NY Times Raises Serious Concerns Over Joining Hands With Apple On Its News Subscription Service
To compete with streaming video platform Netflix, tech giant Apple is likely to launch an ambitious new paid digital service that will have combination of news and entertainment programs early next week but this will not be done in partnership with New York Times as thought about earlier. CEO of NYT Mark Thompson told subscribers that it was not very comfortable about relying on third party service providers to distribute their content and stated that this practice can become dangerous as publishers under those circumstances lose control over their product.
He told Reuters that they were also worried about the fact that their news stories would get jumbled in a tech platform and it will become a part of others’ news and found it strange that their subscribers would now find their news somewhere else. Thompson has been a part of NYT since 2012 and has witnessed explosive expansion in its online readership. He has warned publishers that sooner or later the newspaper would face the same fate as film makers and television program producers are facing now with the insurgence of Netflix that provides content across various categories.
While speaking about its news network Thompson stated that as an American broadcaster he would think twice about giving its content library. Instead of talking about the partnership with Apple, he discussed about how Netflix already has made deep inroads into entertainment industry and why his news agency was not very keen on striking any deals with digital platforms as they had very little control over relationships with their customers and content. This prediction holds true for current scenario wherein entertainment firms that had helped Netflix setup operations during early part of 2007 are now are being forced to themselves to sell themselves to keep themselves afloat. Apple is offering direct to consumer streaming video content along with a news subscription services that will leverage the power of its billion and more devices.