DIRECTV On Apple HDTV: What, Me Worry?
(June 4, 2012)
-- DIRECTV CEO Mike White isn't worried about reports that Apple
will introduce a new HDTV that will give traditional pay TV
providers a run for their money.
According to Variety, White dismisses reports that Apple will
persuade programmers to allow it to offer their channels on a la
carte basis. DIRECTV and other pay TV services offer channels in
bundles which allow them to charge more per month; the bundles
include channels the viewer wants as well as some he might not
But White says the programmers will want to protect the bundle
concept to ensure that they generate more money from the pay TV
services. If they allowed Apple to break the bundle, it could
mean less revenue from both pay TV providers and Apple.
(A la carte proponents say it could mean more
revenue because more viewers would be willing to pay extra for
the channels they really care about it.)
with technology, it smashes the cost structure in some new way
(but) with content costs, rights fees and the cost of spectrum,
it's hard to see (it) obsoleting our technology." White told an
industry conference last week, according to Variety.
White, however, admits that he's curious about what Apple may
offer in a new HDTV. Rumors have surfaced and resurfaced that
the company will introduce an Apple-branded set in the coming
"They are going to launch something, maybe in the next two
weeks," White said.
But the DIRECTV executive said he doubted that "Apple's
interface will be so much better than DIRECTV's" that people
would pay extra for it. _____________________________________________________________________________