Apple's 'Netflix for news' faces publisher resistance over revenue split terms

Credit Apple

Credit Apple

Apple will host an event to unveil the new iPad mini 5 and iPad on 19 March, according to a release date leak. Customers will reportedly pay a monthly subscription fee for access, but a new report claims Apple's alleged financial terms aren't sitting well with publishers.

Apple, which has taken its time developing a strategy for entering the crowded streaming video field, is targeting springtime for the launch of a new streaming clearinghouse, according to multiple reports. Apple Music, for example, continues to grow at an impressive clip, with Tim Cook revealing during the company's most recent earnings conference call that the music streaming service now has upwards of 50 million subscribers. As well, the report claims that publishers "likely" won't be given access to the data gathered on subscribers, which may make it more hard for them to market themselves to readers.

However, Apple has been holding events in March for years, so it's not entirely surprising news.

Apple is expected to launch the service as a premium subset of its Apple News app later this year and remains hopeful it can win over holdouts in the meantime. The service is rumored to launch later this year. "That's with just what YouTube monetizes and doesn't include [the ads and sponsorships] that we sell", he said. Paid subscriptions though the iOS news app could roll out as early as March 25. Since Apple announced in November that it would no longer break out iPhone sales in its quarterly earnings reports, investors will likely be looking to the growth of its services business moving forward, which reached an all-time high of $10 billion (R137.4 billion) during the holiday quarter.

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How much will Apple's TV service cost?

That sounds well and good, but CNBC relays that Apple's TV offerings may not include service options from the likes of HBO and Netflix.

"While the exact disagreement between Apple and HBO isn't known", the report reads, "media companies have been concerned about data sharing and revenue splits as Apple tries to aggregate existing services in new ways".

An Apple spokesperson declined to comment when contacted by ZDNet.

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