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Apple leapt into the "whole different ballgame" market when they made an MP3 player, then when they launched the iTMS, then when they added movie downloads, then when they launched a cell phone... The natural progression for for video distributors (whether they are cable channels, broadcast channels or streaming services) is to start with licensing third party content and them moving to create their own content. It differentiates them from competitors and provides a more secure revenue stream (no worries about losing the content after the licensing deal runs out).

Dollars to donuts, if Apple started producing original content on par with HBO, Amazon, Netflix, etc., AppleTV sales would sky rocket. But, as we've both said, producing hasn't historically been Apple's MO. Even the long-rumored skinny bundle would help out. With the iPad and Watch not exactly doing gang busters it might be time for Apple to put more weight behind the TV and move it out of 'hobby' status.

As you noted, the majority of people have some flavor of Windows PC and an Android phone so how does Apple get those people to buy AppleTVs when they are outside of the Apple ecosystem? To do that they'll need to offer things that people can't get via other streaming services (beyond just the usual exclusivity window). iTMS was the 'killer app' for the iPod and that, plus taking it cross platform, is what allowed the iPod sales to explode. The iTMS in it's current state isn't a killer app for the AppleTV, and maybe it never will. I'm working under the assumption that Apple wants to really compete with streaming services and cable TV providers but maybe they don't.




The majority of people in the US that will mostly likely buy an iPhone have already purchased an iPhone, and the growth in China hasn't panned out which is why Apple's sales are slumping. For better or for worse Wall Street rewards growth and after many years of amazing growth, thanks to the iPod, iTMS and iPhone, that ship seems to be running out of steam. All successful products run the same basic cycle which is why companies are always looking for the 'next big thing'.

Apple's strength is the quality of its operating system, reason why their overpriced hardware is used / bought.

If Apple focuses on creating content and not improving their current hardware, which the most recent MacBook, iPhone, iPad, Apple Watch, are far, far away from the innovative breakthroughs they use to deliver, then the "need" of using their hardware is going to be diminished, affecting the core business.

Apple's next big thing should be in the consumer electronics industry. The next big OS, the most advanced laptop, the even smarter smartphone or a whole new different thing we haven't thought about (The old Jobs days). Apple revolutionized the music industry without being a record label, and revolutionized the mobile phone industry, without being a carrier; no need to attempt to "revolutionize" the TV industry, doing what EVERYBODY is doing.

If Apple's next big thing is content, following the steps of Netflix or Amazon, the company is doomed; Tim Cook is the most overrated CEO.
 
Right, nothing to do with it except the iPads / aTV / iPhones and to a point macs, are mostly content consumption devices.
I wonder where it would fit on aTV or iTunes...

Those are content consumption devices, but Apple is SELLING content and taking a cut. But most of all they care more about selling the HARDWARE, so again them creating content does nothing to help those 2 primary drivers. I'm pretty sure there's NO ONE who is going to say I want to pay $1,000 for an iPad and a subscription to Beats music so they can watch Carpool Karaoke. Putting their own free content in the ATV/Movie store is also problematic and doesn't serve much purpose to their bottom line either for the same reason that it's geared towards selling content. I guess you can argue they go the Amazon Prime Route.
 
Apple's strength is the quality of its operating system, reason why their overpriced hardware is used / bought.

If Apple focuses on creating content and not improving their current hardware, which the most recent MacBook, iPhone, iPad, Apple Watch, are far, far away from the innovative breakthroughs they use to deliver, then the "need" of using their hardware is going to be diminished, affecting the core business.

Apple's next big thing should be in the consumer electronics industry. The next big OS, the most advanced laptop, the even smarter smartphone or a whole new different thing we haven't thought about (The old Jobs days). Apple revolutionized the music industry without being a record label, and revolutionized the mobile phone industry, without being a carrier; no need to attempt to "revolutionize" the TV industry, doing what EVERYBODY is doing.

If Apple's next big thing is content, following the steps of Netflix or Amazon, the company is doomed; Tim Cook is the most overrated CEO.

I'm not saying Apple needs to shift gears and become a full time movie/TV studio. I'm saying that the 'killer app' for a box that streams movies and TV shows to your TV is access to exclusive movies and TV shows. Apple knows this too which is why they partnered with HBO to have a timed exclusive for HBO NOW during the new season of Game of Thrones. Third party exclusives are great, but eventually they go away which is why first party exclusives are even better. Again, what's the lure of AppleTV if I can already get Netflix, Hulu, Amazon, etc., on things I already own (like my TV) or on streaming boxes that cost a lot less than an AppleTV? I think it boils down to an amazing skinny bundle that puts all the other skinny bundles to shame and/or top shelf first party content. Neither of which are easily done.

It is an odd spot for Apple to be in because the iTMS and the App Store in-and-of themselves helped skyrocket the iPod and iPhone to success, but times and scenarios have changed. I think this is why we keep hearing about rumors of Apple doing original content because internally Apple is figuring out whether it's the right direction to go or not.
 
I'm not saying Apple needs to shift gears and become a full time movie/TV studio. I'm saying that the 'killer app' for a box that streams movies and TV shows to your TV is access to exclusive movies and TV shows. Apple knows this too which is why they partnered with HBO to have a timed exclusive for HBO NOW during the new season of Game of Thrones. Third party exclusives are great, but eventually they go away which is why first party exclusives are even better. Again, what's the lure of AppleTV if I can already get Netflix, Hulu, Amazon, etc., on things I already own (like my TV) or on streaming boxes that cost a lot less than an AppleTV? I think it boils down to an amazing skinny bundle that puts all the other skinny bundles to shame and/or top shelf first party content. Neither of which are easily done.

It is an odd spot for Apple to be in because the iTMS and the App Store in-and-of themselves helped skyrocket the iPod and iPhone to success, but times and scenarios have changed. I think this is why we keep hearing about rumors of Apple doing original content because internally Apple is figuring out whether it's the right direction to go or not.
I gotta call ******** on that, exclusives is bad in so many ways, I do not want 10 different tv boxes at home just so I can watch the content I want.

You get people to use your box not by exclusivities but by creating a better experience then the others and a better ecosystem.
 
I gotta call ******** on that, exclusives is bad in so many ways, I do not want 10 different tv boxes at home just so I can watch the content I want.

You get people to use your box not by exclusivities but by creating a better experience then the others and a better ecosystem.

I don't want 10 different boxes either which is why I only get my media from stores/services that are platform agnostic (Amazon, Netflix, etc,).

Ecosystems are inherently exclusive though. For example, if you want any operating system from Apple you have to buy Apple hardware (though Apple will happily let you run Windows if you want to). If you want FCP X you have to buy Apple hardware. If you want to pair your Apple Watch with a computer and a phone it has to be an Apple computer and an Apple phone. If you want iTMS content on your TV you need an AppleTV. This is where Apple gets left out in the cold.

Netflix, Amazon, Hulu, HBO NOW, Showtime Anytime, etc., are available on a variety of hardware and they all basically offer the same movies and TV shows you can get from the iTMS. So where's the incentive to buy an AppleTV if you already own a Roku, Chromecast, PS4, Amazon Fire TV, Xbox One, Smart TV, Smart Blu-ray player, etc.,? Maybe Apple can offer a better front end UI with things like universal voice search, but MS, Amazon and Google are already doing that too.

Would I prefer if Apple opened up access to the iTMS so it would with work hardware from Sony, MS, Google, Amazon, Vizio, etc.,? Of course, but Apple isn't going to do that as long as it's selling the AppleTV. Which comes back to my point, if Apple wants AppleTV to be more than a hobby it's going to take Apple offering up things that it's competition can't.
 
I don't want 10 different boxes either which is why I only get my media from stores/services that are platform agnostic (Amazon, Netflix, etc,).

Ecosystems are inherently exclusive though. For example, if you want any operating system from Apple you have to buy Apple hardware (though Apple will happily let you run Windows if you want to). If you want FCP X you have to buy Apple hardware. If you want to pair your Apple Watch with a computer and a phone it has to be an Apple computer and an Apple phone. If you want iTMS content on your TV you need an AppleTV. This is where Apple gets left out in the cold.

Netflix, Amazon, Hulu, HBO NOW, Showtime Anytime, etc., are available on a variety of hardware and they all basically offer the same movies and TV shows you can get from the iTMS. So where's the incentive to buy an AppleTV if you already own a Roku, Chromecast, PS4, Amazon Fire TV, Xbox One, Smart TV, Smart Blu-ray player, etc.,? Maybe Apple can offer a better front end UI with things like universal voice search, but MS, Amazon and Google are already doing that too.

Would I prefer if Apple opened up access to the iTMS so it would with work hardware from Sony, MS, Google, Amazon, Vizio, etc.,? Of course, but Apple isn't going to do that as long as it's selling the AppleTV. Which comes back to my point, if Apple wants AppleTV to be more than a hobby it's going to take Apple offering up things that it's competition can't.
What I meant by getting people in with the ecosystem I was thinking more about having it work great with the software and hardware with all the other devices you have (tv, phone, tablet, computer and so on) and doing something like their new TV app which gather all your content in one place. Granted it doesn't yet work as it should since it is missing support for both Amazon Video and more importantly Netflix but it is a great idea that just needs to be perfected more.

I do not buy content from Apple anymore (did a few years ago) since I do not want to be forced to stick with Apple hardware forever. This is exactly why Apple shouldn't get into creating movie content because they will be worse then Amazon.

Amazon has great original content that I just refuse to keep subscribing to because they refuse to put it on Apple TV, Android TV and even Android (outside the play store) and no support for my choice the Chromecast.

And I love movies and tv shows so it is really hard to not give in to them just so I can watch their awesome content.

Apple will most definitely be much worse and they will probably have great content if they get into that business.

They should stick to giving the content a platform only.
 
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