After paying at least $485 million, Apple said it will shut down Texture, its online magazine subscription service on May 28 now that it’s being replaced with the newly unveiled Apple News Plus.

And if you’re part of the 30% who used Texture to get your favorite magazines digitally on Android or Windows devices, you will soon be out of luck. Only Apple iOS devices will be able to access the 300 magazines available from publishers. At the time of the sale in March 2018 to Apple, Texture had about 240,000 subscribers.

The sale price of $485 million included a $100 million up-front payment to four publishers who teamed up to launch Texture — Condé Nast, Meredith and Hearst and Rogers in Canada — plus their venture backer, KKR. Going forward, the four publishers got a minimum of $145 million in the first year, followed by a minimum $240 million for the second and third years — pushing the payout to at least $485 million, Media Ink has learned.

If a consumer does not own an Apple device, the $9.99-a-month subscription for digital editions will simply lapse as Texture fades away.

“It’s kind of a last gasp for publishers to get some revenue for their premium content,” said one publishing source.

“Apple won’t sell any advertising,” one source said. “They don’t care if publishers include advertising, but for them, [News Plus] is strictly an online subscription service.”

Original Source


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