Apple invested 1 billion to build the original video but the goal is this?

Apple to build the original video content

We all know that Apple recently announced a plan, they will spend $ 1 billion to build the original video content, but the $ 1 billion of this cost if the film and television industry recently, which may indeed not really what is particularly large Of the figures, in addition to the “power of the game”, which has many high popularity drama HBO in the last year alone into the original program costs as high as $ 2 billion, so the Royal Bank of Canada analysts believe that, Spotify perhaps Is the goal of Apple.

Analysts mentioned that Apple’s spending on the original video content compared to Amazon, HBO, and Netflix was small, so they thought Apple did not want to compete with the video streaming service at least not at all. From Apple Music and Spotify the current competitive situation, perhaps this investment is more meaningful to Apple Music.

To know that Apple’s video program will also be released on the Apple Music platform, such as “Carpool Karaoke” and “application of the planet”, at present, Spotify the number of paid users is Apple Music twice, but as long as Apple Muisc can continue Attracting 700-800 million new users, then the next three years, Apple will be able to recover this one billion US dollars of investment.

Apple Music is growing very fast, and it has more space than Spotify, with more exclusive content, and more video content will help Apple Music to attract users greatly enhance the speed, of course, it must Expecting Apple’s new original video program to be better than the current two programs, after all, the two programs currently received the evaluation is not high.

From Apple Music and Spotify competition, and Apple’s investment quota point of view, this argument really has some truth, if Apple’s strategy is really aimed at the Spotify rather than Amazon, HBO, Netflix, this is not the sound of the East What?

Stephen Sholes

Stephen Sholes is passionate about showbiz news with over 5 years in the industry starting as a writer working his way up into senior positions. Stephen is an editor and reporter of showbiz news. Connect to Stephen