Apple’s new streaming service will roll out this fall
Apple (AAPL) recently unveiled its own streaming service, which will be launched later this year. The iPhone maker has already roped in a number of Hollywood giants, including Steven Spielberg, J.J. Abrams, Oprah Winfrey, Steve Carell, Jennifer Aniston, and Reese Witherspoon, to participate in its original content.
Apple’s streaming service will add to the list of streaming options consumers will have and likely lead to more cord cutting. This trend has already caused a number of traditional pay-TV service providers, such as Dish (DISH) and Comcast (CMCSA), to offer their own over-the-top streaming options to make up for declining subscriber numbers.
The streaming space is a crowded one
However, according to Deloitte, the ever-increasing number of options viewers have is causing subscriber fatigue. While subscribers will continue to have multiple subscriptions, they’ll be limited to a few.
Apple’s streaming service, which will be available on its TV app, already has the advantage of a massive global user base.
Meanwhile, the likes of Netflix (NFLX) and the Walt Disney Company’s (DIS) Hulu have the first-mover advantage. Netflix has already garnered a massive loyal user base in the United States, and these users are not likely to budge. Meanwhile, Hulu’s unique bundle of original content, its library of tens of thousands of movies and shows, and its live-TV streaming also mean that it might not lose its user base.
Other newcomers Disney+ and NBCUniversal’s upcoming streaming service may find it more difficult to reel in a huge user base.