Microsoft Corporation (MSFT)’s New Toy Is a Preemptive Attack on Apple Inc. (AAPL)

The more you think about it, the more you may start to realize that Apple Inc. (NASDAQ:AAPL) may already be too late.

The only way Apple could realistically have a game-changer in an Xbox One world would be to revolutionize pay TV. Rolling out a piecemeal service in which consumers pay only for the channels that they watch — or the content that they watch — would more than justify Apple’s inevitably high price.

The problem, unfortunately, is that cable networks have every reason to be uncooperative here. They stand to lose big money if Apple disrupts cable and satellite television providers. If Apple Inc. (NASDAQ:AAPL) hasn’t been able to get iRadio off the ground as negotiations with the music labels have been reportedly rough, how is Apple going to talk studios and content creators to disrupt a model that will save consumers money at their expense?

The Xbox One is bigger blow to Apple than you might think.

The article Microsoft’s New Toy Is a Preemptive Attack on Apple originally appeared on Fool.com.

Longtime Fool contributor Rick Munarriz has no position in any stocks mentioned. The Motley Fool recommends Apple and owns shares of Apple and Microsoft.

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