Which is stupid. Why should Apple get 30% of the $10 I pay Netflix every month? Apple's not hosting this content. Even if one argues that Apple should get a commission for driving business to Netflix should that be a recurring monthly commission based on people's subscriptions? I would argue no. When I signed for Netflix I did so on their website so I would assume Apple is not getting a 30% cut?
No, Apple does not get a cut of the services signed up from elsewhere, obviously. Clearly you don't understand. If subscription based products want to allow sign-up from within their iOS app, Apple gets a cut of those sign ups, and billing is managed through iTunes.
No I do understand I just don't agree with the policy, at least for recurring subscriptions. Plus one would assume that Netflix or anyone else could remove the IAP option whenever they want. Going to netflix.com and subscribing is pretty simple.
iTunes has gotten confusing to my brain at least. It's no longer clear what files are on the cloud and which ones are on the computer for instance. Netflix on the other hand is an easy experience. It does a great job of tracking and predicting your tastes. It is also cheaper at $8 a month than renting content on iTunes. Finally, Netflix has original content
I am am an Apple fan but I can see why Netflix is growing to the point of threatening established business models of TV distribution.
No, Apple does not get a cut of the services signed up from elsewhere, obviously. Clearly you don't understand. If subscription based products want to allow sign-up from within their iOS app, Apple gets a cut of those sign ups, and billing is managed through iTunes.
No I do understand I just don't agree with the policy, at least for recurring subscriptions. Plus one would assume that Netflix or anyone else could remove the IAP option whenever they want. Going to netflix.com and subscribing is pretty simple.
It's incremental revenue Netflix would not have otherwise. What's important is them gaining the additional subscriber and retaining them.
It is completely stupid to believe Apple is getting 30% of Netflix's subscription fees. And how in the world does Apple process subscription fees for Netflix? Netflix bills you directly.
What are you talking about? Netflix does NOT bill you directly if you sign up for your account via the iOS App. Anywhere else, yes.
Apple absolutely gets 30% of all subscriptions started from the Netflix iOS App. Those subscriptions and that traffic is a tremendous chunk of overall Netflix. Go look at their revenue pre and post App Store.
You should do that. Review their earnings release and earnings call transcript from yesterday. Post the figures along with commentary about paying through iOS and when that started. (Hint: Despite what you imply, you won't have to go back any further.) Give us some clarity from Netflix as to what they're paying Apple based on what they've reported. Netflix already doesn't charge enough, and to take a 30% hit from Apple users seems dubious, to put it mildly. Rumor was that HBO is giving up 15%, and I expect Netflix got it down to at least that.
Apple is at $93 now. I guess this was bad news for Apple.
Oh geez... The whole market is taking a nosedive, not just Apple. The Dow is already down 300 points on the day and down been a regular trend all month. Follow the news once in awhile. Apple's falling stock-price this year has little to nothing to do with them specifically.
Apple is at $93 now. I guess this was bad news for Apple.
Oh geez... The whole market is taking a nosedive, not just Apple. The Dow is already down 300 points on the day and down been a regular trend all month. Follow the news once in awhile. Apple's falling stock-price this year has little to nothing to do with them specifically.
FB is down 5%, Amazon 4.5%, Netflix 7% (even though they had a good quarter). If you look at stocks YTD Apple is down less than some of its competitors. Of course many of them were up big last year but still...
Apple is at $93 now. I guess this was bad news for Apple.
Oh geez... The whole market is taking a nosedive, not just Apple. The Dow is already down 300 points on the day and down been a regular trend all month. Follow the news once in awhile. Apple's falling stock-price this year has little to nothing to do with them specifically.
Sony is down more than 8% just this morning.
I'm thinking AAPL could even fall below $80. Maybe $72-75 range..?
Apple is at $93 now. I guess this was bad news for Apple.
Oh geez... The whole market is taking a nosedive, not just Apple. The Dow is already down 300 points on the day and down been a regular trend all month. Follow the news once in awhile. Apple's falling stock-price this year has little to nothing to do with them specifically.
That's not true. Yes the whole market is down the last 3 weeks.
But look at the last 6 months:
Apple DOWN 28% Dow Down 12% Nasdaq down 16% S&P500 down 13% Google up 3% Facebook down 8% Microsoft up 6%
Apple is performing 100%-300% worse than its peers and the lower risk index
Google and Facebook have nothing in common with Apple from a revenue standpoint. Other than all three being in the technology sector they have little overlap in their business models. I'd hardly consider a search provider/advertising company and a social media platform/advertising company to be peers of Apple, a massive hardware producer. But whatever, don't let me slow down your Apple/Tim Cook diss train. Carry on sir.
No, Apple does not get a cut of the services signed up from elsewhere, obviously. Clearly you don't understand. If subscription based products want to allow sign-up from within their iOS app, Apple gets a cut of those sign ups, and billing is managed through iTunes.
No I do understand I just don't agree with the policy, at least for recurring subscriptions. Plus one would assume that Netflix or anyone else could remove the IAP option whenever they want. Going to netflix.com and subscribing is pretty simple.
Which is why sign up with Netflix and any other cmpany that me to sign up with them. This allows all the money the go to Netflix and others, thus making them more money to provide better services.
Google and Facebook have nothing in common with Apple from a revenue standpoint. Other than all three being in the technology sector they have little overlap in their business models. I'd hardly consider a search provider/advertising company and a social media platform/advertising company to be peers of Apple, a massive hardware producer. But whatever, don't let me slow down your Apple/Tim Cook diss train. Carry on sir.
If you think Apple is just a hardware produce then I can't help you.
Apple's software/services empire is larger than Google on a gross revenue basis.
So! Google is still making great money quarter after quarter.
If you think Apple is just a hardware produce then I can't help you.
Apple's software/services empire is larger than Google on a gross revenue basis.
So! Google is still making great money quarter after quarter.
Mr Gatorfan was implying that since Apple just produces hardware they should not be compared to Google.
My point is Apple's services/software gross revenues is MORE than Google.
AFAIK Apple services contributed a tad over $5B revenue last quarter. Is that right? Google gross revenues last quarter was a bit over $18B. Perhaps you've mixed up some gross and net figures. In any event please don't distract yet another thread with more complaints about Apple stock price. Don't you already have enough threads going with discussions about it? Try one of those if you wish to continue. This one is about Netflix and streaming.
No, Apple does not get a cut of the services signed up from elsewhere, obviously. Clearly you don't understand. If subscription based products want to allow sign-up from within their iOS app, Apple gets a cut of those sign ups, and billing is managed through iTunes.
No I do understand I just don't agree with the policy, at least for recurring subscriptions. Plus one would assume that Netflix or anyone else could remove the IAP option whenever they want. Going to netflix.com and subscribing is pretty simple.
Honestly, what do you care? You're still paying $10 either way. And yes, exactly, if Netflix had an issue with it, they wouldn't allow users to sign-up via iOS apps ... It's how Amazon's services work in their iOS Apps and probably why they won't ever release an app for the AppleTV. Having such tiny profit margins does not allow you to afford any kind of customer service - they don't make enough on your subscription to make it convenient to sign up - that's the bottom line. Amazon is the Walmart of the online world.
This is too bad. Apple could have really dominated streaming video.
Sadly, I don't think Apple could have and sold hardware. I'm a huge Apple fan but I really think Netflix got this paradigm shift in TV right and kudos to them. I own Netflix and Apple stock as I think they are both great companies. They work really well together!
It should be noted (aka "BREAKING NEWS"), Netflix just announced they are raising their prices by 25%! However, you can avoid this price increase if you accept SD (standard definition) video instead of HD. This is their obvious response to their bandwidth hogging service.
i will probably cancel the service soon. I have less time to sit around watching movies and the best shows on Netflix are Daredevil and House of Cards. Too little to keep me as a customer...plus I hate getting stuck with price increases.
Bingo. The fact Netflix can use up so much bandwidth while making a fraction of the revenues that iTunes does shows that they're basically streaming garbage. And yes, I know they have some quality shows they produced. But most of what they stream are old movies and reruns of TV I don't care to watch. THAT'S where the bandwidth is going.
That's not true. Yes the whole market is down the last 3 weeks.
But look at the last 6 months:
Apple DOWN 28% Dow Down 12% Nasdaq down 16% S&P500 down 13% Google up 3% Facebook down 8% Microsoft up 6%
Apple is performing 100%-300% worse than its peers and the lower risk index
Google and Facebook have nothing in common with Apple from a revenue standpoint. Other than all three being in the technology sector they have little overlap in their business models. I'd hardly consider a search provider/advertising company and a social media platform/advertising company to be peers of Apple, a massive hardware producer. But whatever, don't let me slow down your Apple/Tim Cook diss train. Carry on sir.
That's an important distinction that people need to realize when looking at AAPL. Look at the trend over the passed decade; how many companies got out of the hardware market and instead concentrated more on services? How many hardware companies are actually doing well today? This is what the analysts and investors take into account when they look at Apple. Is it misguided? Sure. Apple has proven over and over that they can survive and even thrive in commoditized markets. But, hell, just two years ago, Samsung was an indestructible force and look how far they fell in that short time.
Regardless what happens with AAPL, the real Apple will always do fine as long as they continue on with their relentless desire to want to make great products. They're also in the process of building out their infrastructure, the services will fall in line eventually. They have the user base, they just need to push harder at making better use of us.
Bingo. The fact Netflix can use up so much bandwidth while making a fraction of the revenues that iTunes does shows that they're basically streaming garbage. And yes, I know they have some quality shows they produced. But most of what they stream are old movies and reruns of TV I don't care to watch. THAT'S where the bandwidth is going.
Normally I'd agree but Netflix are making massive inroads to the industry and probably changing it forever (for the better) in a way Apple are not. I really hate the cable model and its delivery system, so this paradigm shift matters to me. Netflix benefits from Apple TV and Apple benefits from Netflix. ... hence I have both stocks.
Comments
I am am an Apple fan but I can see why Netflix is growing to the point of threatening established business models of TV distribution.
The whole market is taking a nosedive, not just Apple. The Dow is already down 300 points on the day and down been a regular trend all month. Follow the news once in awhile. Apple's falling stock-price this year has little to nothing to do with them specifically.
I'm thinking AAPL could even fall below $80. Maybe $72-75 range..?
So! Google is still making great money quarter after quarter.
Honestly, what do you care? You're still paying $10 either way. And yes, exactly, if Netflix had an issue with it, they wouldn't allow users to sign-up via iOS apps ... It's how Amazon's services work in their iOS Apps and probably why they won't ever release an app for the AppleTV. Having such tiny profit margins does not allow you to afford any kind of customer service - they don't make enough on your subscription to make it convenient to sign up - that's the bottom line. Amazon is the Walmart of the online world.
i will probably cancel the service soon. I have less time to sit around watching movies and the best shows on Netflix are Daredevil and House of Cards. Too little to keep me as a customer...plus I hate getting stuck with price increases.
Bingo. The fact Netflix can use up so much bandwidth while making a fraction of the revenues that iTunes does shows that they're basically streaming garbage. And yes, I know they have some quality shows they produced. But most of what they stream are old movies and reruns of TV I don't care to watch. THAT'S where the bandwidth is going.
That's an important distinction that people need to realize when looking at AAPL. Look at the trend over the passed decade; how many companies got out of the hardware market and instead concentrated more on services? How many hardware companies are actually doing well today? This is what the analysts and investors take into account when they look at Apple. Is it misguided? Sure. Apple has proven over and over that they can survive and even thrive in commoditized markets. But, hell, just two years ago, Samsung was an indestructible force and look how far they fell in that short time.
Regardless what happens with AAPL, the real Apple will always do fine as long as they continue on with their relentless desire to want to make great products. They're also in the process of building out their infrastructure, the services will fall in line eventually. They have the user base, they just need to push harder at making better use of us.