Source: Wall Street
Author: Cao Zexi
Apple Inc has so far spent as much as $10 million to promote cooperation with the studios, according to people familiar with the matter. Podcasts produced internally by Apple Inc are mainly used as a marketing tool for video series, or to measure audience interest in these content.
At a time when many technology companies are cutting back on content budgets.$Apple Inc (AAPL.US) $But actively layout in the field of podcast content.
Apple Inc, which has increased its investment in original podcasts, signed an agreement with Futuro Studios on Wednesday, Aug. 10, and is negotiating more deals with other companies.
Apple Inc is looking to add original content to his podcast Podcasts app, hoping to eventually become a show on his Apple TV+ service. The deal-an agreement with Futuro Studios, the producer of the criminal justice series Suave, will fund the development and production of podcasts, according to people familiar with the matter.
Suave won the 2022 Pulitzer Prize for Audio reporting, which focuses on a man's return to society after serving more than 30 years in prison.
In exchange, Apple Inc has the priority to make any podcast content into a movie or TV program.
Futuro Studios is not the first audio-visual studio to work with Apple Inc.Media quoted people familiar with the matter as saying that Apple Inc has so far spent as much as $10 million to promote cooperation with these studios.Apple Inc has previously announced cooperation in the field of podcasting with studios such as At Will Media, Campside Media, Jigsaw Productions and Pineapple Street Studios.
Although Apple Inc is one of the largest audio distributors in the world, the company's podcast department has avoided funding individual shows or buying resources because it wants to be seen as a neutral platform.
Apple Inc has funded Jigsaw's "The Line," an award-winning podcast about Navy SEALs Eddie Gallagher, and Campside's "Hooked," a nine-part podcast about an engineer turning into a bank robber.
Most of Apple Inc's internal podcasts are related to his TV programs in some way. At present, there are no Apple Inc audio programs featuring advertisements, which are mainly used as marketing tools for video series or to measure audience interest in these content.
Apple Inc spends far less money on original podcasts than Amazon.Com Inc and Spotify, which each spent more than $1 billion on related companies and programs. Apple Inc's main competitor in the music streaming field, Spotify, has included some of the world's most popular podcasts, giving them exclusive services.
However, Apple Inc did not adopt this practice of buying out patents. However, Apple Inc's foray into the podcast industry is good news for these podcast studios.
Recently, many companies have tightened their budgets and investment in audio programs has begun to slow. IHeartMedia Inc. And Audacy Inc. Et al have been the main investors in original podcasts, but these companies have suspended or slowed their investment in podcasts as advertising growth slows and share prices fall.
Edit / Corrine