Apple Lossless Audio CODEC (ALAC), will launch a video on demand service, which will most likely be integrated into Apple Music to make it easier for people to use. Those from Apple must catch up with those from Netflix with this service, and American analysts believe that Apple has very big plans for its customers.
Apple will not offer as much content as Netflix, at first, but the integration into their ecosystem through iOS and macOS will bring a large number of users to the platform. Apple has announced that it will launch the video streaming service next year, and analysts estimate that it will generate revenues of 500 million dollars in the period before the launch.
Apple will ATTACK Netflix with a POWERFUL VOD Service
Apple is going to register increasing revenues from this service in the following years, so that in 2025 it will reach 4.4 billion dollars in revenues from the platform. In order to increase their platform, those from Apple are also considering offering the service on products other than their own, including televisions, Android terminals, and anything that could have access.
"We believe that Apple Video will become a reality sooner than investors think ... Optionality around Apple Video helps emphasize the increasing contribution to growth from Services," analyst Katy Huberty said in a note to clients Wednesday entitled "The Emerging Power of Apple Services, Part 3: Video of New Growth Driver in 2019. Mr. Cue has even discussed the possibility of making the Apple TV app available beyond Apple's own devices, including on connected televisions and Android devices, said people familiar with the discussions."
Apple will think of this service exactly like Apple Music, and will want to offer it to as many people as possible, but it is hard to say if this will guarantee its success, something that is not necessarily the case. It is not yet known when Apple could launch its new video-on-demand system, but we will probably have it available by the end of 2019.
