Apple has been hinting at the unveiling of its new video strategy, but next week we will get a better look at it. Indeed, there is still a lot we don’t know about the service; but we do know that Netflix is not going to be part of it.
While there was some speculation that Netflix might be joining Apple’s service, Netflix CEO Reed Hastings has finally confirmed that his company will not, in fact, be selling subscriptions through Apple’s video service. The service that Apple has planned is a hub that is quite similar to the one that Amazon already uses for video subscription sales, including HBO and Showtime.
It should be noted, though, that Facebook is actually working on a similar plan as well.
At a press event, in Los Angeles on Monday, Hastings said, “Apple’s a great company [but] we want to have people watch our shows on our services.” Indeed, he asserts, “We prefer to let our customers watch our content on our service. We have chosen not to integrate with their service.”
This makes sense when you look at Apple’s history with streaming services. When the company launched AppleTV in 2016, for example, Netflix did not sign on. Then late in the year, last year, Apple stopped selling these subscriptions and Netflix content boss Ted Sarandos said they had not considered Apple an important source of revenue.
However, Netflix faces more than just new services from Apple and Facebook. You may be aware that Disney and AT&T WarnerMedia have both announced the launch of streaming services. Of course, premium services like HBO, Showtime, Starz, and more have long put pressure on cable services, only to settle in a world where all content providers seem to have found their niche. But Hastings is not worried about them: when asked, he simply replied that competition is always good; not just for Netflix, but for users and content makers as well.
At the end of the day, Hastings comments, “These are amazing, large, well-funded companies with very significant efforts. They are going to do some great shows. I’m going to be envious. They’re going to come up with some great ideas. We’re going to want to borrow those.”