According to a report in Bloomberg, Apple may be planning to launch a bundled subscription service that would include services like Apple News+, Apple TV+, and Apple Music as soon as 2020. This strategy would be similar to that of Amazon Prime, though not as far-reaching—at least at first.
The report says that, at a minimum, Apple has left the door open for this in its contracts with Apple News+ content providers. Its sources say that there is "a provision that Apple included in deals with publishers that lets the iPhone maker bundle the News+ subscription service with other paid digital offerings."
While this would likely be appealing to consumers and could bolster Apple's services revenue, not all stakeholders in the decision are likely to be happy about it. Bloomberg's sources said they believed that publishers could see reduced revenues from Apple News+ because they'd likely be sharing a smaller piece of the subscription pie than they do under the $10/month Apple News+ service. Currently, Apple pockets 50% of the money that comes in to Apple News+, while the other 50% is split between publishers based on how much their content is read and engaged with.
Publishers have already been concerned about the money they've been getting from News+. A CNBC story published today reported that the service's subscriber base has not grown substantially since it first launched. Apple hasn't put a lot of weight into marketing Apple News+ since its launch—nowhere near as much as Apple Music and Apple TV+. Additionally, some magazine and newspaper publishers Ars has spoken with are pessimistic about Apple News+ as a revenue source adequate to the industry's serious financial challenges because Apple's privacy policies preclude some sophisticated advertising techniques that involve targeting specific readers based on collected data.
Apple is looking to services like these to bolster its revenue as iPhone sales slow due to market saturation, longer-lastingRead More – Source
