Apple Having Trouble Getting Content For iPad [Reports Say That Content Publishers Worried About iPad Killing Their Traditional Revenue Sources, Also Want Flash]

Just 12 days away from when Apple’s highly anticipated iPad is hitting store shelves, and a new report by the Wall Street Journal says that Apple is having trouble finalizing content deals for the new tablet. According to a source “familiar with the situation” who spoke to the WSJ, newspaper, magazine and TV content publishers are worried that if they produce iPad apps, it will kill their traditional revenue models.

apple ipad ad no flash

According to the source, Apple wanted to offer TV show subscriptions and individual TV episode sales on the iPad, in a similar fashion that they do now on iTunes. Allegedly, Apple is pushing the TV networks to drop their average TV episode price from a typical $2.99 to just $0.99 for the iPad versions, but the TV networks fear that 99-cent TV programs will cut down the number of people who subscriber to cable or satellite TV.

Of course, cable and satellite TV providers pay a hefty per subscriber fee to the TV networks. Despite the reservations the TV networks have over the iPad and Apple’s desired new pricing scheme, the source expects that many TV networks will sign last-minute deals with Apple.

While the TV providers are worried about their cable and satellite revenues, magazine and newspaper providers are reportedly unable to get their iPad apps finished in time for the big launch. As we reported, app developers who were given a pre-release iPad were only given one iPad and forced to jump through some draconian hoops. Now, Apple faces many newspaper and magazine apps not being finished by April 3rd.

Also, these content providers aren’t willing to jump on Steve Jobs’ anti-Flash crusade yet. The source reports to the WSJ that many of these media companies are baffled and hampered by the lack of Flash on the iPad. Of course, Flash is used in video streaming on the web as well as online ads. By forcing the developers to go another route than Flash, it’s slowing down the development of their iPad apps further.

Despite all these reservations, the Wall Street Journal’s report seemed optimistic that Apple will get things worked out with content providers before or shortly after the launch of the big iPad.

Source
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