year. What do you think the same content as a digital subscription is worth, giving that about 35% is printing and distribution?
  • Reply 18 of 42
    melgrossmelgross Posts: 31,368member
    Quote:
    Originally Posted by Newtron View Post


    Yet another failed prognostication.



    Remember when the iPad was going to transform the college experience? Now it seems that there are no textbooks for it at all?



    You are totally wrong. In fact, a number of colleges are already giving out iPads with all the course work in various courses. This will continue.



    http://www.appleinsider.com/articles...ples_ipad.html



    http://www.macsimumnews.com/index.ph...receive_ipads/



    There's quite a lot more of this as you will find if you Google it.



    What's amazing is just how much is being done for such a new device.
  • Reply 19 of 42
    Quote:
    Originally Posted by Bancho View Post


    It hasn't even been out a year. Let's see how things pan out. I know Houghton Mifflin has been doing some work in this area and I'm sure others are as well.



    Could be. But we heard all about that a looooonnnnngggggg time ago, and so far, we've seen nothing.
  • Reply 20 of 42
    banchobancho Posts: 1,517member
    Quote:
    Originally Posted by Newtron View Post


    Could be. But we heard all about that a looooonnnnngggggg time ago, and so far, we've seen nothing.



    How do you qualify "looooonnnnngggggg". The iPad was revealed last January, wasn't available till April, and it's now September.



    I'm sure there was a measure of "wait and see" by many parties so they didn't jump on development as soon as it was announced. Now that it's been proven that the iPad is a viable product/platform things should get progressively better.
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