Apple Is Reportedly Preparing Its Own Original Programming

Apple may be preparing to create its own original television shows, according to sources with Variety. Over the last few weeks, Apple held meetings with Hollywood executives about producing original programming. Apple’s senior vice president of Internet Software and Services Eddy Cue is overseeing the original programming project.

In the next few months, Apple is expected to build production teams within the company to create content as part of an effort to compete against Netflix , Hulu and Amazon Prime . It is unknown whether Apple will be creating TV shows, movies or both. The discussions are preliminary and another Variety source said that the original programming project is simply a “flirtation.” 

However, the report claims Apple’s interest in original programming became clear in July when the Cupertino giant sent in a bid to recruit the former hosts of BBC’s Top Gear: Jeremy Clarkson, James May and Richard Hammond. Amazon ended up winning the bid for the three hosts at roughly $250 million to create 36 episodes of an automotive-related show. 

It is unclear whether Apple will create a standalone monthly subscription service like Netflix or offer the programming on iTunes. Apple could apply a similar pricing model as Apple Music for exclusive programming. Or it could offer the original content free for Apple device owners. But making the content exclusive to the Apple TV could drive up sales for the streaming set-top box.

When Apple launched its Music service earlier this summer, it emulated the premium pricing costs used by rival services like Spotify, Rdio and Rhapsody. Apple Music costs $9.99 per month for an individual subscription or $14.99 per month for a family subscription (up to six people). Apple also launched its own exclusive radio programming through the Beats 1 radio station. To differentiate itself from other streaming music services, an Apple Music account is required to watch music videos created by Apple like Eminem’s “Phenomenal,” Drake’s “Energy,” Pharrell’s “Freedom,” M.I.A.’s “Matahdatah Scroll 01 Broader Than A Border” and Keith Richards’ “Trouble.”

How would Apple create the content? Currently, Netflix works with external production studios to create its hit shows like House of Cards and Orange Is the New Black. With access to $200 billion in cash, Apple could potentially acquire external studios or build up its own internal studios. 

Later this month, Apple will be hosting an event in San Francisco where it is expected to announce new iPhones and a new Apple TV device. There are rumors floating around that Apple will also launch an Internet-based TV service next year. The Internet-based TV service would offer 25 channels including ABC, CBS and FOX. 

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