With season two of Ted Lasso (which continues to get a rave reception) now airing on Apple TV+, it’s a good time for Apple to leverage its top-rated IP to add to its subscriber base. The company is hoping that a partnership with Sony to promote Apple TV+ to PlayStation 5 owners will lead to long-term subscriber growth. Sony’s PS5 is building its own sales momentum with over 10 million already in the hands of consumers, and through July 22, 2022, these PS5 owners can receive six months of Apple TV+ for free, after which they’ll be charged the $5.99 monthly fee if they don’t cancel.
Customers will need both an Apple ID and PlayStation Network account to participate. Current Apple TV+ subscribers are eligible as well (but not Apple One bundle subscribers) and can extend their memberships by six months.
Apple had been providing a year’s worth of Apple TV+ to its own iPhone and iPad customers, who tend to be Apple’s biggest fans. By going outside its base with the PS5 promotion, Apple may be able to attract a variety of new customers to its ecosystem. From a branding perspective, there are similarities as well since Apple and Sony are both known for high-end electronics.
Interpret’s recently published VideoWatch™ report, Streaming Devices: Platforms, Brands, and Consumers, reveals strong similarities in demographics and feature preferences among Apple and Sony streaming device owners, including household income, education, home ownership, incidence of children at home, and priority for 4K resolution.
In addition, PS5 owners watch about an hour more of streaming content via paid streaming apps than the general US population. Moreover, the PS5 userbase over-indexes on Apple TV+ currently, with 23% of PS5 owners watching Apple’s streaming service compared to just 9% of the general population (with some PS5 owners obviously already enjoying the free trial from Apple).
JP Morgan believes Apple TV+ could reach 100 million paying subscribers by 2025. The next heavy hitters for Apple TV+ this year will be season two of The Morning Show, and science fiction drama Foundation, based on the works of Isaac Asimov.