Originally Posted by Penforhire
But Apple would need to acquire content and that is where the whole deal gets tricky. If they get a narrow slice of content they won't gain traction.
That is what's hampering Sony and Microsoft; they have access to all the new streaming networks (from Hulu, Netflix, and Prime to Crackle and Crunchyroll) but the broadcast networks are too scared of the Cablecos to let them *pay* to run their content.
The primary exceptions are the sports leagues. MLB.com, for one, lets me watch every single MLB baseball game broadcast anywhere, at any time, (ad-free!), live or at my convenience, for an annual fee of $125. Despite that, the cablecos are *still* bidding up local TV rights into the billions.
You'd think the likes of HBO, Showtime, AMC, etc would take note.
There actually is a bit of a parallel with authors and publishers in that the cablecos are gatekeepers who have the content producers thinking they are indispensable.
Sooner or later, disintermediation will come to broadcast but until it does we're all stuck with the dated hidden subsidies of cable packages, that take earned revenue away the popular channels and uses it to keep unpopular niche channels afloat.