The reports of Apple’s Services as a savior seem to have been greatly exaggerated. A whole mess of information about Apple’s strategy for its publishing and video services leaked this week, and it paints a troubling picture of the iPhone maker’s approach. In short: Pay up or get out.
On Tuesday, the Wall Street Journal reported that Apple was demanding a 50 percent cut of its upcoming all-you-can-read publishing service, significantly higher than the 15 percent publishers are now paying Apple on renewing iTunes subscriptions. That was following by a CNBC report that claimed HBO was balking at the terms of Apple’s excessive fees for its new video service, which will supposedly include a mix of original content and premium channels. With that service, Apple is reportedly seeking its usual 30-percent slice of subscription pie.