This isn’t strictly speaking a radio story, but it could be.
News Corp is perhaps selling its 65% interest in Foxtel. The other 35% is owned by Telstra.
In News Corp’s August 8 fiscal year to June 30, 2024 results media release they said:
“At the Subscription Video Services segment, Foxtel Group saw strong streaming performance, with both Kayo and BINGE achieving record paying subscribers, and ended the fiscal year at over 3.2 million total paying streaming subscribers”
So it’s not a bad asset to acquire.
Chief Executive Robert Thomson said:
“We are confident in the Company’s long-term prospects and are continuing to review our portfolio with a focus on maximizing returns for shareholders. That review has coincided recently with third-party interest in a potential transaction involving the Foxtel Group, which has been positively transformed in recent years. We are evaluating options for the business with our advisors in light of that external interest.”
The third party is as yet unknown.
Nine already own the BVOD 9Now and subscription based Stan, with Digital, Subscription and Licensing making up nearly half of their revenue.
Last November’s Deloitte Media and Entertainment Consumer Insights annual report showed that we are as a nation cutting back on subscription services post Covid. For a radio network though, access to a platform like Kayo, that provides exclusive access to some sports, might be a worthy addition to their portfolio of offerings to advertisers.
Jen Seyderhelm is a writer, editor and podcaster for Radioinfo
"Last November’s Deloitte Media and Entertainment Consumer Insights annual report showed that we are as a nation cutting back on subscription services post Covid."
Foxtel has recently raised its subscription rates while channels left the Foxtel neywork.
This results in a fragmented market such that one streaming service does not provide all the viewers' needs.
That requires subscribing to a number of services where before was provided by one
Then newer streaming services are providing additional content.
Consequently the consumer accumulates so much in subscription services resulting in consumers "....cutting back....".
One reason also for cutting back is if the consumer only subscribes to a streaming service for one series, the rational consumer cuts back.
Other options include buying discs new or used, watching YouTube videos even using browser add-ons that bypass ads and download videos .
Thanks,
Anthony, Strathfield South in the land of the Wangal and Darug People's of the Eora Nation