Apple is reportedly planning on launching a news subscription service within the next year. The company will be achieving this by integrating the tech behind Texture app, which it recently acquired, into Apple News. The move will allow Apple to generate more revenue from its online content and services business.
Apple acquired Texture magazine app last month. The magazine app allowed users to subscribe to over 200 magazines for a monthly fee of $9.99. Apple laid off 20 of Texture employees after acquiring the company and integrated the rest of them into its Apple News team.
Apple News debuted with iOS 10 and has become increasingly popular with iPhone and iPad users. By offering a premium subscription service in Apple News, Apple will be able to lure premium magazines and publications to the platform thereby offering a better experience and options to end users. The company will likely take a share of the subscription fee and pass the rest to publishers.
Similar to Texture app, Apple would probably charge a monthly subscription fee of $9.99 and provide Apple News readers with membership access to premium magazines. This approach from Apple would be similar to Apple Music where subscribers pay $9.99 per month for access to Apple’s entire music catalog. However, this would be the first time that a major company would be offering something similar for magazines subscription. Apple previously had Newsstand where it allowed iOS users to subscribe to individual magazines but that did not catch up with consumers. This new approach from the company is innovative and is bound to gain traction among readers.
Apple will likely debut its news subscription service as a part of iOS 12 later this year.
Apple could one-up its competition by offering an Apple News and Apple Music subscription for a flat monthly or yearly fee. This would provide users with access to music, news, and perhaps even movies under one roof similar to what Amazon does with its Prime subscription.[Via Bloomberg]