Apple is making a very big bet on streaming and setting aside $6 billion for original content on only five shows. Will the gamble win over consumers?
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“It probably isn't enough in and of itself,” said Strat Americas managing director Seth Schachner to FOX Business’ Lauren Simonetti on Wednesday. “But there’ll be a big, long series of shows. They’ve got a great lineup.”
Apple TV + is expected to launch this fall and will reportedly cost $10 per month and be available in over 100 countries. The tech giant reportedly spent hundreds of millions of dollars on its upcoming star-studded show called “The Morning Show," starring Jennifer Aniston, Reese Witherspoon and Steve Carrell, according to the Financial Times, which amounts to a higher price tag than "Game of Thrones." The HBO program supposedly cost $15 million per episode in its final season. The service will also include new productions from Oprah Winfrey and Steven Spielberg.
“It's a long term play for them and you know that handset and all those IOS devices -- there are over a billion, I think, 1.4 billion IOS enabled devices that are out there, you know, in the world and this will be a global launch for Apple.”
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Comparatively, Disney Plus is launching Nov. 12 for $7 per month and Netflix currently costs $13 per month, while Hulu’s newly announced monthly plan is $5.99.
Schachner believes over time, like with many of these services, Apple will also roll out a bundling strategy.
He also noted that while Disney’s service is “very compelling,” he said, Netflix and other smaller niche players should be “sweating bullets.”