Apple News App Set for Global Expansion
The Apple News app, which is currently accessible in regions such as the United States, Canada, the United Kingdom, and Australia, is poised for potential global expansion. Recent reports reveal that Apple is actively pursuing strategies to enhance its standing as a significant revenue driver for publishers while also increasing its subscription service earnings. Specifically in the UK, Apple is focusing on enhancing local news coverage and plans to introduce engaging features like puzzles that have gained popularity in North America.
Transformation of Digital Publishing
Having launched almost a decade ago, Apple News has evolved into a leading platform within the digital publishing landscape. While the app does not produce original content, its influence resonates with millions of users in its operational territories. Bundled with new iPhones, Apple News enjoys a competitive advantage over other news applications, also representing Apple’s ongoing efforts to integrate users into its ecosystem. Although Apple has yet to release specific usage metrics, the app consistently ranks as a top choice in most regions where it operates.
Impact on Publishers
Media companies such as Reach and Immediate Media are reaping the benefits of the extensive reach provided by the Apple News app. For instance, Reach’s flagship publication, The Mirror, captures an average of approximately 4.5 million monthly readers via Apple News, accounting for about 25% of its total audience. David Higgerson, the chief digital publisher at Reach, emphasized the importance of this platform, stating,
“From a brand awareness point of view it’s really important. We need to be there. It’s the front door to everyone’s iPhone.”
Apple News+ and Revenue Models
Apple News+—the app’s premium subscription service—provides users with curated articles, games, and podcasts for just $12.99 per month. Since its inception five years ago, the number of participating publishers has swelled from 300 to approximately 450. The standard free service generates revenue primarily through advertising, allowing publishers to retain 100% of their ad income or 70% from ads sold by Apple or third parties. Despite its notable success, Apple News has become a topic of debate among publishers, with some recognizing the platform’s ability to widen their audience reach, while others express concerns regarding diminished traffic and revenue.
Source: Financial Times
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