Apple in talks with Time Warner for video content

Apple Inc is in talks with Time Warner Cable (TWC) and other content partners for video content for its soon to be introduced next next-generation TV set-top box with a new user-interface, Bloomberg yesterday reported, citing sources familiar with the matter as saying.

The iPhone maker is planning to introduce the next-generation TV set-top box by April and hopes to seal agreements with content and distribution partners before the device goes on sale by the Christmas holidays.

Apple, which sells its current TV internet-based set-top box for $99 and competes with devices from Roku, Microsoft Corp and Google Inc, would be sealing a first deal for content with a pay-TV provider if its agreement with TWC goes through.

The California-based technology giant's new device is expected to plug into a television set and will have a faster processor than its earlier version. It will also have an upgraded interface to make it easier for customers to navigate between TV shows, movies and other online content.

Apple TV and rival Roku system together hold a dominating 80 per cent of the third party set-top box market, according to data from consumer research firm NPD.

Sales of streaming accessories are up by more than 30 per cent on a unit basis since the last twelve months and Apple's 'set-top box has posted a 23 per cent increase in the same period.