Apple’s Rumoured TV Streaming Service May Cost $40 a Month

While Apple unveiled an all new Apple TV at last week’s special event without announcing any streaming TV subscription service, analysts at J.P. Morgan are quite confident that the rumoured service is coming soon, and will cost around $40 a month at launch (via MarketWatch). Analyst Rod Hall believes that Apple could easily charge more or construct channel bundles to end up costing the average consumer more.

JP

The above list by Hall predicts how pricing for some content providers could look on Apple TV. The list includes 27 cable networks including Viacom, Comedy Central and AMC Networks, and is based on pricing of Dish Network’s Sling TV. By adding broadcast content, the analyst believes people would want to completely cut the cord on their cable service. “The 25% markup for Apple is simply an assumption”, Hall said.

“We believe our estimates are only a ballpark given the myriad possible TV package options and markups that Apple could encounter. We assume that Apple will pay a 25% markup to content owners over what they normally get from cable providers such as Comcast though this is only our best guess,” Hall wrote. 

Hall is forecasting shipments of the new Apple TV, priced at $149 and $199, to reach 24 million units in 2016, up from the 10 million units this year, and said that would result in a 2.1% upside in per-share earnings.

J.P. Morgan notes that a TV streaming service could add another 1.3% to Apple’s earnings.

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Parksy
Parksy
10 years ago

This probably won’t be available in Canada either. We are still waiting for Apple Pay.

Mark Holoubek
Mark Holoubek
Reply to  Parksy
10 years ago

With a DNS Proxy and US iTunes account, one could easily sign up here…

Parksy
Parksy
Reply to  Mark Holoubek
10 years ago

That US credit card is still the limiter. You can always get US iTunes cards but that’s a pain in the butt.

andrewe
andrewe
Reply to  Parksy
10 years ago

You can use a Canadian credit card for both US and Canadian iTunes/App Store/Apple Music content. I pay for US HBO via US iTunes/Apple account, paid for with Canadian credit card. Enter your postal code as a zip code: A2B 4C6 ? 24601

Parksy
Parksy
Reply to  andrewe
10 years ago

I thought the limiter was the number not the zip/area code. I’ll give that a try.

Flash
Flash
10 years ago

I’d pay $100/mo if they offered an apple music style offering or kodi genesis. Better yet can we have one damn fee – media subscription fee for $100/mo gives me music, iCloud, TV, movies

Widohmaker
Widohmaker
10 years ago

It would be great if they did ‘a la carte’ right. i.e. pick 10/15/20 channels that you want in your package. Any channel can be picked, no bundling of a group of channels of which you only watch 1.

ticky13
ticky13
Reply to  Widohmaker
10 years ago

It probably will be once they get enough channels online.

1His_Nibs1
1His_Nibs1
10 years ago

I doubt this will make it’s way north because I can see all the cable providers uniting to defeat this. I wouldn’t be surprised if there was a back room deal with Apple where all the cable providers pay a fee to Apple to keep it out of Canada because cable providers have absolutely nothing to gain & everything to lose.

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