This September, technology giant, Apple, is launching a TV streaming service that includes 20-30 channels at $40 dollars a month. Apple has not yet acquired licensing from media conglomerate, Comcast, for NBCUniversal content. It’s unclear whether Apple is snubbing Comcast because of bad blood or if Comcast is blocking access to licensing its content.
If Comcast is refusing to license the content because of past issues, they could be in some trouble for violating FCC conditions it agreed to four years ago. One of those conditions includes licensing content to any Internet service that also has content for NBCU’s competitors. Those competitors, such as, ABC, CBS, and FOX are supposedly on board with Apple’s service. If true, it is NBCU’s turn.
Others say Apple is giving NBCU the cold shoulder because of past feuds. Let’s say NBCU is not included in the service. This could have serious implications on both ad revenue and number of subscribers. Sought after NBCU channels including Bravo, NBC, and USA won’t be available. Without this access, viewers and fans will find the service to be too limited and complicated. What value will the service have if it doesn’t have your favorite channel? It’s hard to believe that Apple would even consider taking such a huge risk; I doubt the service will launch without NBCU included.
The two companies are expected to start the bargaining process soon. Stay tuned for updates on the potential deal.