Apple could be planning to enter the movie and TV industry, as is evident from the moves it is making. The most recent hint comes from notable internet entrepreneur and Mega founder Kim Dotcom, who predicts that the iPhone maker will purchase a Hollywood studio in 2017, according to 9to5Mac.
Is Apple really entering the film industry?
Dotcom’s source of information is not entirely clear as of now, but he made a tweet ending with the hashtag ‘#InsiderIntel.’ Dotcom, who is known for his hacking and espionage skills, might have gotten the information from inside a major studio.
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Apple’s interest in the film industry has attracted a lot of attention in recent months. The company is currently involved in the production of its own Planet of the Apps TV show, and earlier this year, it made a small but notable presence at the Sundance Film Festival. At the festival, the company used its time to meet with “triple A-list” talent to discuss building a lineup of original TV shows, notes 9to5Mac.
Apple has been hesitant to go all-in, and therefore, has a “quixotic and reserved” attitude about its original content plans, according to a more recent report. On the other hand, the company is trying to bring movies to iTunes at the same time they are running in theaters. Dotcom’s claims gain credibility from the negotiations and ongoing talks with content creators like those at Sundance.
Apple has the cash to do it
All these claims need to be taken with a grain of salt at this point as it is unclear from where Dotcom received his “Insider Intel.” If all of this is true and the iPhone maker actually goes ahead with buying a Hollywood studio, it would be a huge move.
It makes more economic sense, if the company decides to develop its own slate of high-quality programming. Producing a large number of hit TV shows is possible for Apple due to its huge cash reserves. In comparison, BGR presented a list of seven hit TV shows and their production costs for one season; Game of Thrones – $60 million; Breaking Bad – $39 million; House of Cards and Orange is the new Black; $100 million: Homeland – $36 million; Netflix’s version of Arrested Development – $45 million; LOST –– $100 million over the course of a 25-episode season; Boardwalk Empire – $60 million.
So Apple would need to spend just $440 million to produce 7 high-caliber shows, or it can opt to make 35 original programs that will cost it substantially less than the $3 billion it paid for the Beats acquisition, says BGR.