:max_bytes(150000):strip_icc()/GettyImages-2241216640-0844284fc2d84d47b474d2487e11cb3e.jpg "Apple’s Formula 1 Deal Has the Tech Giant Accelerating Its Sports Offerings")
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Key Takeaways
- Apple and Formula 1 agreed on a deal to broadcast Formula 1 races exclusively on Apple TV in the U.S. The agreement also includes Apple TV coverage of practices and other F1 events.
- The move is an expansion of Apple’s relationship with F1—as well as an extension of its move into live sports.
Apple is driving further into sports broadcasts.
The tech giant said it scored an agreement with Formula 1 to broadcast races and other content exclusively on Apple TV in the U.S. The deal, which begins next year, will include “comprehensive coverage of Formula 1, with all practice, qualifying, Sprint sessions, and Grands Prix,” as well as select races and all practice sessions for free on Apple TV. Financial terms were not released.
Apple (AAPL) is adding sports programming as streaming continues to shake up the live sports media business. The company known for iPhones and iPads has also shown Major League Soccer and Major League Baseball games.
Why This Matters to You
Sports fans are by now accustomed to having to look around a bit to find live broadcasts of their favorite sports and leagues in the streaming-video era. The latest change is Apple’s pick-up of Formula 1 racing, which adds to its sports options, as the company continues to work to grow its services business alongside its core product offerings.
The company is seeking to expand its services business, which made up about a quarter of its sales for the first nine months of its latest fiscal year, while also refreshing its product lineup. Apple earlier this week announced a deal to bundle AppleTV+ with Comcast-owned (CMCSA) Peacock, part of its NBCUniversal branch.
Apple’s shares were recently up about 0.4% in Friday trading. The stock was down about 1% this year through yesterday’s close. (Read Investopedia’s full daily markets coverage here.)
Eddy Cue, Apple’s senior vice president of Services, in a statement said Apple would be offering subscribers “front-row access to one of the most exciting and fastest-growing sports on the planet.” Formula 1 CEO Stefano Domenicali said the move would “ensure we can continue to maximize our growth potential in the U.S.”
Apple released an “F1” motion picture this summer, which it said earned more than $600 million at the box office worldwide. It plans to stream the movie in December.
