Apple (AAPL) is in talks with Comcast (CMCSA) about a streaming-television service that would allow Apple set-top boxes to provide content to Apple TV owners, The Wall Street Journal reported Sunday.
Citing people familiar with the matter, the Journal said that the arrangement under discussion would have Comcast, the nation’s largest cable provider, give special treatment on its cable system to the iPhone maker to ensure the video data would get around Web congestion and thereby offer optimal streaming capabilities.
The discussions are said to be in the very early stages, the report said, adding that Apple — if a definitive agreement is reached — intends to allow users to stream live and on-demand TV shows and digital recordings stored in “cloud” servers. If it goes through, the deal would mark a new level of collaboration between technology and cable TV companies.
Shares of Apple are up nearly 1% in pre-market trading today, while Comcast stock is up 1.10%.