Out with the old ideas, in with the new!
Rumors were floating around in January that Apple was going to formulate a deal with various TV networks about possible iTunes subscriptions to shows. ABC and CBS reported that they were highly interested, though others didn't share the same feelings. Possibly because they don't want to ruin the delicate relationship they have with cable companies. Well, a few weeks after word leaked out...and it's still not here. Round 2?
The Financial Times reported on Wednesday that Apple is delving down a new path. The solution? Apple will undergo a trial period of charging $1 to view U.S. TV shows this year. Coincidentally (or not), the release of this strategy is supposed to correspond with the new launch of the iPad. As of now, Apple sells shows off iTunes for $1.99 in standard definition or $2.99 in high definition.
Unfortunately, the $1 shows will be in standard definition, but there's something about the $1 gimmick that has an enticing ring to it. Especially since the price is cut in half, Apple employees are going to monitor the sales spurts to see if this temporary service should continue long-term. And Apple is still not giving up on the idea of an iTunes show subscription.
The author of the TechCrunch article, MG Siegler, did not hide his unbiased viewpoint about the major cable operators. He fully supports Apple's endeavors, because he accused the cable companies as controllers of the industry who force us to pay outrageous, unnecessary fees.
Another major advantage with the purchase of television shows is that you wouldn't have to occupy megabyte upon megabyte of storage if the data is online. Buying all the shows will undoubtedly take over your hard drive and it would not be practical to just keep buying more space. Instead, it just offers another incentive for iTunes to move toward the cloud.
Will cable companies take a huge hit? Probably. Will this change come soon? Possibly. Will this service broaden different opportunities for consumers? Absolutely.
I am anxious to see how this experiment works, especially if subscriptions will be stored online (with access from anywhere) as opposed to downloaded on to a hard drive. Online storage is appealing to me...is this the beginning of the end of DVDs?
ReplyDelete