Last week, Apple finally showed off its grand plan to let users watch TV in a whole new way. According to the plan, Apple will launch a new Apple TV application, which integrates all the TV dramas and movies of the user into a certain place, and then allows users to watch on demand according to the user's suggestion.
This view is very effective. Apple believes that applications are the future of the TV industry, and believe that users will eventually subscribe to Netflix, HBO, ShowTIme, Hulu and other video providers independently. Of course, maybe some users have already done this.
If you follow the previous subscription method, then users have to look for different interfaces and menus to watch the video content, which is really troublesome. Therefore, Apple will help users solve these problems by launching an app called "TV", which can not only work on the user's Apple TV, but also on the user's iPhone or iPad.
Apple's TV app will give users a place to discover new video content. In addition, the app allows users to watch subsequent content from where they left off after viewing the interruption, and also allows users to purchase some video content from iTune. Apple CEO Tim Cook said last week that "in the same place, users can watch all TV content."
Through Apple's TV application, users will be able to see Apple's ambitions on Apple TV - to provide users with a convenient search, browsing and suggestion platform to provide users with the right content as quickly as possible.
However, Apple's plan may also face a big problem - Netflix and Amazon may bring some obstacles, and will not integrate video content into Apple's TV application. Currently, neither of these companies is part of Apple's new TV application plan.
Netflix has previously told BI that the company is still evaluating this opportunity for cooperation and it seems that it may have a special impact on Apple.
So why is Netflix so cautious? Ben Thompson, an analyst at market research firm Stratechery, explained: "Apple wants to create a place where users can watch all video content from all parties. A desire may not attract Netflix's participation, because Netflix itself is to become an independent content provider, and Netflix's competitor HBO may not cooperate with Apple. Apple's plan will directly confront Netflix's current strategy. Because Netflix is ​​strengthening its relationship with users by providing a super customer experience."
Netflix's direct relationship with users is very valuable, so the company will not give up the current set of initiatives. Apple's problem is that without Netflix (and Amazon) support, TV applications will lose a lot of brilliance. From the current development prospects of the TV industry, without the support of the two giants Netflix and Amazon, you will not be able to provide a "complete TV experience."
This is of course a big dilemma facing Apple. Thompson mentioned Apple's dominance in the music industry, but the TV industry is very different and requires Apple to work hard.
"In fact, Apple executives still seem to be immersed in the iPod/iTunes era," Thompson said. But Apple TV is a very different box, and Netflix has long been able to put its content into its own applications. According to Thompson, another news of Apple’s misfortune is that “selling hardware will not be able to generate huge advantages.â€
That's why Thompson has recommended Apple's acquisition of Netflix.
Thompson said, "If Apple wants to get end-user support, then you need to buy some power, that is, Apple should acquire Netflix."
Earlier this month, another analyst at Bernstein, an analyst firm, also believed that Apple could use Netflix to build Amazon Prime's competitors and evolve Apple from a trading business model to a user subscription model.
For whatever reason, Apple should pay heavily to acquire Netflix. Of course, Netflix may not intend to sell itself. However, without the support of Netflix and Amazon, Apple's current strategy is still not enough to conquer users in the TV industry.
Yes, if Apple wants to make the grand plan a reality, it really needs to take some measures.
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