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Apple’s content push is focused on creating dramas and comedies suitable for all ages, and will shy away from things like nudity, profanity, and violence, according to Bloomberg.
Earlier this year, episodes of Apple’s Carpool Karaoke, a show where celebrities drive around Los Angeles singing songs and making jokes, had to be edited to remove inappropriate language, reflecting Apple’s family-friendly content strategy. Moving forward, the company’s first batch of shows won’t be housed in Apple Music and are planned to be available to everyone with an Apple device, though it's unclear exactly where.
Apple may be looking to appeal to a younger audience that's increasingly turning away from traditional TV. Disney and Nickelodeon saw viewership among children between the ages of 2 and 11 years old drop by 33% and 50%, respectively, from 2010 to 2015, in favor of content on digital platforms. This young demographic is valuable for Apple because they could become long-term subscribers if they become acquainted with the company’s content offerings.
With its content push, Apple wouldn’t be the only company looking to capitalize on a younger demographic. Starz, which largely targets parents with young kids, plans to increase its video library by 40% by the end of this year. Additionally, BBC announced it would invest roughly $44 million (which is a relatively small figure) to develop children's content in July. However, Apple’s advantage is its high device penetration among consumers — there were over 1 billion active iOS devices as of January 2016. The company could make its content prominently displayed through an app on iOS devices, which would potentially expose the content to a large user base.
Additionally, Apple risks alienating high-profile content creators with its family-friendly content approach. This potential issue is particularly troublesome as it may make it harder for Apple to create relationships in the industry, as creators may flock to other over-the-top (OTT) competitors like Netflix or Amazon instead.
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