December 9, 2019
Comcast’s NBC Universal business unit next year launches Peacock, a branded subscription and ad-supported streaming video platform.
Peacock will be available for free (with ads) to Xfinity subscribers and for a fee to non-pay-TV subs.
Speaking Dec. 9 at the UBS Global TMT Conference in New York City, Mike Cavanagh, CFO of Comcast Corp., disclosed that the media company plans to spend upwards of $2 billion on original content and marketing over the first two years for the streaming service.
Cavanagh said spending on Peacock would peak at 1% of Comcast revenue with the goal of breaking even within five years.
“We think we have a special opportunity [with Peacock],” Cavanagh said. “Clearly, advertising are going to be looking in this world for opportunities to reach new audiences.”
He said Comcast is replicating “the same mindset” it applied to launching Xfinity Mobile, the telecommunications business Cavanagh said it projected to break even by 2021.
Comcast is holding an investor day event for Peacock on Jan. 16, 2020.