Apple making less money from HBO Now and other Apple TV services

Apple has never been famous for the 30% cut it makes over any data that’s distributed through its stores. We saw how publishers made a big deal about the policy when it was introduced back in 2011, but eventually, it seems all of them decided to give in if they wanted to be part of Apple’s current success in digital media. The only area where Apple has fumbled in succeeding so far is with its Apple TV, and reports claim that the company took drastic measures to change this.

Trusted sources claim that in order to retain popular services like Hulu Plus, Netflix, and, the company had to drop its fee in half for every new signup. The source also claims that this was crucial for services like HBO Now to become Apple TV exclusives over the next three months at very reasonable price points. An interesting note about this leak is that even if Apple would’ve continued to charge the 30% fee, this would be 20% less than what these services pay to cable companies, so to go beyond means that Apple is willing to do anything for the Apple TV to take off.

We’ve heard a ton of rumors regarding Apple’s plan to bring more cable services to the Apple TV later this year, and with the recent price drop in the hardware, in addition to all the other things you can do with an Apple TV, there’s no better time to buy.

Source: Recode
Via: 9to5Mac

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Jaime Rivera
Jaime has been a fan of technology since he got his first computer when he was 12, and has followed the evolution of mobile technology from the PDA to everything we see today. As our Multimedia Manger, he’s been in-charge of growing our YouTube hobby into one of the biggest video channels in the industry. When he’s not building one of our videos, or filming our Pocketnow Daily, he can be found in his second biggest passion, which is running and fitness. Read more about Jaime Rivera!