Apple Tipping Billions Into Content Cuts Deal With Oprah Winfrey
Apple who are cutting back on the quality of their iPphones along with the volume they will produce on 2018 have moved to invest in content, after cutting a deal with US TV presenter Oprah Winfrey.
The 64-year-old talk show host who was a guest at last months Royal wedding has been asked to develop a series of shows exclusively for Apple’s forthcoming video platform.
Apple said that “Together”, Winfrey and Apple will create original programmes that embrace her incomparable ability to connect with audiences around the world,”.
The most likely platform to deliver the content is said to be a brand new app that is currently under development.
The app will brings together content from dozens of video services into a single, personalised service, available on Apple TV boxes as well as iPhones and iPads, it’s also tipped that it could be made available on other technology platforms.
The move signals that Apple is getting serious about following Netflix and Amazon in developing its own TV shows and films.
Since last June, Apple has struck deals with Hollywood names including La La Land director Damien Chazelle, actor-turned-producer Reese Witherspoon and Sixth Sense director M Night Shyamalan.
While Apple has not yet revealed how or when it plans to distribute its programming, people in Hollywood expect the first shows to preview next year.
Apple is b elieved to have already allocated a content budget said to be more than $1bn available to spend in its first year.
That figure could rise as Apple’s Los Angeles-based studios operation steps up its efforts to compete with Netflix, which spends $8bn a year on content, as well as traditional producers such as HBO.
Financial details for Apple’s partnership with Ms Winfrey were not disclosed.
Ms Winfrey became one of the most celebrated personalities on US television through her broadcast chat show.
Her OWN network, in which Discovery Communications took a majority stake last year, also makes its content available for online streaming.
Her broadcast deal with CBS’s 60 Minutes will also remain in place following the Apple partnership.
Gene Munster, a former Apple analyst turned tech investor at Loup Ventures, estimates that Apple will spend $4.2bn on original video content by 2022.
Mr Munster regards Apple as “about five years behind” Netflix, which — like Apple today — had a slate of about a dozen original titles in production in 2013.
“Apple, once again, is late to the game but has an opportunity to change the game,” Mr Munster said.