Mar 30, 2019

Tech companies storm the content business

Illustration: Aïda Amer/Axios

As TV advertising sales season approaches, traditional East coast media companies are under pressure to hold on to precious content rights or create popular programming to keep users from ditching their cable packages.

What's happening: Apple, Amazon and other West coast tech giants, keen on gaining subscribers, are bundling news, music, movies and TV shows. They can give away some content or charge less than traditional content companies thanks to the fact that they can make money from selling hardware (Apple) or goods (Amazon).

Driving the news: Apple unveiled its new multi-media subscription service Monday. It includes an a la carte TV subscription service, original programming, news, as well as payments, cloud storage, music and more.

  • Last month, Hulu and Spotify Premium announced a new entertainment bundle that would give individual U.S. Spotify Premium users access to Hulu's ad-supported digital TV and movie content plan at no additional cost.
  • Amazon Prime memberships currently include the streaming of free movies, TV shows, music, unlimited reading and more. Amazon is also investing more in live sports programming. 

The bottom line: Media consumption is likely to be dominated by a few big companies that can offer a variety of services, as opposed to individuals accessing many different subscriptions individually.

  • That could be potentially very cost-efficient for consumers, but puts more pressure on traditional media companies.

Go deeper

#MeToo gets Weinstein

A man carries out Weinstein's walker. Photo: Johannes Eisele/AFP/Getty Images

Hollywood titan Harvey Weinstein is now a convicted rapist, two years and four months after accusations against him helped ignite the #MeToo movement.

Why it matters: To date, #MeToo has resulted in hundreds of powerful men losing their jobs. Seven have been criminally convicted, with four others still facing charges.

JPMorgan Chase to pull support for some fossil fuels

Illustration: Sarah Grillo/Axios

JPMorgan Chase said Monday that it won’t directly finance new oil and gas development in the Arctic and will significantly curtail its financing of the extraction and burning of coal.

Why it matters: JPMorgan is the world’s largest funder of fossil-fuel companies, according to a report by the Rainforest Action Network (RAN). The announcement follows similar moves by other big banks and investment firms, including Goldman Sachs and BlackRock.