CBS chief: Apple puts Internet TV plan on hold, for now

New reports say Apple is suspending its efforts to create an over-the-top Internet television service, deciding instead to make it easier for content owners to go direct to consumers through its App Store.

CBS Chief Les Moonves Tuesday said Apple had put the project on hold, during a discussion at the Business Insider Ignition conference, adding that he believes the company will eventually move forward with the plan.

Apple has, for months, been rumored to be on the cusp of announcing a trimmed-down pay-TV service that would cost $40 a month and deliver a “skinny bundle” of 12-15 channels.

But media companies have balked at supporting it, and reports have said the company has been reluctant to pay the prices being demanded for content.

Recent research said the “typical” pay-TV bundle costs about $100 a month, with many consumers paying upwards of $150.

Moonves said Apple’s strategy would be a hit with consumers.

“This will happen,” Moonves said. “It has four major networks and 10 cable networks, let’s say, and the price point will be in the $30s, $30 to $35, $40 maybe. People will not be spending money on channels they don’t want to watch.”

For now, Apple will help media companies go over the top to its mobile devices.

Stay tuned.

Jim O’Neill is Editor of Videomind and Principal Analyst at Brightcove. You can follow him on Twitter @JimONeillMedia and on LinkedIn