Automatically-cancel-your-Netflix-account.jpg

Analyst claims Apple’s ‘biggest mistake’ wasn’t acquiring Netflix


Analyst Dan Ives, from Wedbush Securities, who has an outperform rating on Apple’s stock, said today that he believes Apple’s “biggest strategic mistake” was not acquiring Netflix years ago.

Ives believes that Apple still doesn’t have a huge stake in the streaming video industry and is behind Netflix, Amazon, and Disney. Ives says that isn’t just a strategic mistake by Tim Cook, but also by Steve Jobs, when he was Apple’s CEO.

In an interview for Yahoo Finance, Dan Ives said that Apple would be in a better position in the current streaming wars if it had bought Netflix.

“The biggest strategic mistake, in my opinion, from Jobs and Cook over the last 10 to 12 years, is not acquiring Netflix a number of years ago.”

Netflix has 203 million global users, while Disney+ hit 94.9 million subscribers more than a year after its launch last November. Apple, on the other hand, does not release subscriber numbers for TV+, and the relative lack of content, more than a year after the service’s launch, is another problem.

Ives thinks that, at least, Apple should buy a studio. He said that Apple TV+’s relatively slim content catalog is akin to owning a mansion, but having little to furnish it with.

“We’ve talked about an MGM, a Lionsgate, an A24, otherwise they’re going to continue to sort of be on the outside looking in,” Ives said. “And that’s why I think this is something they’re going to be forced into…because it’s all about content.”

Dan Ives is not alone. Netflix co-founder said last week that Apple TV+ has “no excuse” to lag behind competitors. Randolph criticized Apple by suggesting that the company should invest in more reasons to get people to pay for Apple TV+ subscriptions rather than offering “giveaways.”

The report mentions that 62% of Apple TV+ subscribers are on the free trial period, and at least 29% of those users have no plans to pay for a subscription once the free trial expires, citing a survey.

Ted Lasso’s second season is coming later this year.

Also today, Apple had a shareholders meeting event where Tim Cook talked about COVID-19, App Store regulation, the challenges ahead in 2021, and Apple TV+. He said:

Our approach to Apple TV+ from the very beginning has been on telling stories that matter. We see streaming as an arena with room for several players. We want to stand apart by lifting up high quality content that spotlights the humanity we hold in common.

I think you can see the strong response to that in a number of different ways, whether it’s the incredible word of mouth spread for shows like Ted Lasso, or the remarkable run of more than 240 award nominations.”

In fact, “The Morning Show,” “Ted Lasso,” and “For All Mankind” have gotten audiences’ attention, but none of them have become a cultural force like “The Queen’s Gambit” by Netflix or “The Mandalorian” by Disney.

For 2021, Apple has second seasons to release, new movies, documentaries, and TV shows. “For All Mankind” just aired the first episode of season two, and the sequence of “The Morning Show” is coming later this year. It is currently expected in Summer 2021 alongside season two of “The Morning Show.”

FTC: We use income earning auto affiliate links. More.


Check out 9to5Mac on YouTube for more Apple news:



Source link

Share on facebook
Share on twitter
Share on linkedin

You may also like