Apple reportedly wants to keep 50% of subscription news service revenue

Apple reportedly wants to keep 50% of subscription news service revenue

Apple reportedly wants to keep 50% of subscription news service revenue

Just yesterday, for instance, word surfaced that some publishers were hesitant to join Apple's rumored news subscription service on account of Apple wanting 50% of all revenue. Corroborating previous reports about Apple's TV plans, the report claims that Apple's original content will be available for free for iOS users and will also enable users to seamlessly sign up for streaming packages from other content creators.

Apple will reportedly host a March 25th event at The Steve Jobs Theatre in its Apple Park campus where it's expected to unveil its rumoured subscription news service. That was previously reported to not be going very well, as Apple is reportedly demanding 50% of the revenue from publishers.

Smartphone makers are scrambling for ways to increase revenue now that they have realized consumers are not interested in buying new $1,000 devices every single year, or even every two years. The TV service is expected to launch globally, a person familiar with the matter said, an ambitious move to rival services from Netflix Inc and Amazon.com Inc's Prime Video.

We've seen endless reports over the past year suggesting that Apple wants to bundle together magazine and newspaper subscriptions into a monthly plan.

The earliest event the company held was back in 2011, on March 2, so Apple has lots of time to cram in a product unveiling next month.

A premium news subscription could cost around $10 per month, the same that Apple Music now costs.

But this new service would combine content from news services who lock their content behind a paywall.

Bloomberg also states that the video service will be accessed through Apple's TV and Movies app that comes preinstalled on the company's various devices, including the iPhone, iPad, MacBook and 4th generation Apple TV. It will reportedly blend those titles with its own original content as the company looks to shore up revenue amid declining iPhone sales and competition for screen time from other digital giants.

We've asked Apple for comment and will update this story with any response.

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