Apple Gearing Up To Take On Netflix With New Series
Rumors about Apple Inc. (NASDAQ: AAPL)'s entry into the TV and movie streaming business have been circulating for the better part of a year as investors wondered when The Fruit would step up to the plate against established subscription services like Netflix, Inc. (NASDAQ: NFLX) and Amazon.com, Inc. (NASDAQ: AMZN).
However, with little word from Apple itself regarding a TV service, many believed that the company had begun to abandon those plans. Now, a new TV series developed by Dr. Dre and backed by Apple has investors wondering where the content will fit in.
Slimmed-Down TV Service
Last year, Apple appeared to be preparing to launch a streaming service that was made up of some of the largest networks for a subscription fee of around $30 per month. The service would be made available on Apple devices including the company's Apple TV, and included networks like Fox, ABC and CBS. So far, there has been no word on Apple's progress with the service, leading many to believe it will fall through.
Related Link: TV Networks Are Underestimating Apple's Power
However, news that the company is putting together a six-episode series called "Vital Signs" revived rumors about Apple's streaming plans.
"Vital Signs" stars Dr. Dre and is loosely based on the hip-hop producer's life. The show deepen's Apples ties with Dre, as the company also bought Beats Electronics and Beats Music in 2014, both of which were co-founded by the former rapper.
While "Vital Signs" appears to suggest that Apple is ready to break into Netflix's market, some say the series is more detrimental to rival music streaming services like Spotify. The series is expected to become available to Apple Music customers, who pay $10 per month to have access to Apple's music library.
As more and more music streaming apps have begun to offer vide content as well, Dre's series could provide more incentive to choose Apple Music over one of the many other alternative options.
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