Tuesday, 24 April, 2018

After Texture Acquisition, Apple's Prepping News Subscription Service

Apple bought Texture last month.                  Texture Apple bought Texture last month. Texture
Terence Owen | 17 April, 2018, 17:47

According to a Bloomberg report, Apple plans on integrating the Texture magazine app into Apple News and debuting its own "premium subscription" within the next year.

About a month ago, Apple spent part of its enormous cash reserves on acquiring digital magazine subscription service Texture. Some analysts in the past have suggested that Apple should look into getting into a more subscription-like business model, and this certainly sounds like what Apple could be doing. It is possible to pay and subscribe today inside the app, but each payment represents a separate subscription to the corresponding news provider. Texture now offers access to over 200 magazines for $9.99 per month; pricing for the new service is uncertain. These plans are created to help Apple boost its services business to meet revenue goals the company has set for itself over the next few years.

Apple is planning to launch a premium subscription for news, Bloomberg reported. Texture had about 100 staff. Beats Music, with its fewer than one million subscribers, shut down not long after Apple Music came out. The line item, which includes iCloud, Apple Music, and App Store revenue, posted $30 billion in sales for 2017.

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Apple will likely carefully curate the partner organizations for its news service.

There will be some sort of revenue split between Apple and the publishers who will be featured in the service, but there's no details on that. Apple rarely cuts positions, but after the company acquired Beats, it released about 200 people. The new service will be more like Apple Music, offering an "all you can eat" approach with access to multiple titles for the flat fee.

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