Can Apple dominate the digital movie/TV market?
TweetFollow Us on Twitter

Can Apple dominate the digital movie/TV market?

Is Apple on the verge of dominating the digital movie market and revolutionizing television, as well? Those answers are "looks like it" (digital movies) and "outlook cloudy" (television viewing).

When it comes to digital movie sales, Apple already controls 65% of the market, according to research by IHS Screen Digest. Now as as Apple expands digital offerings into the cloud via iCloud, it threatens to dwarf Hollywood's own UltraViolet cloud initiative with the only credible challenge coming from Amazon and Google, not the movie industry.

"If they do this right, Apple is in the lead position," James McQuivey, an analyst with of Forrester Research told "TheWrap" (http://macte.ch/G8qU4). "They're already in a strong position. The dark horse here is Amazon, not UltraViolet."

UltraViolet is a cloud-based movie storage solution that the industry is betting (or at least hoping) will convince consumers to buy movies instead of renting them. How? The "digital locker" solution keeps copies of films you've bought on remote servers for viewing any time on various devices. Last month Walmart announced that it would offer a service to turn physical DVD/Blu-ray collections across the U.S. into digital movies.

UltraViolet was designed to promote digital ownership as opposed to the streaming or rental market dominated by Netflix or Redbox. It was also intended to prop up sagging disc sales by adding digital rights to DVDs and Blu-rays.

But so far it hasn't caught on. According to "TheWrap," in January, its backers announced that roughly 750,000 accounts had been set up, much fewer than analysts had anticipated. The system, some customers complained, is overly complicated. What's more, Apple isn't offering UltraViolet purchases on its iTunes store.

"The studios' fondest wish is that iTunes comes on board and becomes an UltraViolet licensee and starts providing stuff that is compatible with what everyone else is selling," Tom Adams, principal analyst and director of U.S. media for IHS Screen Digest, told "TheWrap."

For now, the studios don't seem to mind that Apple may cannibalize its own cloud project, the article adds. Sony, Disney, Lionsgate, Warner Bros and Paramount have reached agreements with Apple. Fox and Universal are expected to follow suit in the next few months once they renegotiate licensing deals with HBO that are preventing them from releasing their films to the cloud, according to an individual with knowledge of the talks.

With Apple's help, studios hope they can convince consumers into once again building video collections, this time in the cloud, just as they once had DVD libraries in their homes. And we movie lovers enjoy having our own collection. Personally, I like having films I've bought in both physical (you still can't beat Blu-ray for the utmost in quality) and in the cloud.

So when it comes to digital movies, Apple is in the best possible position. As for dominating the world of television, that's going to take some work, though the industry needs a good shake-up. Folks like me are unhappy with their cable and satellite bills, in which we pay for channels we never watch. Plus, the prices seem to jump every couple of months. And that doesn't look like it will change.

According to "USA Today" (http://macte.ch/4oU8o): Some may be cutting the cord, but those who are keeping their pay TV service can expect to pay more.
Monthly pay TV rates have grown about 6% annually, which should bring the average bill -- currently about $84 -- up to $123 per month by 2015 and $200 by 2020, according to data from the NPD research group (http://www.npd.com).

"As pay-TV costs rise and consumers' spending power stays flat, the traditional affiliate-fee business model for pay-TV companies appears to be unsustainable in the long term," NPD research director Keith Nissen told "USA Today." He adds that the challenge from streaming video services such as Netflix "might be the spark that ignites the necessary business-model transformation of the pay-TV industry."

Still, despite the popularity of Netflix and other streaming services such as Hulu, consumers remain devoted to pay TV services, according to the NPD report based on 1,000 consumer households surveyed quarterly and another 10,000 consumers surveyed semi-annually. More than six out of 10 (62%) want premium TV services delivered by their pay TV provider or a service affiliated with their provider. Only 20% were likely to cancel their pay TV service, even if they could get their favorite shows online.

"Pay-TV providers offer a convenient, one-stop shop for subscribers, and the majority of customers like it that way," NPD's senior vice president of industry analysis Russ Crupnick told "USA Today." "There is an open window for the industry to meet consumer needs and become to television what iTunes is to music; however, there is also a definite risk if pay-TV providers don't capitalize on the opportunity -- and soon."

Eighty-four percent of U.S. homes subscribe to pay TV services. The economic downturn and mortgage crisis resulted in five million fewer U.S. households viewing pay TV services, NPD says. However, the total pay TV subscriptions haven't dipped much despite the economy, the research group adds.

So can Apple revamp the industry with its rumored HDTV (the "iTV" or "iPanel"). Perhaps, but the company has its work cut out for it. In a note to clients -- as reported by "Deadline" (http://macte.ch/XLq3r) -- BTIG analyst Rich Greenfield says not to expect such a device this year.

Not that Apple doesn't have an opening. The user interfaces and remote controls from TV manufacturers and pay TV companies "are horrible – they are the polar  opposite of intuitive and they certainly don’t 'just work'," Greenfield told "Deadline."

However, the media ecosystem is “quite complex and requires a lot of agreements between parties that are still  trying to figure out if they are friends or enemies or somewhere in between.”  His advice to Apple: start off by developing a device for satellite companies DirecTV and Dish Network that would redesign the look and feel of the viewing experience. That would provide national reach” and pressure cable companies to play ball."

"Once a consumer upgrades their living room TV, they are going to want to  replicate that experience on other TVs throughout their home” -- opening the way for Apple to sell its own TV set -- Greenfield tells "Deadline." He even envisions a way for Apple to offer a rival pay TV service via the Internet.

"If Apple is willing to take all the content (meaning no cherry picking the  best channels) from each content owner at a premium price (figure $40+ per  sub/month compared to Comcast’s rate of around $30/sub/month), we believe  a significant number of programmers would agree to license  programming" to Apple, he says.

Greenfield is probably onto something. However, I still think that at some point in the future -- sooner rather than later, hopefully -- consumer demand and online competition will result in "a la carte" TV programming options. In other words, folks like me will play for the 20-30 channels we actually watch, not for 100-plus channels, most of which we could care less about.

-- Dennis Sellers

 

Community Search:
MacTech Search:

Software Updates via MacUpdate

Arq 5.8.5 - Online backup to Google Driv...
Arq is super-easy online backup for Mac and Windows computers. Back up to your own cloud account (Amazon Cloud Drive, Google Drive, Dropbox, OneDrive, Google Cloud Storage, any S3-compatible server... Read more
Backblaze 4.3.0.44 - Online backup servi...
Backblaze is an online backup service designed from the ground-up for the Mac. With unlimited storage available for $5 per month, as well as a free 15-day trial, peace of mind is within reach with... Read more
Instaradio 7.1 - Listen to your favorite...
Instaradio is fast, and it could be the radio player you have been waiting for. Try the app thousands of people rely on for listening to radio. Features Listen to radio from all around the world... Read more
EtreCheck 3.3.3 - For troubleshooting yo...
EtreCheck is an app that displays the important details of your system configuration and allow you to copy that information to the Clipboard. It is meant to be used with Apple Support Communities to... Read more
Hopper Disassembler 4.2.1- - Binary disa...
Hopper Disassembler is a binary disassembler, decompiler, and debugger for 32-bit and 64-bit executables. It will let you disassemble any binary you want, and provide you all the information about... Read more
Slack 2.6.2 - Collaborative communicatio...
Slack is a collaborative communication app that simplifies real-time messaging, archiving, and search for modern working teams. Version 2.6.2: Fixed Inexplicably, context menus and spell-check... Read more
Apple Final Cut Pro X 10.3.4 - Professio...
Apple Final Cut Pro X is a professional video editing solution.Completely redesigned from the ground up, Final Cut Pro adds extraordinary speed, quality, and flexibility to every part of the post-... Read more
Numi 3.15 - Menu-bar calculator supports...
Numi is a calculator that magically combines calculations with text, and allows you to freely share your computations. Numi combines text editor and calculator Support plain English. For example, '5... Read more
TunnelBear 3.0.14 - Subscription-based p...
TunnelBear is a subscription-based virtual private network (VPN) service and companion app, enabling you to browse the internet privately and securely. Features Browse privately - Secure your data... Read more
Apple iMovie 10.1.6 - Edit personal vide...
With an all-new design, Apple iMovie lets you enjoy your videos like never before. Browse your clips more easily, instantly share your favorite moments, and create beautiful HD movies and Hollywood-... Read more

Latest Forum Discussions

See All

Goat Simulator PAYDAY (Games)
Goat Simulator PAYDAY 1.0 Device: iOS Universal Category: Games Price: $4.99, Version: 1.0 (iTunes) Description: ** IMPORTANT - SUPPORTED DEVICES **iPhone 4S, iPad 2, iPod Touch 5 or better Goat Simulator: Payday is the most... | Read more »
Zombie Gunship Survival Beginner's...
The much anticipated Zombie Gunship Survival is here. In this latest entry in the Zombie Gunship franchise, you're tasked with supporting ground troops and protecting your base from the zombie horde. There's a lot of rich base building fun, and... | Read more »
Mordheim: Warband Skirmish (Games)
Mordheim: Warband Skirmish 1.2.2 Device: iOS Universal Category: Games Price: $3.99, Version: 1.2.2 (iTunes) Description: Explore the ruins of the City of Mordheim, clash with other scavenging warbands and collect Wyrdstone -... | Read more »
Mordheim: Warband Skirmish brings tablet...
Legendary Games has just launched Mordheim: Warband Skirmish, a new turn-based action game for iOS and Android. | Read more »
Magikarp Jump splashes onto Android worl...
If you're tired ofPokémon GObut still want something to satisfy your mobilePokémon fix,Magikarp Jumpmay just do the trick. It's out now on Android devices the world over. While it looks like a simple arcade jumper, there's quite a bit more to it... | Read more »
Purrfectly charming open-world RPG Cat Q...
Cat Quest, an expansive open-world RPG from former Koei-Tecmo developers, got a new gameplay trailer today. The video showcases the combat and exploration features of this feline-themed RPG. Cat puns abound as you travel across a large map in a... | Read more »
Jaipur: A Card Game of Duels (Games)
Jaipur: A Card Game of Duels 1.0 Device: iOS Universal Category: Games Price: $1.99, Version: 1.0 (iTunes) Description: ** WARNING: iPad 2, iPad Mini 1 & iPhone 4S are NOT compatible. ** *** Special Launch Price for a limited... | Read more »
Subdivision Infinity (Games)
Subdivision Infinity 1.03 Device: iOS Universal Category: Games Price: $2.99, Version: 1.03 (iTunes) Description: Launch sale! 40% Off! Subdivision Infinity is an immersive and pulse pounding sci-fi 3D space shooter. https://www.... | Read more »
Clash of Clans' gets a huge new upd...
Clash of Clans just got a massive new update, and that's not hyperbole. The update easily tacks on a whole new game's worth of content to the hit base building game. In the update, that mysterious boat on the edge of the map has been repaired and... | Read more »
Thimbleweed Park officially headed to iO...
Welp, it's official. Thimbleweed Park will be getting a mobile version. After lots of wondering and speculation, the developers confirmed it today. Thimbleweed Park will be available on both iOS and Android sometime in the near future. There's no... | Read more »

Price Scanner via MacPrices.net

Free Tread Wisely Mobile App Endorsed By Fath...
Just in time for the summer driving season, Cooper Tire & Rubber Company has announced the launch of a new Tread Wisely mobile app. Designed to promote tire and vehicle safety among teens and... Read more
Commercial Notebooks And Detachable Tablets W...
Worldwide shipments of personal computing devices (PCDs), comprised of traditional PCs (a combination of desktop, notebook, and workstations) and tablets (slates and detachables), are forecast to... Read more
Best value this Memorial Day weekend: Touch B...
Apple has Certified Refurbished 2016 15″ and 13″ MacBook Pros available for $230 to $420 off original MSRP. An Apple one-year warranty is included with each model, and shipping is free: - 15″ 2.6GHz... Read more
13-inch MacBook Airs on sale for up to $130 o...
Overstock.com has 13″ MacBook Airs on sale for up to $130 off MSRP including free shipping: - 13″ 1.6GHz/128GB MacBook Air (sku MMGF2LL/A): $869.99 $130 off MSRP - 13″ 1.6GHz/256GB MacBook Air (sku... Read more
2.8GHz Mac mini available for $973 with free...
Adorama has the 2.8GHz Mac mini available for $973, $16 off MSRP, including a free copy of Apple’s 3-Year AppleCare Protection Plan. Shipping is free, and Adorama charges sales tax in NY & NJ... Read more
15-inch 2.2GHz Retina MacBook Pro on sale for...
Amazon has 15″ 2.2GHz Retina MacBook Pros (MJLQ2LL/A) available for $1749.99 including free shipping. Apple charges $1999 for this model, so Amazon’s price is represents a $250 savings. Note that... Read more
Huawei Unveils New ‘Business-Styled’ MateBook...
Huawei has introduced a trio of new MateBook laptops, expanding its mobile portfolio and building on its success in delivering attractive and powerful high-end devices. The company claims the HUAWEI... Read more
Deal! Gold 12-inch 1.2GHz Retina MacBook for...
Amazon has the 2016 Gold 12″ 1.2GHz Retina MacBook (MLHF2LL/A) on sale for $350 off MSRP for a limited time. Shipping is free: - 12″ 1.2GHz Gold Retina MacBook: $1249.99 $350 off MSRP We expect this... Read more
13-inch 2.0GHz MacBook Pros on sale for $100...
B&H has the non-Touch Bar 13″ 2.0GHz MacBook Pros in stock today and on sale for $100 off MSRP. Shipping is free, and B&H charges NY & NJ sales tax only: - 13″ 2.0GHz MacBook Pro Space... Read more
15-inch 2.2GHz Retina MacBook Pro, Apple refu...
Apple has Certified Refurbished 2015 15″ 2.2GHz Retina MacBook Pros available for $1699. That’s $300 off MSRP, and it’s the lowest price available for a 15″ MacBook Pro. An Apple one-year warranty is... Read more

Jobs Board

*Apple* Retail - Multiple Positions, White P...
Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, you're also the Read more
Best Buy *Apple* Computing Master - Best Bu...
**509110BR** **Job Title:** Best Buy Apple Computing Master **Location Number:** 000048-Topeka-Store **Job Description:** **What does a Best Buy Apple Computing Read more
*Apple* Retail - Multiple Positions - Apple,...
Job Description: Sales Specialist - Retail Customer Service and Sales Transform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Retail - Multiple Positions - Apple,...
Job Description:SalesSpecialist - Retail Customer Service and SalesTransform Apple Store visitors into loyal Apple customers. When customers enter the store, Read more
*Apple* Systems Engineer - California Polyte...
Cal Poly, San Luis Obispo Apple Systems Engineer Department: ITS - Customer & Tech Support (134900) College/Division: Academic Affairs Salary Range: Position Read more
All contents are Copyright 1984-2011 by Xplain Corporation. All rights reserved. Theme designed by Icreon.