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For Apple TV, The Price Is The Problem

In late 2014, Amazon launched the Fire TV Stick for $40. Compared to the $100 Fire TV box that launched earlier that year, the Stick had significant performance hiccups, and the first version of its remote control didn’t support voice commands.

But again, consumers didn’t mind. Within a year, Amazon’s stick was outselling its box 3 to 1, according to Parks Associates. A spokeswoman for Parks says the Fire TV Stick now makes up 81% of all Amazon Fire TV devices owned in U.S. broadband homes.

The success of cheap streaming TV devices is now having a profound impact on the Apple TV business. Both Parks Associates and ComScore show Apple TV in fourth place among U.S. broadband customers, behind Roku, Amazon Fire TV, and Google’s Chromecast.

From the article "For Apple TV, The Price Is The Problem" by Jared Newman.

Previously In The News

Google is finally ready to fight Roku and Amazon in the streaming wars

Even if Google can get past those branding issues, success is far from guaranteed. Leichtman Research Group reported in June that 80% of U.S. households have at least one connected TV device already,...

Some NFL+ users struggle to watch games on the app

Consumer issues with accessing the NFL games are also indicative of a fragmented sports streaming landscape. Eric Sorensen, a senior contributing analyst with Parks Associates, noted in July how curre...

Comcast and Charter face a grim new reality: actual competition

“Across the nation, all sorts of internet service providers have gained two new competitors,” says Kristen Hanich, the research director for Parks Associates, referring to T-Mobile and Verizon. “They...

The Streaming Era Has Finally Arrived. Everything Is About to Change.

Streaming services, of course, have been challenging the Hollywood status quo for years. Netflix began streaming movies and television shows in 2007 and has grown into a giant, spending $12 billion on...

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