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HBO coming to iTunes Store?
Apple will soon announce a deal with HBO to sell the premium cable network’s programming on the iTunes Store, according to a new report. Citing HBO employees involved in executing the agreement, Portfolio.com says the new offerings could be announced in the next few weeks. Although the details of the agreement are unknown, it appears as though Apple has agreed to a separate pricing structure for HBO content, with both higher pricing for HBO shows and a larger cut for the network possible stipulations. HBO employees said the deal was a result of pressure from parent company Time Warner, with one insider adding, “We should have done this a long time ago.”
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1
Does that mean Showtime TV shows will start costing more, as well?
Posted by superape on May 12, 2008 at 12:23 PM (PDT)
2
What until NBC gets wind of this… If HBO shows actually do debut at a higher price point all chaos is going to break loose with the other networks wanting more money.
I don’t think that move would be in Apples best interest at this point in time. Especially after NBC left because they wanted to sell shows at a higher price.
Posted by 3rdeye on May 13, 2008 at 12:17 AM (PDT)
3
http://www.ilounge.com/index.php/news/comments/hbo-programming-added-to-itunes-store/
Well, it appears certain shows are selling for a premium price point, so the precedent has been set.
However, NBC apparently wanted to sell shows at a significantly higher price ($4.99 per episode was one number that was being thrown around). They also wanted to adopt a per-episode pricing model, where new episodes would cost more on first release, and then drop in price over time.
The deal with HBO seems to have adopted a single “premium” price tag model thus far for certain shows, as opposed to certain episodes. It’s also important to note that these are shows that even cable subscribers normally pay a premium price tag for (in the form of HBO or other pay-TV subscriptions), and perhaps that was part of the logic that justified the higher pricing model.
Posted by Jesse David Hollington in Toronto on May 13, 2008 at 8:19 AM (PDT)
4
Just like Jesse above said; I don’t think HBO gives NBC any kind of leverage at all with apple. Unlike NBC, that anybody with a TV and a set of rabbit ears can receive, HBO is programming that must be purchased. Thus giving their programming a, real or perceived, premium value.
Posted by ArtVandelay on May 14, 2008 at 5:06 AM (PDT)
5
Ok…
that makes sense. I didn’t look at it that way at first.
Posted by 3rdEye on May 14, 2008 at 11:11 AM (PDT)