Apple is building an advertising network for live television as part of its deal to stream Major League Soccer games next year, according to people with knowledge of the matter. The company is in discussions with advertising partners and MLS sponsors, who asked not to be identified, about airing commercials during soccer games and related shows ahead of its launch next February.
The move is part of a more aggressive push Apple In advertising. Bloomberg News reports that the company’s advertising unit generates about $4 billion (about Rs 33,000 crore) in annual revenue, but is looking to increase it to billions of dollars. That includes putting search ads in more apps, such as its Maps service, beginning next year.
The tech giant recently signed a 10-year deal to stream MLS games across the Apple TV+ streaming platform along with a new subscription service. The company will also stream a portion of the game for free to users of the Apple TV app.
Apple plans to run ads in all three tiers of the partnership: dedicated packages, paid TV+ subscriptions, and free TV apps. The move represents an expansion of the company’s early live TV advertising, which includes Major League Baseball games already broadcast on TV+.
Apple declined to comment.
Apple sees advertising revenue on MLS games, in addition to subscription fees, as a key to making money from the MLS deal. The estimated cost of the contract over the next decade is $250 million (about Rs 2,050 crore) per season, or $2.5 billion (about Rs 20,500 crore).
Todd Teresi, Apple’s vice president of advertising platforms, is leading the expansion into MLS Ads. He recently oversaw the addition of more ad slots to the App Store, including a slot on the outlet’s front page.
It’s a controversial move for Apple, both because it once prided itself on avoiding ad overload and because its recent privacy changes have undermined the marketing efforts of social media businesses. The company has said that its own push in the ads is unrelated.
The Cupertino, California-based company is also exploring bringing ads to additional apps and services. Apple has other apps along its storefront such as the App Store, which includes its podcasts and books offering. Following in the company’s footsteps, it may also introduce an ad-supported version of TV+ Netflix And Disney,
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