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Technology Stocks : Investing in Exponential Growth
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From: Paul H. Christiansen2/19/2018 11:37:26 AM
   of 1084
 
Inside Apple’s Courtship of News Publishers

When news publishers have a big story these days, their editors jump on Slack and pitch it to an unlikely partner: Apple. The tech company has built a small but powerful news team that is making Apple a key distribution outlet for news publishers.

From the pitch received via a dedicated Slack channel, Apple’s editorial team of about a dozen staffers in the U.S. decides what story gets featured at the top of the app or to the left of the home screen. That can yield a flood of traffic for publishers. Apple News has generated half of Vox.com’s daily traffic at times, according to a person familiar with Vox’s numbers. An executive at the website of a major TV network said Apple News has accounted for as much as 60% of traffic for some stories.

It's too early to tell if publishers can make meaningful ad revenue from Apple News. Right now, most say they don’t. But Apple is nonetheless emerging as a more important channel for publishers looking for an alternative to Facebook—particularly now that it is putting less emphasis on news articles in News Feed.

Apple is already helping drive subscriptions. The Washington Post, for instance, gets hundreds of people subscribing every day through Apple News, at a slightly reduced rate to the website’s price, according to head of product Shailesh Prakash. Apple takes a 30% cut of each subscription payment, in line with its share of sales in the App Store.

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