Apple's Eddy Cue on Existing TV Interfaces: They're 'Pretty Brain Dead'

[bjet767]

Streaming is the reality. The sooner providers embrace it, the better off we all will be.

They are "embracing it" but that's not the problem.

The issue is who will receive the rewards of the streaming content. Streaming basically means local or national regulation will be outside of the grasp of the content providers and with that they will not be able to control revenue as easily.

If one thinks their cable or satellite fees are enough to make the content provider wealthy or pay for the shows they produce, well think again. It is always the advertiser's content which provides the revenue streams for the producers and they want to know how that will change with streaming.

If a content provider, like ESPN or HBO, signs a deal with Apple to stream their video how can Apple guarantee an audience and show statistics that back that up? If they can't how will they negotiate with the advertisers for fees to pay for the shows?

In the end streaming will not lower our cost to view video from what it is today, but what it might do is unbundle the content and allow the viewer to pick and choose what they are willing to pay for. However we, the viewers, must face the fact that ultimately we will pay more for less content.

BTW Some people hold Netflix up as the poster child for making money with streaming video, well the facts are they spend more cash than they bring in.

From their 3rd Qtr Report:

"Free Cash Flow and Capital Structure

In Q3, free cash flow was -$506 million vs. -$254 million in Q2’16 and -$252 million in the year ago quarter. The increase in our free cash flow deficit reflects the growth of original content, which we are increasingly producing and owning (rather than licensing). Self-produced shows like Stranger Things require more cash upfront as we incur spending during the creation of each show prior to its completion and release. In comparison, we generally pay on delivery for licensed originals like Orange is the New Black and we pay over the term of the agreement for licensed non-originals (eg, Scandal)."

For Netflix to ultimately survive and produce original video, they need to generate at least another $1billion in revenues per year. Where are they going to get that cash? They can't be like the Government and keep borrowing it.

 

[Denmac1]

He clearly knows something we don't know if he's making that statement. Hopefully one day we get that Apple TV they were working on for years and never released.

I think that project is in the same basket as the car project......

 

[s15119]

Eddy Cue is also "pretty brain dead"

I don't care who you are, that there is pretty funny.

 

[bradkrischel]

I love scrolling over and over to get to the most recent episode of a program on Apple TV.....

 

[tallscot]

Apple iTunes chief Eddy Cue today sat down with HBO CEO Richard Plepler for a joint interview during Vanity Fair's New Establishment Summit in San Francisco, where both spoke passionately about the television industry, the partnership between Apple and HBO, and how TV will improve in the future.

According to Eddy Cue, television "needs to be reinvented" because of confusing, hard to navigate interfaces. "You live with a glorified VCR," he said. "You're still setting things to record. There are 900 channels, but there's nothing to watch." He went on to say that there's incredible stuff to watch, but the interface makes it impossible to find content. "The problem is the interface," he said. "The ways you interface with it are pretty brain dead."

Because Apple has been unable to negotiate the deals it needs to create its own streaming television service, the company has taken another approach to revolutionizing the television experience, through the Apple TV. The Apple TV, with a full App Store, now serves as a platform that allows content providers to offer content while Apple exercises greater control over the interface.

Apple has been aiming to improve the way we interact with the television through features like Siri, universal search, and live tune-in, which allow users to conduct voice searches, find content across multiple apps, and play live content automatically without needing to search through a directory, all of which Cue alluded to in the interview.

Using HBO Now as an example, Cue said it's representative of a much better television service with an easier to navigate interface than what he sees on his cable box or satellite.

Cue believes that television will continue to improve gradually, getting better each year as restrictions relax and content providers become more comfortable with emerging technology. "It's moving rapidly," he said. "Look, it's gonna get better every year."

On competition, he said Apple can compete with companies like Netflix, Amazon, and Spotify but "still be together" because all of those services are on Apple's platform. Cue says Apple's platform will win if the company gives customers the best way to pay for and access content, even content coming from direct competitors.

On Apple's partnership with HBO, Cue said that though HBO has more than 1 million subscribers on Apple devices, the relationship between the two companies "at the beginning" and will continue. Both Cue and Plepler offered high praise for one another and said they have a strong partnership. Cue said he loves working with Plepler because he "cares about making the best stuff," while Plepler said Cue offers solid counsel and is easy to work with.Despite Plepler's praise, Eddy Cue's "hard-nosed" negotiating tactics are said to be one of the reasons why Apple has not been able to establish a stronger foothold in the television industry with its own streaming service. Cue and Apple refuse to settle with content providers for less than what Apple wants, which led to Apple walking away from its latest streaming television plans after networks refused to unbundle channels and demanded higher prices than the company was willing to pay.

Apple's focus is now on the Apple TV set-top box and on serving as an intermediary between people and content, but the company is also making some investments in original television programming.

Article Link: Apple's Eddy Cue on Existing TV Interfaces: They're 'Pretty Brain Dead'

[doublepost=1476997629][/doublepost]HBO's UI on the Apple TV 3 is horrible. You can't add a Series to your watchlist, only individual episodes, which is useless.

 

[kidaje]

And the Apple tv is easy to navigate?

 

[Felix01]

Why doesn't Apple take a baby step first and prove their business model to the industry. Partner with PBS to store and stream all the PBS radio and TV content. Since PBS is a 501c, Apple wouldn't be making money off the alliance but they'd be doing a public service and could write off the expenses.

If it turns out well, they'll have a foot in the door any maybe an opportunity to convince one or more of the for-profit content providers to take a chance on on-demand streaming.

 

[newyorkone]

Eddie Cue is the poster child of overpaid, underperforming, useless corporate executives. It's executives like him that turn companies like Palm Pilot and Blackberry, with dominant initial product leads into non-existent and forgotten also rans. He needs to go if Apple is to have any future.

 

[fmalloy]

"Because Apple has been unable to negotiate the deals it needs to create its own streaming television service..."

This is a nicer way of saying:

"Because the television networks and cable providers are not bending over to give control to the 800lb gorilla like the music industry did..."

 

[macUser2007]

Pretty brain dead is right, but how is Apple any different?

Until ATV 4, Apple's interface was worse that Android TVs (https://www.android.com/tv/), and Google had apps long before ATV introduced them.

Same for built-in speech recognition -- Apple was last to the party, after Google, Roku and Amazon.

Yes, Apple TV 4 has the best designed UI of them all right now, but it's not groundbreaking in any way. I still can't use Amazon Prime, or Google Photos, or Google Music, without jumping through hoops or using AirPlay, which still has random issues.

It's easy to slam existing products, but Eddy Cue is not offering anything substantive as an alternative. Ironically, Google just made news by striking a deal with CBS for inclusion in Google TV. Google, but not Apple.

I also dislike Apple's taking its 30% pound of flesh from the likes of HBO, because HBO is the one creating the content and paying for it, while Apple is simply a pipeline, collecting arguably exorbitant fees, just because we are all its captive audience. Yes, all the major platforms do it, but they simply adopted Apple's model, and it doesn't make it right.

I personally make a point to subscribe to everything I can on the original provider's site, and not through iTunes -- the content providers should get the lion's share of my $$, not Apple. If you wish to fairly compensate the content providers, you should do so, too -- otherwise they'll have to raise prices, in order to pay for producing good content.

 

[Moonjumper]

If Apple think they can sort TV discovery, perhaps they should show their capability on iTunes and the App Store. Apple do many things right. This isn't one of them.

 

[Max Portakabin]

The Cue man can't even deliver features promised at WWDC. So when you turn Apple into a purveyor of vapourware, maybe hold off from disparaging competitors.

 

[Jimmy James]

The interface isn't the biggest problem. It's the structure of programming. The industry needs to move to an on-demand, commercial free product. At least to make a customer like me me satisfied and willing to spend money.

If everything was on available to stream and/or download on a product like Netflix the biggest problem would be solved. Then the interface would be the next but to crack.

 

[Thunderhawks]

Siri is pretty brain dead... It still amazes me when she writes exactly what you say, but then says she doesn't understand. Me, "Play Guns and Roses." Siri, "Sorry, I don't understand play Guns and Roses."

I found 4 flower shops nearby!

 

[blacktape242]

This guy is so outta touch with reality its not even funny....

 

[Tycho24]

Eddie Cue is the poster child of overpaid, underperforming, useless corporate executives. It's executives like him that turn companies like Palm Pilot and Blackberry, with dominant initial product leads into non-existent and forgotten also rans. He needs to go if Apple is to have any future.

Wow. That's so weird.
I mean... he's been with the company for 27 years now, during the time they had rough patches; and also during their meteoric rise to become the most profitable tech company of all time.
It seems crazy that the company reached such a high level of success, if what you say is true & Apple is doomed simply by virtue of employing this one man, among thousands of other employees.
Oh well.
I'm certain that you're correct. If there's one thing I've learned in all my years, it's that literally NOBODY spouts off random and baseless garbage on the internet that is patently false & they are woefully unqualified to comment definitively on.

/sarcasm

 

[citysnaps]

This guy is so outta touch with reality its not even funny....

What is the reality he's so out of touch with? And, specifically, how is he out of touch with it?

And what would you do differently based on that reality, that you are much better tuned into, given your background/qualifications/experience/connections that better prepares you for the job?

 

[thisismyusername]

AppleTV isn't any better. Aside from Siri, it's no better than what folks in the HTPC space have been doing for over 10 years. In fact, in some ways it's worse than what folks were doing 10+ years ago. Eddie should take a look at their own product before he criticizes the TV industry.

 

[dogslobber]

Eddy is what we call a "safe pair of hands" in this industry. Knowledgable. Consistent. Focused. Apple could do worse than have Eddy replace Cook as CEO.

 

[Hanson Eigilson]

This guy is so outta touch with reality its not even funny....

EXACTLY!
How is it even possible to be responsible for the usability tragedies that is iCloud, Itunes, Apple Music, apple tv, Siri, the App store etc etc and come off saying "The problem is the interface, the ways you interface with it are pretty brain dead."
He could just be massively clueless, but HOW can they have a guy like that in charge if that's the whole explanation???
Or maybe they just doesn't care, thinking that they can con everybody if they throw enough marketing money at whatever new magpie design Jony Ive was too uninterested to update. I just dont understand them anymore.

 

[blacktape242]

What is the reality he's so out of touch with? And, specifically, how is he out of touch with it?

And what would you do differently based on that reality, that you are much better tuned into, given your background/qualifications/experience/connections that better prepares you for the job?

Defensive of cue ball aren't we.

I wouldn't want that job for a million years or a billion dollars.

He's so outta touch by the lack of innovation he's in charge of. Yes, tv needs to be fixed. But so does Siri. Apple TV and so on. If it's so brain dead, what has he done to fix it or improve it? Don't call it to the carpet unless you're going to make it better. That's the Apple I was used to.

 

[newyorkone]

Wow. That's so weird.
I mean... he's been with the company for 27 years now, during the time they had rough patches; and also during their meteoric rise to become the most profitable tech company of all time.
It seems crazy that the company reached such a high level of success, if what you say is true & Apple is doomed simply by virtue of employing this one man, among thousands of other employees.
Oh well.
I'm certain that you're correct. If there's one thing I've learned in all my years, it's that literally NOBODY spouts off random and baseless garbage on the internet that is patently false & they are woefully unqualified to comment definitively on.

/sarcasm

Awww. Did I hurt your feelings Eddy?

Everything Cue has been involved with in the last 5 years previously or currently has been meteoric failures considering Apple's market share, user base, and captured audience - maps, Siri, Apple Music, iTunes, etc.

Siri is a joke compared to other voice command AI options out there. Dead last. I can't even get Siri to route to an address in my contacts? It thinks I want to search the internet. Let's face it. Siri is dumb despite being the first out of the gate, and somehow Cue's management style caused all the key Siri developers to leave and create Viv, which was just bought by Samsung.

Maps was built from scratch, so yes that took some time to mature, but the mistakes made were amateurish at best and completely inexcuseable, and even now there are so many shocking basic UI omissions and functionality in maps like how it completely disregards your current location for search returns. No, I didn't want you to find a bank in England while searching for one in Boston.

I've worked in companies with managers like Cue, and I suspect that the reason there are so many basic omissions is because of corporate group think caused by the way Cue manages. He's the typical, clueless executive that forces his underlings to fall in line.

Oh wise one. Please enlighten me to all the amazing accomplishments of your overlord Cue... /sarcasm

 

[citysnaps]

Defensive of cue ball aren't we.

I wouldn't want that job for a million years or a billion dollars.

He's so outta touch by the lack of innovation he's in charge of. Yes, tv needs to be fixed. But so does Siri. Apple TV and so on. If it's so brain dead, what has he done to fix it or improve it? Don't call it to the carpet unless you're going to make it better. That's the Apple I was used to.

No, not at all.

Just wondering about the qualifications and experience of those who believe they have insight into his field (the reality he is outta touch with), that he doesn't possess, and what they would be doing differently. Was a serious question.

 

[macfacts]

Eddy needs to stop living in the past. Any DVR let's you search by show name, no need to know what channel shows are on.

 

[5105973]

I just asked Siri the same thing. She quickly brought up a 40+ song playlist of G-n-R music and started playing "There Was a Time."

I got "You Could be Mine." Sometimes she works, sometimes she doesn't.