Reports say Apple has been in negotiations with television content providers like HBO and ESPN, a first step in potentially circumventing cable companies to provide content over the Internet.
Since the company first came out with Apple TV in 2007, it has negotiated with cable companies, but that has gotten it nowhere. Now Apple TV is apparently considering a route more similar to popular streaming services like Netflix and HBO GO, where everything is streamed over the Internet and cable companies play no role.
These negotiations with content providers have not yet led to any partnerships. And if they are going to, those partnerships are likely a long way off. According to a spokesman at HBO, the discussions were only exploratory in nature and not formal.
This is concerning for cable companies, which have already seen a small but steady decline in subscriptions in recent years. Corporate reporter Gina Chong said that some have already suggested that technology like this could turn cable companies into “just Internet service providers.”
For now, Chong says that Apple TV is still moving forward and could begin selling a full-fledged Apple television set. That, she said, would look like a big iPad.