Tag Archive: HBO

Streaming TV Services Bringing Web Congestion

HBO, Showtime, and Sony Corp. are jumping into online television. But instead of putting their Web traffic on the public Internet’s main thoroughfare, they want to be in a separate lane that would ensure their content gets special treatment.

Those companies have talked to major broadband providers such as Comcast Corp. about having their Web TV services treated as “managed” services, according to people familiar with the discussions. In effect, that would move them away from the congestion of the Internet, which they fear will only get worse as more people opt to stream movies and TV shows on the Web.
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HBO NOW Premiering in April on Apple TV

Apple® and HBO announced HBO NOW is premiering next month, making an HBO subscription available directly to Apple customers for the first time ever. iPhone®, iPad®, iPod touch® and Apple TV® users can purchase HBO NOW directly in-app as a standalone service to watch every episode of every season of the best of HBO’s original programming, as well as the biggest and latest Hollywood hit movies, groundbreaking documentaries, sports and exclusive comedy specials—for just $14.99 a month.

“HBO NOW is the next phase of innovation at HBO,” said Richard Plepler, Chairman and CEO, HBO. “With this new partnership, a natural evolution for the network, we have access to millions of Apple customers who are used to getting their favorite apps immediately. Now, they can do the same with an HBO subscription.”
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Seventeen percent of U.S. broadband households are likely to subscribe to an OTT HBO service

New Parks Associates video research finds 17% of U.S. broadband households are likely to subscribe to an over-the-top (OTT) video service from HBO. Among these likely subscribers, 91% are currently pay-TV subscribers, and roughly one-half would cancel their pay-tv service after subscribing to this HBO OTT service. The research firm reports the average head of household in a U.S. broadband household watches nearly 3.5 hours of OTT video each week on a TV set.

The 360 View Update – Market Focus Consumer Segmentation: OTT Video Buyers, which includes a Q4 2014 survey of 10,000 U.S. broadband households, finds an HBO OTT offering will create competitive challenges for all ecosystem players, including Netflix, Amazon, and pay-TV providers.

“HBO picked a good time to announce its standalone HBO Go OTT service in the U.S.,” said Glenn Hower, Research Analyst, Parks Associates. “The percentage of subscribers interested in OTT video services is trending upward, and more industry players are planning to launch their own OTT services. DISH announced at CES 2015 that its OTT service, Sling TV, will include live TV such as CNN, ESPN, ESPN2, TNT, and TBS. Sports programming could be a major addition for standalone OTT services as sports is one of the primary reasons consumers elect to keep pay-TV services.”

“2015 is set to be the year of OTT,” said Brett Sappington, Director, Research, Parks Associates. “Along with the new services from CBS, HBO, and DISH, we expect several other players to launch or announce services in the U.S. market in the next few months. In Canada, Rogers Communications and Shaw Communications unveiled their shomi online video service in November. In Europe, several players are starting up new OTT services to counter the entry of Netflix into their markets. Others are expanding their OTT offerings in order to reach customers both in their home markets and expatriates who want to watch programs from home.”

Over 50% of U.S. broadband households subscribe to an OTT video service, but Parks Associates analysts say this finding does not mean consumers are ready to abandon their televisions.

“This shift to the use of OTT on the TV screen will impact the entire ecosystem, including pay-TV providers, broadcasters, cable networks, and advertisers. Everyone will need to adjust to a new way of doing business,” Sappington said.

“Television is not dying, but it is evolving,” Hower said. “Linear video comprises only a slim majority of video viewed on the TV screen at 51%, and overall video consumption has shifted to on-demand sources. The age of appointment television is coming to a close, and programming will need to adapt to an on-demand environment.”

Source: http://www.parksassociates.com/blog/article/pr-jan2015-ott-hbo

HBO to Offer a Stand-Alone HBO Streaming Service in 2015

Speaking at the Time Warner Inc. Investor Meeting yesterday, Richard Plepler, chairman and CEO, HBO, announced that the company will offer a stand-alone HBO streaming service in 2015.  Following a portion of his presentation focused on HBO’s domestic business, during which he cited significant growth opportunities inside the pay-TV universe, Plepler then turned to the current ten million broadband-only homes, which is projected to grow.

hbo-go

Plepler then added:

“That is a large and growing opportunity that should no longer be left untapped.  It is time to remove all barriers to those who want HBO.

“So, in 2015, we will launch a stand-alone, over-the-top, HBO service in the United States. We will work with our current partners.  And, we will explore models with new partners.  All in, there are 80 million homes that do not have HBO and we will use all means at our disposal to go after them.”