Apple Share Price: Tech Giant Nearing Deal with Time Warner Cable?
iNVEZZ.com, Thursday, July 4th: Apple Inc (NASDAQ:AAPL) is reportedly nearing a deal with Time Warner Cable Inc (NYSE:TWC) to give subscribers of the cable television service access to channels via Apple TV. As Bloomberg yesterday reported, citing unnamed sources, the two companies planned to announce an agreement within a few months.
The Apple share price closed 0.6 percent higher at $420.80 in New York yesterday after Bloomberg ran its news report. Time Warner Cable advanced 2.7 percent to $112.45.
A deal with Time Warner Cable may potentially boost Apple Share’s Price. Buy or Sell? Start Trading Now. http://nvz.bz/1b9L6N8
**Traditional business model**
A potential deal with Time Warner Cable would be the first with a cable provider for Apple which last month said that it was also adding content from ESPN and HBO. Apple is aiming to bolster sales of its set-top box costing $99 as it sees increased competition from Roku Inc.’s device and Microsoft Corp’s Xbox.
At the same time, the potential deal demonstrates Apple’s willingness to use the existing pay-TV business model, rather than directly offer live TV programming. This approach to television is different from that of Intel Corp, which is exploring the idea of developing an Internet-based service that would compete more directly with cable and satellite providers. However, media companies which own films and TV shows seem more uncomfortable with Intel’s approach and have been reluctant to sell content directly to online services because it could harm sales from cable and satellite companies.
!m[Apple Bringing in Executive from Hulu to Boost TV Effort](/uploads/story/3674/thumbs/pic1_inline.jpg)
“It’s not necessary for Apple to remake the media industry to sell a great TV product,” opined Benedict Evans, an analyst at Enders Analysis, as quoted by Bloomberg.
To aid its TV-related efforts, Apple is hiring Pete Distad from online-video service Hulu LLC, where he was senior vice president in charge of marketing and distribution, according to two unnamed sources cited by Bloomberg.
A deal with Time Warner Cable may potentially boost Apple Share’s Price. Buy or Sell? Start Trading Now. http://nvz.bz/12fkB0M
**The Apple share price closed at $420.80 in New York on 03.07.2013. The Time Warner Cable share price closed at $112.45 in New York on 03.07.2013**