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Yesterday, Cupertino got the kind of fevered coverage usually reserved for the unveiling of Apple’s latest gadget. But this time, the product wasn’t a watch or a phone.

During the two-hour event at the Steve Jobs Theater on Apple’s campus, the company’s leaders detailed its plans to take on Hollywood by creating its own TV shows and documentaries. They also announced a news subscription service and a credit card.

Yes, big-name celebrities like Steven Spielberg, Oprah Winfrey and Reese Witherspoon were on hand for the spectacle. But tech watchers were also paying close attention because the announcements are part of a major shift for the Silicon Valley mammoth.

Here’s what you need to know:

Why is this such a big deal?

Apple has spent a decade establishing its dominant place in consumers’ pockets by getting them hooked on iPhones. But after years of record-breaking profits, phone sales are slowing and the company is facing intense competition from the likes of Amazon and Netflix.