Apple, Comcast in Talks for Streaming-TV Service (Report)

Apple TV

The service would use Apple's own set-top box to provide content to Apple TV owners.

Apple is in talks with Comcast about a streaming TV service that would use its own set-top box to provide content to Apple TV owners, the Wall Street Journal reported Sunday.

Citing anonymous sources, the Journal reported that Apple is seeing "special treatment" from Comcast to ensure that it would not be subject to web congestion and thereby offer optimal streaming capabilities.

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The discussions are said to be in the very early stages, but Apple is reportedly aiming to allow users to stream live and on-demand content and digital video recordings in the cloud. This would, in effect, replace the traditional cable set-top box.

Comcast would have to invest in its own network to make such a service available. As part of a deal, Apple reportedly would ask for part of the subscription revenue.

Apple is expected to launch a new version of Apple TV sometime in the near future. Last month, it was reported that Apple was in talks with Time Warner Cable and others about adding video content to the service, which it hoped to have available for sale by Christmas. The new device will reportedly have a faster processor and upgraded interface that makes it more user-friendly.

The news of Comcast's talks with Apple comes on the heels of last month's announcement that it is planning to acquire Time Warner Cable.