Ben Thompson slices and dices how Apple News impacts news publishers. Strategic leaks indicate Apple wants 50-percent of revenue. Publishers want less.
I’m reminded of the January 2010 report in the Wall Street Journal that Apple’s impending tablet would cost $1,000; when Steve Jobs announced the iPad three weeks later, the $499 starting price seemed like a bargain.
Should publishers get into bed with Apple?
Publishers that have truly committed to subscriptions, though, should say no: not only will it be difficult to make up revenue that will be cannibalized lower per-customer payouts from Apple News, but more importantly a reversion to a model predicated on page views will hurt their business in the long run.
Indeed. Why bother to go to a news website when all you need is already on Apple News.