Apple Inc. (NASDAQ:AAPL) TV isn’t Dead, Sony Execs to the Rescue

Apple inc (NASDAQ:AAPL) Apple TV

Apple Inc. (NASDAQ:AAPL) TV isn’t particularly successful in a market dominated by online streaming services and Hollywood studios. The firm claims that its “Apple TV is the future of television. And, with new features like live sports and the TV app, it’s better than ever”; yet, its TV product is nothing more than an honorable mention after the likes of Netflix, Amazon Prime and Hulu.

However, the firm is taking proactive action to end its lag in the TV market as it poaches two veteran Sony Picture TV execs.  A press release on Friday revealed that Tim Cook has hired Jamie Erlicht and Zack Van Amburg from Sony pictures. The two execs will start at newly created positions. Their job is to help deepen the firm’s foray into the original TV programming market.

Apple inc (NASDAQ:AAPL) Apple TV

Eddie Cue, SVP of Internet Software and Services at Cupertino, observed that “Jamie and Zack are two of the most talented TV executives in the world and have been instrumental in making this the golden age of television.”  This piece looks at the move in poaching Sony execs could help the iPhone maker make a faster headway in video.

Apple is getting serious about video

Apple (NASDAQ:AAPL) is getting ready to take a deeper foray into the video streaming market even though the firm is yet to provide details on its strategy and plans. Last week, the firm launched “Planet of Apps“, a reality show about app developers competing for VC funding. We can expect to see more shows on Apple TV or Music as the firm continues to build planet Apple.

The firm has hired the crème de la crème of the TV industry to provide direction for its video businesses. Jamie and Zack are the brains behind hit TV shows such as “Breaking Bad,” “Better Call Saul” and “The Crown.” Both partners can also leverage their connection in Hollywood to get Apple great TV deals.

Sony CEO, Tony Vinciquerra hinted recently that Apple could buy TV programming from Sony in the future. In his words, “while we are sad to see them go, we are excited by the opportunity to work with them as partners in the future.”

Apple has the data to succeed in video

Another important factor that could make it easier for Apple to succeed in the TV streaming market is the fact that Apple has huge user data on hand. There are more than 1 billion iPhone, iPads, MacBooks, and iMacs running on iOS and OSX. In essence, the firm is in a strong position to create shows that people want to watch and offer viewing suggestions that will keep viewers glued and engaged on TV.

In addition, it makes financial sense for Cook to build Cupertino’s own competitive video service from the ground up than buy a rival service such as Netflix. Other TV-streaming rivals such as Amazon and Netflix are investing heavily in original content creation. Hence, Apple is making a smart choice by hiring experts that could help it create its own content. There are rumors that Apple might want to buy Walt Disney, but it’s unlike the Steve Job’s firm to purchase a big “branded” firm. These new hires make it very clear that Tim Cook isn’t planning to buy Disney.

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Victor Alagbe

Victor Alagbe is a seasoned business and finance writer with a specialty in writing about how to invest for the long-term in healthcare, pharmacology, energy and tech stocks. His long-term focus is on stocks that provide a nice mix of growth and income. For the short term, he passionately writes about trading stock options for the excitement and leverage that stock options offer.
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