Another streaming service coming despite ‘broken’ business model?

Sep 21, 2021 at 10:14 pm by admin

As streaming ‘comes of age’ with The Crown’s Emmy accolades, News Corp is reported to be planning another subscription service into Australia.

Nine Entertainment’s Zoe Samios writes on the Brisbane Times website that Foxtel has been tipped to release details of a streaming service based on news shortly.

The service branded 'Flash' will cost around $10 a month, delivering live news channels expected to include CNN, BBC and Sky News.

An announcement is expected as Foxtel – which is 65 per cent owned by News Corp – prepares for “strategy day” sessions from September 29 to October 1 across the US and Australia. Presenters are to include News Corporation chief executive Robert Thomson and Andy Penn, chief executive of partner Telstra.

Samios says the strategy day is seen as a sign that Foxtel is set to be floated on the stockmarket

Meanwhile News’ The Australian has reported results of an annual Deloitte media consumer survey show 80 per cent of Australian households now have at least one paid digital entertainment subscription – including streaming video, music and gaming subscriptions. The average Australian household now has 2.3 streaming video subscriptions, while 71 per cent of households have both a traditional pay-TV service and a TV and movie streaming video service.

Netflix – which won several Emmy awards this week for its' The Crown series (pictured) – is the most popular streaming service, with Roy Morgan data showing that it had more than 11.9 million Australian subscribers at the end of 2019.

In the Australian Financial Review, Miranda Ward reports that Netflix, Amazon Prime Video and Disney+ are now the leading players in Australia's subscription video-on-demand sector, according to Telsyte research, with Nine’s Stan at fourth place.

Deloitte’s Leora Nevezie is quoted anticipating that aggregation of content from rival streaming providers will be the next major trend in the sector, arguing that the current model in which consumers with multiple subscriptions must switch between apps to view content from each one is "completely broken".

Sections: Digital business


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