Apple is going to make the claim that the name Apple Theaters is confusing because Apple now makes content

Yeah, no, that's not the claim Apple is "going to make". If you had actually read the article, you'd know that Apple's attorneys have already made the claim. We can just read what they said instead of speculating.

Apple has very strong trademark rights in connection with a wide range of goods and services, including movie distribution, its attorneys said.

Wow what do you know, it's not the claim that you are arguing. So... your argument is about an imaginary situation that isn't actually happening (kinda like a man made of straw 🤔).

They're both movie distributors.

a streaming service and an in person movie theater are clearly not the same thing or even competing with each other

I wonder if you typed this with a straight face. I couldn't read it with one. 😂 Streaming services and movie theaters aren't competing? Have you been to a theater lately? It's a good thing you're not Apple Cinemas' lawyer...

EDIT: LOL you can downvote me but it doesn't change reality