Apple does things its own way. Apple makes things cool. Apple does not bend to industry demands it changes the industries. Apple better hurry up and do something or it could be revisiting an all time 52 week lows on the stock market. Apparently Apple has is listening. “Unnamed sources” are saying that Apple is skipping the incumbent cable providers and is talking directly to content providers. Apple is now in talks with HBO, ESPN and Viacom for their content.
Apple could also start its own pay TV service. This would really help Apple become more of a service company. It already has iTunes for music, iTunes Radio soon to release with iOS 7 and now PayTv. However, I wonder would this hurt incumbent cable and satellite providers or would this just harm other steaming services. As we wrote yesterday 3% of Americans still on dial-up that means speeds would not be fast enough for this new service. However, everyone has access to cable tv. Apple would not really become a cable company itself it would be a better version of Netflix, except with content delivered as channels such as HBOgo or ESPNwatch. Google and Intel have tried to do this for years all without success. As big as Google is it does not have good relationships with media companies.
ESPN has already said that it will not give internet companies a discount just because they are online. Apple, Google and Intel will pay standard and in some cases higher premiums for the rights to distribute content. This is the same issue that these companies had with streaming music. Cord cutters like myself are looking forward to a world where the pay TV for the content you want is the norm.