Dear Apple, All I want for Christmas this year...

Let me start by saying that, yes, I know Apple is a polarizing and potentially controversial company to bring up in a blog post. Additionally, full disclosure, I switched from Windows to Macs 5 years ago and my only regret is not doing it sooner. I'm officially in Apple's walled garden, I own Macs, iDevices, Apple TV's, and iTunes is my main conduit to media consumption.

So, I have a small request for Tim Cook and the other fine folks at Apple. It's the only thing on my Christmas list this year, and any and all subsequent years. Are we ready for this?

iTunes Productions Studios

That's right. I want Apple to open a new division of iTunes dedicated to the production and distribution of original media.

Why?

Why not?

• Apple's got cash reserves in excess of $150 billion sitting around doing nothing. They just bought Beats for $3 BILLION and it barely made a scratch.
• Netflix and Amaxon are getting into the original content game, Apple should keep pace.
• iTunes is already a nearly perfect and ubiquitous distribution channel. (Global reach, huge install base, user familiarity, streaming capacities, existing accounts, and so on.)
• Apple is the company that loves music and movies, and reminds us of it every chance they get. It just seems like a good fit.
• Hollywood just doesn't get it. UltraViolet is a disaster and piracy/DRM is a major issue, STILL. It'd be easier for a tech company to make movies than a movie company to make tech.
• It'd be great for consumers. In addition to Netflix, Crackle, Hulu Plus, Amazon Instant and the other streaming services, imagine an iTunes Originals streaming service. More choices means more competition which means better products at lower prices.
• It'd be great for content creators. Think of all the scripts that would get optioned. Think of all the Hollywood outsiders that could break into the business if a hands-off production company funded their production and handled global digital distribution with such low overhead that it was practically guaranteed to be profitable!
• Apple tried and failed to make iTunes "social", but this would be their second chance. Take on Kickstarter by allowing iTunes users to watch pitches for movies and television series. If a user likes the pitch, they can pre-order the finished product (contingent upon it being completed) rather than simply "donating" an unspecified amount. This would allow "iProds" to evaluate market demand and better determine the appropriate budgeting of different projects. All while embracing a social atmosphere and competing with Kickstarter and other crowd funding operations.
• There's literally no overhead for Apple. iTunes already exists, it's already hugely profitable, and it requires very little in the way of future advancements. Depending on how Hollywoodlike Apple wanted to be, they could simply fund filmmakers and distribute the finished projects or operate like a traditional studio. Either way is good. A mixture of both is ideal. So, whether it's writing a check to fund a $15 million production or putting a $250 million blockbuster epic together from scratch... The money is meaningless to Apple. Remember, $150 BILLION in cash reserves. A $5 Billion entertainment division is literally a drop in the bucket.
• Because of low overhead, the margins would be high! Apple loves profit margins. It's what they do. Now, say they gave an indie filmmaker $10 million to make a movie. Then, selling the thing on iTunes for $10 means it only needs to be bought 1 million times to break even. iTunes has over 800 million accounts worldwide. So to turn out a break even indie film, 1 out of every 800 iTunes users would have to plunk down their $10. Seems doable. But they'd actually sell it for $15 or $20, so there's that. Plus revenues from rentals...
• Lastly, doesn't Apple pride itself on making the tools of choice of professional filmmakers and musicians? Logic Pro, Final Cut Pro, Mac Pros, MainStage, Motion, etc. If iProds existed it could be a showplace of all these technologies, because we'd all know that Apple software was utilized every step of the way. Apple loves cross-promotion almost as much as profit margins.

And to be perfectly clear, this all applies to all forms of media. Music, movies, television, etc. Seems to be working for Sony with their different hardware, software, and entertainment divisions.

Now, like Apple or not, this is a great idea that should be happening right now! I will say this though, Google is more than welcome to give it a shot too. It's not quite as seamless as with iTunes, but Google could definitely pull it off if they wanted to. If Apple and Google both try it, we all know that Facebook with try and fail at it too. This is all good for the industry, the consumers, and competition in general.

So that's my Christmas Wish. Don't let me down.

P.S. - If it's not too much trouble, Apple, could you also either a) displace Final Draft as the screenwriting industry standard by inventing something superior, or b) (and this is more likely) just buy Final Draft and lower the price of the software. $200 for 46 MB of code is a travesty. Plus, it'd be another feather in your iProds cap. Thanks! See you at the movies!