Apple buys digital magazine subscription service

March 12, 2018
Apple is buying digital magazine subscription service Texture, adding to the side of its business aimed at making money from online content or services

Apple announced Monday it is buying digital magazine subscription service Texture, adding to the side of its business aimed at making money from online content or services.

The iPhone maker did not disclose financial terms of the deal to buy Texture from its owners—publishers Conde Nast, Hearst, Meredith, Rogers Media and global investment firm KKR.

Texture gives subscribers unlimited access to more than 200 magazines, such as Forbes, Esquire, GQ, Wired, People, The Atlantic and National Geographic for a $10 monthly fee.

"We're excited Texture will join Apple, along with an impressive catalog of magazines from many of the world's leading publishers," Apple senior vice president of internet software and Eddy Cue said in a statement.

"We are committed to quality journalism from trusted sources and allowing magazines to keep producing beautifully designed and engaging stories for users."

The Texture application launched in 2012, the product of a joint venture created two years earlier.

"We could not imagine a better home or future for the service," Texture chief executive John Loughlin said.

Despite Apple's spectacular trajectory in the decade since the introduction of the iPhone, the California technology titan is facing challenges on whether it can continue growth.

While iPhone sales are at the heart of Apple's money-making machine, the company has taken to spotlighting revenue from the App Store, iCloud, Apple Music, iTunes and other content and services people tap into using its devices.

Texture could add digital subscription revenue to that lineup.

Apple reported that it finished last year with cash reserves of $285 billion—much of that stashed overseas.

The company said it would bring back most of its profits from abroad to take advantage of a favorable tax rate in legislation approved by Congress last year.

The repatriation will result in a tax bill of about $38 billion, while also freeing up big chunks of money for investment.

Explore further: Apple delivers record profit, seeks to allay iPhone X fears

Related Stories

Apple unveils digital media subscription service

February 15, 2011

Apple, in a move long awaited by publishers seeking new sources of revenue, unveiled a subscription service on Tuesday for digital newspapers and magazines purchased through its online App Store.

Apple challenged to show iPhone star shines

February 1, 2018

With Apple set to report quarterly results Thursday investors and others are cautiously watching to see whether its newest iPhone will help fuel momentum for the world's most valuable company.

Recommended for you

Robots as tools and partners in rehabilitation

August 17, 2018

In future decades, the need for effective strategies for medical rehabilitation will increase significantly, because patients' rate of survival after diseases with severe functional deficits, such as a stroke, will increase. ...

Security gaps identified in internet protocol IPsec

August 15, 2018

In collaboration with colleagues from Opole University in Poland, researchers at Horst Görtz Institute for IT Security (HGI) at Ruhr-Universität Bochum (RUB) have demonstrated that the internet protocol IPsec is vulnerable ...

Researchers find flaw in WhatsApp

August 8, 2018

Researchers at Israeli cybersecurity firm said Wednesday they had found a flaw in WhatsApp that could allow hackers to modify and send fake messages in the popular social messaging app.

0 comments

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.