Apple To Euro Publishers: No Free Newspaper Editions On iPad

Ipad

Amid widespread complaints from publishers that Apple's business model and control of consumer information prevents them from selling subscriptions to iPad owners, the tech company is upping the ante in Europe. It is cracking down on newspapers that offer free iPad editions to their print subscribers. The reason: a 30% take (Apple's usual cut) of nothing is nothing.

The Web sites of De Volkskrant, a national Dutch daily, and NRC Handelsblad, a business newspaper, reported that Apple will no longer allow publishers to offer free iPad editions to print subscribers beginning April 1. That move parked protests from publishers that fear the tech company is acquiring monopolistic power over content distribution and business models.

This is just the latest in a series of reports raising concerns about Apple's policies on content sales and distribution.

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In late December, a report in Women's Wear Daily noted that single-copy sales of digital magazine editions for the iPad had fallen steeply since the device was first introduced in April 2010. For example, Wired's iPad sales slumped from over 100,000 digital magazines in June to 31,000 digital copies in September, followed by 22,000 in October and 23,000 in November, per WWD.

(Plus, many publishers complain they can't get access to consumer information from Apple to target their sales.)

Many magazine and newspaper publishers say they are discouraged from offering digital subscriptions for the device, given Apple's reticence in sharing consumer data -- like the geographic location of iPad owners -- which makes it difficult to market subscriptions to likely buyers.

By the same token, publishers want to retain control of their subscriptions and users' personal information. So far, most publishers have confined themselves to selling single issues, although a few big publications -- including Newsweek, People, and The Washington Post -- have introduced iPad subscription models.

The latest news from Europe may put even these few pioneering subscription models on the offensive -- especially if Apple stands by another digital content policy, forbidding publishers from charging consumers for any content that is already available for free elsewhere (e.g., online).

This would seem to leave most publishers with few options, since they can't offer subscriptions for free -- and they can't charge for them if any of the content is available online. Indeed, it seems to imply that Apple expects them to create entirely new content -- in effect, a new, separate publication -- for the iPad.

2 comments about "Apple To Euro Publishers: No Free Newspaper Editions On iPad ".
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  1. Jonathan Mirow from BroadbandVideo, Inc., January 17, 2011 at 3:45 p.m.

    Haven't you people figured this out yet? Apple is a CULT, not a communications company. Only cult members would pay three times as much for something that delivers half as much that ANYTHING else on the market because their "logo" (read: religious symbol) is stamped on the case. No camera, no USB port, no memory slot, no battery removal - the list goes on and on and YET iMoonies continue to worship at the Alter of Steve. Look, if HP sold you a laptop and then suddenly decided that you couldn't get free newspaper content on your new device - there would be so many lawsuits it would make your head spin. But with Snapple the iMoonies just line up to buy the next version...creepy? you bet!

  2. Jonathan Mirow from BroadbandVideo, Inc., January 17, 2011 at 7:48 p.m.

    Yeah - I rail about this in my weekly New Media Commentary video which you can check out here: http://www.youtube.com/watch?v=2fWsTrw0X-k (not spamming folks, I really talk about this article).

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