Apple could miss out on a $2.4 billion opportunity next year by delaying its new TV service
Earlier this week, multiple reports said Apple won't be revealing its highly anticipated TV streaming service at the WWDC, its annual developers conference scheduled for next week. Apple has been holding back the official launch of its new TV streaming service largely because it hasn't been able to finalize deals with content providers, according to the reports. The new TV subscription service may not be available until later this year, or even 2016, the reports said.
If the video service is delayed, it could cost the company billions of dollars in missed opportunities next year. According to BI Intelligence, which estimated the money-making potential of the service before news of the delay, a new Apple pay-TV service could generate $2.4 billion in sales next year - assuming a Fall 2015 launch date. That revenue total is forecast to balloon to $4.3 billion by 2018.
The estimates assume a $35 monthly price for the video service.
Apple's delayed video service is apparently a TV subscription service that will bundle about 25 TV networks, including local channels, such as ABC, CBS, and ESPN. But NBCUniversal, who runs channels like NBC, USA, and Bravo, is reportedly not in talks with Apple to be part of the package.
