On Thursday I fell ill and practically did not leave the house until Saturday morning. And as bedridden to many, I was too sick to even think about reading, writing, or serious thinking. Instead, I did something for which I usually did not find time - entertainment: unread comics, DVR-series Top Design and almost all the content on Netflix Watch Instantly.
For those of you who have not yet had the opportunity to try out Netflix, I will say that it works surprisingly well. Quickly launching movies using the new web interface will help you get to the viewing moment even if we accidentally closed the window. However, it is amazing how tiny Netflix is compared to Hulu, iTunes or Netflix DVD Service. A few days later I looked almost everything that was interesting to me.
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And then it dawned on me: everyone who offered Apple to organize a monthly subscription for iTunes was almost right. This can make a lot of money. But it's not about access to the music library for $ 15 per month, it's about unrestricted access to TV programs for 20-30 dollars a month.
Think for yourself: Apple now has the largest digital video library on the planet. Sales were not as successful as expected, but because Apple began to rent movies, which means that it has DRM protection for downloaded movies. At the same time, programs are available for only $ 1.99. Although this is a good price, I’ll happily throw out a subscription to Netflix and pay the same $ 20 for unlimited watching TV on iTunes, even without movies. This means the company's income of $ 240 per year, which in another case is impossible to obtain.
Farther. If it were not Apple, I would say that the price is too high. But it will not be a competitor to Hulu - it will be videos that can be played on both the iPod and the iPhone. This is a non-competitive offer. Thus, such a gesture will strengthen the position of Apple as the best company that provides digital entertainment content. Over time, AppleTV will become as popular as TiVo (cable startup bringing millions - approx. Ed.). I think this is a sure success. What do you think?
A copy of the text on my blog InApple.net, my translation.