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Apple Inc. (AAPL) Planning Its Own Online TV Service: Could It Be Disruptive To Cable Companies?

Apple Inc. (NASDAQ:AAPL) has finally decided that it will go out and offer its own bundle of online TV networks. It was almost a year ago, when Apple Inc. (NASDAQ:AAPL) had plans of collaborating with Comcast Corporation (NASDAQ:CMCSA) with Apple’s user interface expertise and Comcast’s broadband. But Apple Inc. (NASDAQ:AAPL) could not get that deal done, and finally decided that they will go over the top and offer its own online TV network. BTIG Technology Analyst, Walter Piecyk talked on CNBC about his opinion on Apple TV.


Piecyk pointed out that Apple Inc. (NASDAQ:AAPL) had plans of partnering with a cable service and provide good quality viewing experience through managed service. But, he mentioned that according to last night’s WSJ article, Apple Inc. (NASDAQ:AAPL) is going over the top and offering its own online TV network. He think that it could be more disruptive to cable companies.

“This could be a lot more disruptive to the cable companies. So I think may be Apple want to do this earlier, it was frustration in may be dealing with companies like Comcast, which is obviously not anything new, that has led them to the next step of just going full over the top for the service offering,” Piecyk said.

Piecyk pointed out that Apple Inc. (NASDAQ:AAPL) has the cash balance to enter any industry they like and establish their own customer base in that industry. He feels that dealing with Comcast Corporation (NASDAQ:CMCSA) has pushed them to enter the TV industry.

Piecyk said that Apple Inc. (NASDAQ:AAPL)’s TV is just an app now, which needs TV to connect to internet in order to play the channels. He thinks that Apple Inc. (NASDAQ:AAPL) will evolve with time in the TV industry as well and will provide richer viewing experience to users.

Disclosure: None

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