Apple Stock News
Speculation continues to mount that Apple will release a new service that will change the future of TV, as opposed to a new piece of hardware. Former CEO Steve Jobs and current CEO Tim Cook have both shared their views that the current TV system is antiquated and provides a huge opportunity. Analysts now believe that Apple will introduce a service through its set top box that offers a content package at its World Wide Developers Conference.
Some had previously believed that Apple would introduce its own television hardware, but that would not fit the company’s business model. These devices offer very little margins and have a long lifecycle, not needing to be upgraded as often as something like a smartphone. Apple recently reached an agreement with HBO to be the exclusive provider of its HBO Now service, which users can stream through Apple products for a fee, not having to pay for a cable subscription service.
During Apple’s most recent earnings report, Cook mentioned that he believed major changes were coming to the TV market, although he did not mention any specifics. He did confirm that Apple could play a role in the changes, however. Adding to the speculation were comments form Time Warner CEO Jeffrey Bawkes, who said that he was fairly certain the Apple would start a cable streaming service of its own during his company’s earnings call.
