Apple to Announce 'Newspaper Subscription Plan' for iPad

Apple plans to announce a new "subscription plan for newspapers," which hope tablets like the iPad will eventually provide a new source of profits as media companies struggle with declining print circulation and advertising revenue. The Cupertino company has agreed to provide an opt-in function for subscribers to allow Apple to share with publishers their […]

Apple plans to announce a new "subscription plan for newspapers," which hope tablets like the iPad will eventually provide a new source of profits as media companies struggle with declining print circulation and advertising revenue. The Cupertino company has agreed to provide an opt-in function for subscribers to allow Apple to share with publishers their information, which includes vital data that news organizations use to attract advertisers, industry sources say.

Publishers "want the data of their customers so they can integrate it into their circulation database so they know who their customers are," said Roger Fidler, who works with many newspapers.

Roger also said Apple probably will take a 30% cut of all subscriptions sold through the company's online App Store, and as much as 40% of the advertising revenue from publications' apps.

[Source]