Friday, September 17, 2021, 11:24 AM ET|Posted by Will Richmond
Welcome to this week’s edition of Inside the Stream, the podcast where nScreenMedia’s Chief Analyst Colin Dixon and I take listeners inside the world of streaming video.
On this week’s podcast Colin and I discuss why Apple has been surpassed by Amazon in CTV and streaming video. As Colin articulates very well in “Five ways Amazon is Crushing Apple in the CTV Market” earlier this week, Apple was early to market with its Apple TV CTV device (albeit at the very high price point of $299), and was also the dominant player in movie and TV show rentals and purchases with iTunes not that long ago. But major product strategy mistakes and decisions by Apple, combined with deft, low margin and user-friendly moves by Amazon have led the two companies’ positions in these critical markets to completely reverse themselves. With this new normal, what lies ahead?
One big measure Apple has taken to try course correcting has been the launch of Apple TV+. We start this week’s podcast by understanding why Apple is spending so heavily on original TV shows for the service, which it is expected to spend $500 million marketing in 2022. A new analysis by the WSJ illuminates Apple’s heavy product placement agenda, in support of ecosystem loyalty and core device sales. As I explain, this strategy - along with Amazon’s - has potentially big implications for established and newer media companies still reliant on traditional advertising and subscription revenue models.
Listen to the podcast (29 minutes, 26 seconds)