Report: Apple TV service pushed back to 2016, new hardware expected in September

Posted:
in iPod + iTunes + AppleTV edited August 2015
A report on Thursday claims Apple has been forced to delay the announcement of a hotly anticipated over-the-top streaming television service to sometime in 2016 as content licensing talks sputter.




Sources familiar with the matter told Bloomberg that Apple originally wanted to announce a live streaming service at this year's iPhone event, but those plans were put on ice as deals with major networks like CBS, 21st Century Fox and NBC have yet to be brokered.

The dealmaking process seems to be touch-and-go, as a report just last month claimed Apple was making headway with ABC, CBS, NBC, and Fox. Aside from the arduous process of finding a middle ground with entrenched TV networks, Apple also has to secure broadcasting rights for local content.

Earlier today, Piper Jaffray analyst Gene Munster said there is a 50-50 chance that Apple would unveil its OTT service during next month's iPhone event.

In addition to licensing hurdles, Apple reportedly lacks a network infrastructure capable of feeding what is expected to be a large number of Apple TV boxes. Apple supposedly needs to populate servers around the U.S. with content to ensure a smooth streaming experience, but so far only fields data centers in California, Nevada, North Carolina and Oregon. The company has been building out a proprietary network, but currently leans heavily on Akamai to handle its content distribution grunt work.

The publication went on to quote sources as saying Apple's upcoming service would sell for around $40 per month, on the high side of previous estimates. Past rumor and speculation suggest Apple plans to market a so-called "skinny" channel bundle with participation from major networks and select cable offerings, though licensing fees and final customer cost were up in the air.

Finally, sources said they expect Apple to debut a revamped Apple TV set-top box at the as-yet-unannounced September keynote even without the OTT service. The hardware issaid to feature upgraded internals, touchpad remote, support for Siri and a dedicated app store.
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Comments

  • Reply 1 of 38
    SpamSandwichSpamSandwich Posts: 33,408member

    True or not, might be time for Apple to start to develop their own content a la Netflix, Amazon and others.

  • Reply 2 of 38

    Live TV is crap. Who cares if it's cheaper.

  • Reply 3 of 38
    red oakred oak Posts: 900member
    Everyone is moving to create their own premium apps - HBO, Showtime, Netflix, Hulu. There will be a lot more

    It will less and less important in 12 months for Apple to create a bundled servicel. Other than potentially local stations and live/sports programming
  • Reply 4 of 38
    gqbgqb Posts: 1,934member
    I have to wonder what the big deal is with echoing local content. Seems like a win-win, with the local networks getting visibility to people who had cable-cut or (like myself) can't get OTA.
  • Reply 5 of 38
    SpamSandwichSpamSandwich Posts: 33,408member
    Quote:

    Originally Posted by GQB View Post



    I have to wonder what the big deal is with echoing local content. Seems like a win-win, with the local networks getting visibility to people who had cable-cut or (like myself) can't get OTA.



    Probably because local programming is supported with local advertising, something that has no value at the national or international scale.

  • Reply 6 of 38
    I get my local news and such from websites and blogs. High school sports are streamed already...what local content do I need beyond that? For Apple it may be more about the delivery system perhaps...
  • Reply 7 of 38
    anomeanome Posts: 1,465member
    gqb wrote: »
    I have to wonder what the big deal is with echoing local content. Seems like a win-win, with the local networks getting visibility to people who had cable-cut or (like myself) can't get OTA.
    I think they're still scared that people will stream stuff from outside their broadcast area and give someone else the ad impressions, or violate their licensing on some program or other.

    Probably because local programming is supported with local advertising, something that has no value at the national or international scale.
    If Apple introduce an app store, then it doesn't need to have national or international value, since local stations can have their own app, and you only need to install the apps for the stations you want. Networks and affiliates can even have apps that allow you to set your location, and automatically feed you the local stations.

    As for the International scale, I already get a lot of US-specific sports stations that I don't want. On the other hand, I might be interested in watching a local station for, say, San Francisco if I'm travelling there next week. Just to find out what's going on before I get there.
  • Reply 8 of 38
    SpamSandwichSpamSandwich Posts: 33,408member
    Quote:

    Originally Posted by Anome View Post





    I think they're still scared that people will stream stuff from outside their broadcast area and give someone else the ad impressions, or violate their licensing on some program or other.

    If Apple introduce an app store, then it doesn't need to have national or international value, since local stations can have their own app, and you only need to install the apps for the stations you want. Networks and affiliates can even have apps that allow you to set your location, and automatically feed you the local stations.



    As for the International scale, I already get a lot of US-specific sports stations that I don't want. On the other hand, I might be interested in watching a local station for, say, San Francisco if I'm travelling there next week. Just to find out what's going on before I get there.

     

    That wasn't the comment I was responding to. The comment was this:  "I have to wonder what the big deal is with echoing local content."

     

    Beyond the "local" region, local advertising doesn't apply.

  • Reply 9 of 38
    blastdoorblastdoor Posts: 2,482member

    They need to stop holding back and get the hardware out with a full app store. With the app store they can form a "coalition of the willing." The holdouts will then feel the pressure to get with the program. 

  • Reply 10 of 38
    In addition to licensing hurdles, Apple reportedly lacks a network infrastructure capable of feeding what is expected to be a large number of Apple TV boxes. Apple supposedly needs to populate servers around the U.S. with content to ensure a smooth streaming experience, but so far only fields data centers in California, Nevada, North Carolina and Oregon. The company has been building out a proprietary network, but currently leans heavily on Akamai to handle its content distribution grunt work.

    Possibly, this is the reason Apple acquired FoundationDB. FoundationDB provides high-performance, reliability and scalability. It is easy to distribute a FoundationDB across geographically distant servers.

    Perhaps, Apple could use Amazon AWS or Google servers until they flesh-out the Apple Server network.
  • Reply 11 of 38
    rogifanrogifan Posts: 10,669member
    True or not, might be time for Apple to start to develop their own content a la Netflix, Amazon and others.

    The last thing I want is Apple curated TV shows. They should stay the hell away from content creation.
  • Reply 12 of 38
    True or not, might be time for Apple to start to develop their own content a la Netflix, Amazon and others.


    1000
  • Reply 13 of 38
    Its been 3 1/2 years, realistically 5 1/2, how long does it take to update?
  • Reply 14 of 38
    Hey, Apple! I have a local HD antenna. So give us the cable and network streaming on demand channels we need to cut the cable.

    THEN offer the live local as and add-on later.
  • Reply 15 of 38
    SpamSandwichSpamSandwich Posts: 33,408member
    Quote:

    Originally Posted by Rogifan View Post





    The last thing I want is Apple curated TV shows. They should stay the hell away from content creation.



    Why? Apple content would be just one part of many. Do you shy away from Netflix, Crackle, Hulu or Amazon created content?

  • Reply 16 of 38
    anomeanome Posts: 1,465member
    That wasn't the comment I was responding to. The comment was this:  "I have to wonder what the big deal is with echoing local content."

    Beyond the "local" region, local advertising doesn't apply.
    Sorry, the second part of my comment was directed at your comment about National/International value of local content, while the first paragraph only was directed at the previous comment about the "big deal" with echoing local content. I suppose that could have been clearer.
  • Reply 17 of 38
    solipsismysolipsismy Posts: 5,099member
    I'm all for waiting so you can build out the proper HW, SW and services, but I can't help but wonder that if this [I]rumour[/I] is true, and another year will be tacked on, that Apple could be missing their window of owning the living room.
  • Reply 18 of 38
    quadra 610quadra 610 Posts: 6,756member
    "Claims."
  • Reply 19 of 38
    512ke512ke Posts: 782member

    Personally I would not be surprised if this rumor were true. The TV industry fears Apple will have power like it had back in the heyday of iTunes to set pricing.

     

    I agree with the above poster that Apple needs its own content, or at least, much more of its own content.

     

    Why go to HBO? Shows like Game of Thrones. Netflix? House of Cards etc. Hulu has original stuff. Exclusive and original content makes the platform, not a slick interface.

     

    In my opinion at least lol.

  • Reply 20 of 38
    jungmarkjungmark Posts: 6,882member
    rogifan wrote: »
    The last thing I want is Apple curated TV shows. They should stay the hell away from content creation.

    Apple should buy shows from studios. They shouldn't be a studio.
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