APPLE is looking for a cheaper subscription tier for its flagship streaming service – but that comes with a significant trade-off.
The streaming giant took steps at the U.S and the United Kingdom as it considers including a plan supported by announcements about Litter TV+.
Competitors like Netflix, Disney+ and Amazon Prime Video have already taken the leap.
Ad-supported streaming has also been adopted by free streamers like Roku, who have made it their bread and butter.
The cost of a subscription is offset by advertisements served before and during the content.
And while this means users can stream for free or significantly cheaper, the constant interruptions can be a significant downside.
However, Apple is looking for every possible way to attract customers as its streaming service struggles to turn a profit.
As reported by The telegraphthe tech giant is rumored to have met with the UK’s Broadcaster’s Audience Research Board.
The company is reportedly researching data collection techniques to monitor advertising results – signs that an ad-supported layer is on the way.
The tech giant held similar discussions with ratings organizations in the United States two years ago.
The most telling clue was the hiring in March of Joseph Cady, a former advertising executive with an extensive resume.
Prior to his departure, the 14-year NBCUniversal veteran served as executive vice president of advanced advertising and partnerships.
Cady was just the latest in a series of advertising hires, all pointing to changes on the horizon.
The company hired former Peacock and FanDuel employees and has been building its advertising team since last year.
There are other signs too. Litter included limited advertising at live sporting events, such as last year’s Major League Soccer coverage.
The tech giant is simultaneously reducing its spending on original content after shelling out more than $20 billion.
It is still unclear how much money Litter TV+ generates, but is not estimated to offset the licensing and production costs.
Apple has heavily promoted extended free trials for the service since its inception in November 2019.
Customers who purchased an Apple device that year and in subsequent years received at least a full year of Apple TV+ with their purchase.
Apple later shortened the standard trial duration to three months and started bleeding customers.
What is FAST streaming?
FAST TV, an acronym for “free, ad-supported television streaming,
Free, ad-supported streaming television is a service that offers programming similar to cable or traditional TV.
You can view FAST content for free, with the only condition that commercials appear before or during the content.
Depending on the service, you can watch titles on demand or stream pre-scheduled streams. Some platforms also offer live TV.
FAST providers typically have an extensive library of older shows and branded programming in addition to original titles.
Free, ad-supported channels air 24/7 and have scheduled commercial breaks built into their schedule.
Content is typically organized by genre, in addition to channels dedicated to specific titles or brands.
Users can now sign up online for a seven-day free trial. After a week, it will cost $9.99 per month, up from $6.99 per month.
Prices soared in October, with the cost of an annual subscription jumping from $69 per year to $99 per year.
This story originally appeared on The-sun.com read the full story