Apple TV Should Integrate With Cable and Satellite, Not Make Content Deals
By Karla Robinson
November 5, 2012
November 5, 2012
Despite expectations that Apple will revolutionize television, HDNet founder Mark Cuban says in an AdWeek interview that he doesn’t see Apple making game-changing content deals with programmers for its Apple TV set-top box.- “I think there is zero chance of that happening. Apple tries to do everything on commission. It’s not big on upfront deals, and I don’t see that changing,” Cuban says. “Apple has always been about leveraging content to sell hardware and software. In order to get a return on a pay-up-front-for-content deal, they would have to sell a lot of high-margin products that have yet to be introduced.”
- He does, however, say that Apple has the opportunity to push out competitors like Xbox, Roku, Boxee and connected TVs.
- “Having a set-top box that uses a TV-ready version of iOS that changes the paradigm for user interfaces would create a platform from which Apple could sell content and integrate new options. I don’t think there is any doubt that if Apple released a set-top box that supported authentication for multichannel video programming distributors (like cable and satellite companies), it would be a huge success,” he says.
- “If Apple succeeds at fully integrating its products with cable and satellite companies to facilitate both authentication and programming guides, it’s game over [for competitors],” he continues.
- Cuban agreed that many technology companies that have tried to reinvent the TV business have been halted by programmers that require huge up-front cash commitments.
- He also said Microsoft’s Xbox is poised to do well as a set-top box but he says the company might wait to see how the Apple TV pans out – and then try to improve upon it.
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