Pricing has also yet to be disclosed. Netflix charges new members $8.99 for its streaming service; HBO is expected to charge more. “It’s a premium product and it will be priced accordingly,” HBO’s chief executive officer, Richard Plepler, told analysts last month.

The loss of exclusive access to HBO is likely to contribute to increased numbers of cord-cutters – as people who drop cable packages for standalone broadband access are known. A recent study from tech analyst Parks Associates predicted HBO Now could chip 7% off the pay-TV subscriber base.

However, the cable giants remain the primary way that broadband is delivered in the US and the companies are more than making up the small losses they have suffered from cord cutting with fees for high-speed internet access.

From the article "Apple and HBO 'in talks over streaming partnership'" by Dominic Rushe.

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