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21st Century Fox CEO Says Apple Still Just 'Dabbling' in Original TV Content

In early 2017, Apple CEO Tim Cook described the company's plans for original TV content on Apple Music as placing a "toe in the water" for its television ambitions at the time. Eventually, Planet of the Apps and Carpool Karaoke debuted on the service, but since then frequent reports have indicated Apple is now "completely all in" on original content, shifting from reality TV programs on Apple Music to high-quality, $1 billion investments in hour-long programs on par with shows like Westworld.

Despite Apple's evolving plans over the past year and a half, 21st Century Fox CEO James Murdoch still believes Apple to be "dabbling" in the creative original content space. In an interview at Recode's Code Conference this week, Murdoch was asked what advice he would give to companies who are not traditional TV content-creating companies, but who are getting into the original programming business.

Photo taken by Asa Mathat via Recode

Murdoch explained that 21st Century Fox's angle is "a creative business" and "very entreprenurial," where it empowers creators, creative partners, and creative executives to "push the envelope" in storytelling. He said that "being tolerant of failure is important," leading into his statement about Apple and other companies looking into TV production and their potential fear of failure as an impediment to faster progress.
So, I think the one issue that we see with the kind of, you know, the dabbling, right? If you look at an Apple. Is it ... Going piece by piece, one by one, show by show, et cetera, is gonna take a long time to really move the dial and having something mega. I do think that’s gonna be very challenging.
As of now, there are 13 original shows coming from Apple (although how exactly they will launch remains in question), including new episodes of Amazing Stories, an untitled space drama from the creator of the Battlestar Galactica reboot, a Kristen Wiig sitcom, and other projects from names like Damien Chazelle, M. Night Shyamalan, and Octavia Spencer. Apple has set aside a $1 billion "war chest" for the production of these shows, the first of which could launch as soon as March 2019.

Murdoch appears to think that Apple will roll out its shows "one by one," leading into his argument that it will take a while for the company to have a hit on its hands. It's unclear why the CEO believes that to be Apple's plans, however, since neither Apple nor any rumors have suggested how exactly the company will launch its shows, and how many will hit at once.


One of Apple's rivals in the market will be Hulu, which has its own original TV shows like The Handmaid's Tale, Marvel's Runaways, and the upcoming Stephen King anthology series Castle Rock. 21st Century Fox is one of the owners of Hulu, and according to Murdoch about half of the 20 million Hulu subscribers pay for the service's $11.99/month No Commercials tier, upgrading from the Limited Commercials option at $7.99/month.
There’s an option for the limited-ad experience, and it’s about evens, I think.

I think they say, “You know, for four bucks, I’m getting a limited ad ... Four bucks extra, I can do it this. For four bucks less a month, I’ll have limited ads. It’s not a terrible experience, the ads, it’s a much lighter load than you see in broadcast or cable generally.”

So, I think they make a choice. And I think once you empower the customer, and you make it really transparent, that it’s really about how they’re valuing their time, and how they’re valuing and dealing with their priorities, then also they complain a lot less about the ads, because they’ve been given a choice and empowered. So a lot of, I think, what the whole industry is doing is trying to figure this out.
Murdoch also touched upon the company's plans to sell parts of its media assets to Disney, which now could be complicated with an all-cash offer from Comcast. The CEO was expectedly reserved about specific details regarding what could happen with each offer, but made it clear that the company has given far more thought to the regulatory aspects of the Disney deal than it has to any offer from Comcast, saying Fox will "deal with that as we go."



Top Rated Comments

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12 months ago
Carpool Karaoke and that app show (that no one watched) are literally prime examples on why Apple should stay away from this space. This screams 90's Apple, they are stretching themselves wayyyy too thin.
Rating: 20 Votes
12 months ago
Dabbling is generous phrasing. Lot of work for Apple. Netflix is on a talent spree.. And then there is Disney coming online with it's new service in a few years. So far I haven't seen one actual or proposed Apple show that appeals to me.
Rating: 10 Votes
12 months ago
I have to say I agree with him. Apple's "original" content has been very lackluster - and does not have a collection of "it" shows like Netflix does.

So far Apple's original programming has been very uninspiring and has not caught on to mainstream appeal like a Netflix Stranger Things where people sign up just to watch it. Apple needs something like that - a few times over - before they become a big player in original exclusive content.

I am not saying it won't happen eventually - because eventually, it will.. but I don't think Apple becoming a media powerhouse in original programming is going to happen within the next 2-5 years.
Rating: 9 Votes
12 months ago
They're also dabbling in computers.
Rating: 9 Votes
12 months ago
Had a hard chuckle when I read:
"[Apple] shifting from reality TV programs on Apple Music to high-quality, $1 billion investments in hour-long programs on par with shows like Westworld. ('https://www.macrumors.com/2017/01/12/apple-original-tv-shows-end-of-2017/')"

Westworld. Are you kidding? Mature-content produced under Apple control?
Not in this galaxy, and never under Cook and friends.
Rating: 7 Votes
12 months ago
Ad-free is the only way I’ll watch television in any form, and I’m willing to pay for it. I already do with Hulu/Netflix/Amazon Prime. I haven’t watched live television in years, and I don’t miss it.

The only television commercials I see are at the gym or in a waiting room somewhere. Television commercials are unbearable to me. So insulting to anyone’s intelligence.
Rating: 6 Votes
12 months ago
Dilettantes and dabblers -- pretty much sums up Apple's management these days.
Rating: 5 Votes
12 months ago

Apple has so much money in the bank that they could steal EVERY original content creator talent away from Netflix. Probably could completely defeat Netflix this way much cheaper than buying the (overpriced) company itself. Would be very surprised if Apple doesn't use its money for this strategy - my only explanation for the underwhelming original Apple productions at the moment would be that they they stay true on their "only family-friendly content" rule in every aspect. Which would be very disappointing.


Love it how people continually think money is the fix for everything. Maybe you can explain why some of Apple's first party software is atrocious given how much cash in the bank they have. Talent doesn't always go where the money is.
Rating: 4 Votes
12 months ago
I don't really understand how Apple plans to make money from all this. Frankly I think a better idea would've been to start Apple Records and produce music with exclusive releases. Obviously iTunes etc. is very well established. Not that many people have an Apple TV and they hardly even update it. I would've gone the music route.
Rating: 3 Votes
12 months ago
Apple is just as interested in creating a media narrative, and perhaps a political narrative, as it is creating hardware. Media content is the rich company's way of stamping its vision on the world. Netflix giving Obama multi millions of dollars, someone who has never created content before, but is politically licensed, is just an example. I don't think Apple cares if this content stuff makes money.
Rating: 3 Votes

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