Digital Gabe
Cutting Edge Commentary On All Things Media

Are You Ready For Apple Magazine?

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Late last week rumors began circulating about Apple’s plan to launch a news magazine sometime in early 2019.  Apple’s idea is to become a content hub for several different online news outlets, and sell one flat-fee bundle for $10/mo.  This might be appealing to Apple customers who could just buy one all-in subscription at a relatively low cost, instead of having to keep up with several different subs from independent services.  This online magazine would be folded into the Services division, which already runs their 50M+ subscriber Apple Music business.

One considerable challenge for Apple to solve for is the willingness of 3rd party publishers to house their content on this new platform.  Right now these guys charge a subscription fee or sell ads on their own, so Apple would need to make up for that monetization through a revenue share.  When you think of all the content pubs who would be included in Apple’s new service, minus the 15-30% fee Apple currently charges its app developers, there might not be enough of a financial incentive to join this new platform.

I guess we’ll find out how viable this plan is once we see the list of initial publishers included, if/when this thing launches.

 

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