Apple News app, currently available in the US, Canada, the UK, and Australia, may soon expand to more countries. Reports suggest that Apple is moving in this direction to strengthen its position as a key revenue source for publishers while boosting its subscription service revenue. Particularly in the UK, Apple is aiming to improve local news coverage and also introduce features like puzzles, quite popular in North America.
Launched nearly a decade ago, Apple News has become a prominent platform for digital publishing. Although it doesn't publish original pieces, Apple News influences millions of people in the countries where it is available. The app is bundled with new iPhones, giving it an edge over other News apps. Besides, it also acts as an effort from the Cupertino-based company to tie users to its products. While Apple did not disclose usage statistics, it ranks at the top position in most of its operating regions.
Publishers like Reach and Immediate Media, benefit from Apple News app's extensive reach. For example, in the UK, Reach's largest publication, The Mirror, reaches an average monthly audience of about 4.5 million from Apple News, which is about 25% of its overall readership. David Higgerson, chief digital publisher at Reach said, "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+—the app's subscription service—offers curated stories, games, and podcasts for $12.99 per month. The News+ has grown from 300 publishers at its launch five years ago, to around 450 publishers now. On the free service, the revenue is generated through advertising. Publishers have the option to keep 100% of the ad revenue or 70% from ads sold by Apple or resellers. Despite its success, Apple News has sparked debate among publishers, with some acknowledging the platform to reach a wider audience, while others are concerned about lost traffic and revenue.
Source: Financial Times
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