WarnerMedia to Introduce an Ad-Supported Tier of HBO Max

Aiming to increase its subscriber base, HBO Max is launching a lower priced, ad-supported tier in the first week of June. The new tier is priced at $9.99 a month versus the ad-free tier at $14.99 a month. Subscribers to the lower priced tier will not have access to Warner Bros. features that debut simultaneously in theaters and on the higher-priced tier. WarnerMedia revealed that the ad-supported version will serve “limited commercials,” and allow advertisers to reach viewers in a way they cannot on linear TV. The company is also planning steps toward global expansion. Continue reading WarnerMedia to Introduce an Ad-Supported Tier of HBO Max

Rotten Tomatoes to Debut Channel on Roku, Peacock, Xumo

Rotten Tomatoes has been synonymous with movie scores since it was cooked up by three UC Berkeley undergrads in 1998. The site aggregates reviews from professional critics and provides a “Tomatometer” that averages out the reviews with a Fresh rating when 60 percent or more are positive or Rotten if it goes below that threshold. It also provides an audience score, based on what Rotten Tomatoes users think. Now, the company is debuting an ad-supported OTT service called the Rotten Tomatoes Channel, currently on Roku, to offer nonstop content and a lifestyle brand. Continue reading Rotten Tomatoes to Debut Channel on Roku, Peacock, Xumo

Nielsen Debuts Ratings Tool That Measures Streaming Video

Nielsen debuted its Streaming Video Ratings, which will measure streaming activity including how the different platforms compare, the devices being used and the streaming behavior of different audience cohorts. Nielsen stated 10 services will be tracked although it initially didn’t name them. But, since last summer, it has included Amazon Prime Video, Disney+, Hulu and Netflix in its weekly content ratings. The syndicated Nielsen Streaming Video Ratings is powered by Nielsen’s NPower audience insights platform. Continue reading Nielsen Debuts Ratings Tool That Measures Streaming Video

Deloitte Report: Gen Z Entertainment Choice is Video Games

Deloitte’s 2021 Digital Media Trends survey revealed the entertainment tastes of Generation Z, those aged 14 to 24 years old. About 26 percent named video games as their No. 1 entertainment activity, and 87 percent in the age bracket said they play video games daily or weekly. Second most popular entertainment activity is music, at 14 percent, following by surfing the Internet (12 percent) and social media (11 percent). In fifth place, 10 percent of Gen Z said watching TV or movies was their favorite entertainment. Continue reading Deloitte Report: Gen Z Entertainment Choice is Video Games

Apple Music Pays 1 Cent per Stream but Metric Is Misleading

Apple Music informed musicians that it pays one penny per stream, which is roughly double the rate paid by Spotify, the world’s largest music streaming service. Spotify pays about one-third to one-half penny per stream, which is potentially offset by its 155 million subscribers (out of 345 total active users) versus Apple Music’s 60+ million. The Union of Musicians and Allied Workers (UMAW) responded to Apple’s announcement by saying that all music streamers should pay one penny per stream “at a minimum.” Continue reading Apple Music Pays 1 Cent per Stream but Metric Is Misleading

Amazon Will Debut New UI for Fire TV Stick 4K, Fire TV Cube

Next month, Amazon is slated to launch a new Fire TV interface for its Fire TV Stick 4K and Fire TV Cube streaming devices. In 2016, Amazon pioneered the “content-first user experience,” which listed rows of movies and TV shows from various streaming apps on the home TV. This idea was picked up by many others in the industry, including Google, Vizio and LG. But, as the number of streaming services has expanded, this model has become unwieldy and chaotic — and Amazon is about to rein it in via a simplified navigation bar. Continue reading Amazon Will Debut New UI for Fire TV Stick 4K, Fire TV Cube

Roku Purchases Quibi Shows, May Produce Original Content

Roku is apparently planning to expand its VOD offerings by producing its own original content, having placed a LinkedIn ad in January looking for a “lead production attorney … [with] substantial experience in television and film production either at a studio, network, streaming service or entertainment law firm [for its] expanding slate of original content.” The ad also asked for someone with “experience working with Hollywood guilds and unions.” Roku recently purchased original content from the startup Quibi. During the holiday quarter, Roku experienced a 58 percent jump in revenue. Continue reading Roku Purchases Quibi Shows, May Produce Original Content

Spotify Reports Q4 Subscriber Growth, Focuses on Podcasts

Spotify Technology SA posted unexpectedly strong subscription growth during Q4 2020, to 345 million monthly active users, up 27 percent from a year earlier. Paid subscriptions grew 24 percent above the same period last year to 155 million. But average revenue per subscriber fell 8 percent to €4.26 ($5.13) due to discounted plans and lower rates in India and Russia. The company’s 2021 outlook takes into account that such growth could diminish in 2021. Shares of the company fell 9 percent to $315. Continue reading Spotify Reports Q4 Subscriber Growth, Focuses on Podcasts

LG’s Major Stake in Alphonso Boosts Its Streaming Ad Goals

Just prior to CES 2021, LG Electronics stated it spent $80 million to take a 60 percent stake in Alphonso, an advertising technology, data and measurement company, to advance its aim of building a streaming-TV advertising business. LG is buying out Manifest Investment Partners and other existing Alphonso investors. Founders, current and former employees and “various advisers” will hold onto the remaining shares. The company, which had a pre-money valuation of about $125 million, has raised $6.3 million thus far. Continue reading LG’s Major Stake in Alphonso Boosts Its Streaming Ad Goals

AT&T to Launch Ad-Supported HBO Max and Mobile Service

AT&T plans to introduce a lower-cost, ad-supported version of HBO Max in the spring, said chief executive John Stankey, who added that it would be a “light ad load.” Some shows, however, would only be available to subscribers who pay for the full-price version. With the move, HBO Max is joining Hulu and NBC’s Peacock that also offer a free or lower-price version that comes with commercials. Stankey also revealed the company is considering ad-supported wireless phone plans as soon as a year from now. Continue reading AT&T to Launch Ad-Supported HBO Max and Mobile Service

NBC Debuts Streamer Peacock with Free, Ad-Supported Tier

NBCUniversal’s streaming platform Peacock debuted today with three tiers: a free, ad-supported plan that features thousands of hours of content; a $4.99-per-month subscription that offers more than double the content of the base plan; and a $9.99 premium version without ads (both paid plans offer discounted annual subscriptions). Users of the free version can surf among 20 feeds, one featuring favorites like “Everybody Loves Raymond” and “The King of Queens,” another with NBC’s morning program “Today,” and another dedicated to its late-night shows. By offering a free version, said Peacock chair Matt Strauss, NBCUniversal is betting that people are looking for “more affordable options.” Continue reading NBC Debuts Streamer Peacock with Free, Ad-Supported Tier

Deloitte Study Warns Growth in Streaming Subs May Not Last

Per the 14th annual edition of Deloitte’s Digital Media Trends study, the average U.S. consumer now pays for four streaming-video services, up from three before the COVID-19 pandemic. Deloitte warns that, once lockdown restrictions are lifted, consumers may cut back on their streaming again. Pre-COVID, 73 percent subscribed to at least one paid streaming service, a number that has risen to about 80 percent. Deloitte compared the findings of a December 2019-January 2020 survey with a second one conducted in May 2020. Continue reading Deloitte Study Warns Growth in Streaming Subs May Not Last

ViacomCBS Reportedly Developing a New Streaming Service

The newly integrated ViacomCBS is combining its assets to fuel a streaming service based on CBS All Access, say sources. Executives are reportedly considering an ad-supported service that will integrate Viacom’s Pluto TV, Nickelodeon, BET, MTV, Comedy Central and Paramount Pictures with CBS All Access. Also on the drawing board is an ad-free version and a premium version including Showtime. No name or price point have been set, although sources stated the basic services will probably be less than $10/month. Continue reading ViacomCBS Reportedly Developing a New Streaming Service

Netflix Tests Feature to Skip Browsing and Begin Streaming

Netflix started a global test of a new feature — dubbed Watch Now — that allows users to skip browsing titles and begin streaming immediately. The new feature will appear as a button on the profile selection page that opens when the Netflix app launches on a smart TV or streaming device. Netflix is well known for testing features with specific local markets, device categories or audiences. Watch Now is being tested for a month or two with a small worldwide audience on TVs and TV-connected devices including Roku and Fire TV. Continue reading Netflix Tests Feature to Skip Browsing and Begin Streaming

TV Maker Vizio to Sell Ads on SmartCast Operating System

Television manufacturer Vizio is forming Vizio Ads to sell advertising on its Internet-connected SmartCast TV operating system. To do so, the company plans to hire “about two dozen” ad salespeople across the U.S. next year. Senior vice president Mike O’Donnell, who revealed that six salespeople have already been hired, stated that Vizio Ads will be housed with Vizio’s TV data unit Inscape, both of which reside in the company’s “platform business.” Currently, advertising is sold by companies whose programming streams on SmartCast. Continue reading TV Maker Vizio to Sell Ads on SmartCast Operating System