Fox Nation Ups SVOD Subs 80% in FY 2022, Tubi Eyes 45% Ad Revenue Growth

Spurred in part by the brand’s strength across cable television, the Fox Nation subscription streaming video service saw an 80% increase in paid subscribers for the fiscal year ended June 30, based in part on strong conversion rates from free trial subscribers.

Parent Fox Corporation has not disclosed Nation subscriber numbers since launching the politically themed SVOD in 2018. A recent Kagan research report on cable news SVOD subscribers found that less than 5% of the 2,500 survey respondents subscribed to the platform.

Speaking on the Fox Corporation Aug. 10 fiscal call, CEO Lachlan Murdoch suggested the Fox Nation viewership gains reflected Fox News’ ongoing domination of the cable news market.

“Fox News was the only cable news network to post viewership gains in the fiscal year in the key 25-54-year-old demographic,” Murdoch said, adding that the network saw 30%+ viewership hikes among Latino and Asian demographics.

Separately, Murdoch said that Tubi, the Fox-owned ad-supported VOD and free ad-supported streaming television platform, realized a 45% growth in revenue over the past 12 months of the fiscal year, driven by a nearly 40% jump in monthly average users.

“Both metrics came in better than planned, reinforcing our decision to invest in this strategic asset,” Murdoch said. Fox acquired Tubi in 2020 for $440 million.

The executive said that Tubi users increased 34% in the fourth quarter, underscored by the addition of 25 linear channels on the platform, expanded the VOD library to more than 45,000 titles, and premiered 13 Tubi original programs.

“We will continue to invest judiciously in Tubi with our sights set on achieving $1 billion in revenue run rates in the next couple of years,” Murdoch said.

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For the fiscal year, Fox reported total revenue of $13.97 billion, an 8% increase from the $12.91 billion reported in the prior year. Advertising revenue increased 9%, primarily due to higher pricing at Fox Sports and Fox News Media, continued growth at Tubi and the return of a full schedule of live events at Fox Sports.

These advertising gains were partially offset by lower political advertising revenue. Other revenue increased 15%, primarily due to higher sports sublicensing revenue and Fox Nation subscription revenue, in addition to the impact of the consolidation of entertainment production companies at the television business segment, which include MarVista Entertainment, TMZ and Studio Ramsay Global.

Tubi Reached 51 Million Users, 3.6 Billion Hours Streamed in 2021

Tubi May 2 unveiled that, on the heels of a banner year, it will debut more than 100 original titles in the next 12 months. In 2021, the Fox Entertainment-owned ad-supported VOD platform ended the year with 51 million active users and a record-breaking 3.6 billion hours streamed — up 40% from 2.57 billion hours consumed in 2020.

Tubi said it has seen double-digit growth in all audience segments over the past year — with the most growth among college educated and affluent demos, placing Tubi on par with U.S. national averages. With an average viewer 16+ years younger than non-streamers, Tubi’s audience is nationally representative across geographic, economic and educational segments, and includes a large multicultural audience, comprising 20.4 million (40%) of its user base.

Tubi genres include Black Cinema, thriller, horror, sci-fi, romance and adult animation genres; and also providing a new opportunity for brands to integrate early during the development of its originals slate. Tubi’s library — at 40,000+ titles, claims to be the largest in the free ad-supported streaming market.

Tubi will expand its linear offerings to complement the platform’s current lineup of more than 100 sports and local news channels. Channels for Fox Entertainment’s “The Masked Singer,” “TMZ” and Studio Ramsay Global’s “Gordon Ramsay,” will join Tubi Originals and Tubi en Español, which will soon be available on the platform.

In addition, Tubi will continue to maximize synergy throughout the Fox portfolio — including co-productions with Emmy Award-winning animation studio Bento Box Entertainment and MarVista Entertainment, as well as monthly documentaries and specials from Fox Alternative Entertainment and TMZ, respectively.

“Tubi’s approach of personalization allows for content for every community, and our record growth shows it’s working. We’re doubling down on this approach while delivering our brand partners transparency and an opportunity to reach incremental, diverse and highly engaged consumers,” Mark Rotblat, chief revenue officer at Tubi, said in a statement.

Tubi recently released “campaign insights,” a first-of-its-kind analysis that brings together content groupings, or “content clusters,” with audience information, and gives brands the ability to match audience and context, just like on TV, but with the power and transparency of digital.

Tubi’s latest forward-thinking ad solutions for brands provide actionable insights across the marketing funnel, complementing its “certified measurement program,” which includes partnerships and integrations with leading measurement companies, such as TVSquared, Foursquare and Kantar. Together with Tubi’s low ad load and Advanced Frequency Management tool, which caps exposure at the campaign level regardless of demand source, Tubi’s ad tech also includes organic in-app placements, prime pod positioning and integrated marketing opportunities that complement the viewer experience while driving impact.

Last week, Tubi announced that it’s working with Nielsen on an expansion of its relationship as one of the first AVOD services that will offer complete measurement across its entire footprint of more than 25 devices, advancing advertisers’ needs for third-party measurement.

Tubi recently released findings from The Stream: 2022 Audience Insights for Brands, demonstrating Tubi, together with Fox, offers incremental reach: 71% of Tubi streamers are unreachable on cable, 56% are unreachable on linear TV, and 27% are unreachable on any other major free streaming platform. The findings also found that this year, AVOD will surpass SVOD with respect to market share.

Fox Corp. Ups Q2 AVOD, SVOD Revenue, Costs

Fox Corp. on Feb. 9 reported a second quarter (ended Dec. 31, 2021) loss of $85 million on revenue of $4.44 billion. That compares with net income of $224 million on revenue of $4.09 billion in the previous-year period.

While some of the revenue gain was attributable to increased Fox Nation subscriptions and Tubi advertising revenue, the platforms also generated higher operating expenses.

The media giant has staked much of its future on digital distribution, including both subscription and ad-supported streaming video properties Fox Nation and Tubi, respectively.

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Fox Nation helped increase “other” segment revenue nearly 22% to $145 million from $119 million in the prior-year period. But operating expenses in the “cable network programming” unit, which includes the SVOD service and higher programming rights amortization at the national sports networks, increased almost 6.5% to $837 million, compared with $786 million in expenses a year ago.

In the television business segment, which includes Tubi, as well as the acquisitions of MarVista Entertainment and TMZ, the properties helped increase “other” revenue almost 25% to $156 million, from revenue of $125 million a year earlier. Total TV unit revenue increased almost 8% to $2.7 billion, from $2.5 billion a year ago.

At the same time, Fox’s decision to focus its over-the-top video goals around AVOD and free ad-supported streaming television, instead of SVOD, upped the segment’s operating expenses more than 10% to $2.8 billion, compared with operating expenses of $2.5 billion a year earlier. Tubi was prominently featured across Fox NFL broadcasts throughout the quarter.

The segment reported a pretax loss of $273 million, as compared to a loss of $185 million reported in the prior year quarter, as the revenue increases were more than offset by higher expenses, including increased digital investment at Tubi.

Tubi, like most streaming properties, has begun to invest in original programming rather than recycle catalog content. The platform is set to bow original Valentine’s Day themed movie 10 Truths About Love on Feb. 11, starring Camilla Belle. Last December, Tubi announced a film distribution deal with the Village Roadshow Entertainment Group to produce multiple films from the latter’s newly announced “Black Noir Cinema” initiative.

Tubi said it streamed 3.6 billion hours in 2021, a 40% year-over-year increase in total viewing time across its library of more than 40,000 titles.

Regardless, Fox CEO Lachlan Murdoch said the quarterly results faced tough comparisons from 2021 when many of the company’s platforms benefited from national election spending.

“Against the high bar we set in our fiscal second quarter last year, we have once again delivered revenue and [pretax] growth, while continuing to invest in our digital growth initiatives,” Murdoch said in a statement. “This focused portfolio is delivering consistent growth for our shareholders in a thoughtful and disciplined manner.”

Fox Q1 Ad Revenue Spikes 17% to $1.1 Billion Thanks to Tubi, Live Sports

Fox Corp.’s cold shoulder to subscription video-on-demand continues to pay dividends on the bottom line. The media company Nov. 3 reported that first-quarter fiscal-year 2022 (ended Sept. 30) ad revenue increased 17% to $1.13 billion, from $969 million in the previous-year period. Total revenue increased 12% to $3.05 billion, from $2.72 billion a year earlier.

Lachlan Murdoch

CEO Lachlan Murdoch attributed the increase in part to the company’s focus on AVOD and free ad-supported streaming TV and the return of a full schedule of live events at Fox Sports and more scripted programming at Fox Entertainment compared with the postponements and cancellations in the prior year quarter as a result of the pandemic.

Fox acquired Tubi in April 2020 for $440 million, quickly bolstering the AVOD platform with catalog, primetime network shows, i.e. “The Masked Singer,” and original programming.

“We have made a strong start to the 2022 fiscal year with broad-based operating momentum led by the return of a full slate of live events at Fox Sports and exceptional progress at Tubi,” Murdoch said in a statement.

Murdoch said that as TV viewers migrate back to live news, sports and increase their streaming, the trends underscore the strategy and priorities that have defined Fox since its asset (20th Century Fox Studios) sale to Disney.

“We remain focused on bolstering our core brands and leveraging the unique assets that distinguish us to further propel growth and drive value for our shareholders,” he said.

TiVo Extends IP License With Fox

TiVo and Fox Corporation July 14 announced a long-term renewal of their patent license. The renewal provides Fox with continued and expanded coverage under TiVo’s patent portfolios.

“We are very pleased to conclude this agreement with Fox, a producer and distributor of content through world-leading Fox brands,” Samir Armaly, president of IP licensing at Xperi, said in a statement. “Fox has always worked to bring compelling content to its customers and continues to expand its direct-to-consumer audiences and capabilities.”

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TiVo has spent decades investing in research and development to create market-leading technologies broadly licensing them to the media and entertainment industry. TiVo’s innovations make it easier for viewers to find, watch, and enjoy all their content across a multitude of platforms.

Tubi Inks AVOD Deal for 40 Drafthouse Films

AVOD platform Tubi has inked a distribution deal with Drafthouse Films and digital distribution label Giant Pictures for nearly 40 Drafthouse Films titles now streaming with ads for free on Tubi. The collaboration marks the first time nearly all of Drafthouse’s English and foreign-language movies will be available on a single streaming service.

“Alamo Drafthouse has an undeniable reputation of giving cinephiles across the country a one-of-a-kind experience, and we can’t wait for our movie-loving audience to explore these premium indie titles,” Adam Lewinson, chief content officer of Tubi, said in a statement.

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Through June 30, Tubi will be the exclusive streaming home to 20,000 Days on EarthAmbassadorThe Act of KillingA Band Called Death, Borgman, Bullhead, Cheap Thrills, The Congress, The Dog, A Field In England, The Final Member, The FPGracelandI Declare WarKlownKlown Forever, Men & ChickenMood IndigoNothing Bad Can HappenThe Overnighters, Pieta, R100Raiders!: The Story of the Greatest Fan Film Ever Made, Wake In Fright, Why Don’t You Play In Hell? and Wrong.

Tubi will also be the exclusive free home to catalog titles Confetti of the Mind, Dangerous Men, Miami Connection, Ms. 45, Trailer War and The Visitor. Non-exclusive titles include Amira & Sam, The ConnectionThe Keeping Room, The Look of Silence, The Tribe and The World of Karako.

Nick Savva, GM of Giant Pictures, said the caliber of the Drafthouse catalog and the wide streaming distribution provided by Tubi is a “match made in cult movie heaven!”

Fox: Tubi AVOD Offsets Lack of Super Bowl Broadcast

Free ad-supported streaming television platform Tubi keeps paying dividends for Fox Corp. — a year after being acquired for $440 million. The AVOD service contributed to Fox generating $915 million in advertising revenue for the third quarter (ended March 31). That compared to ad-revenue of $1.26 billion in the previous-year period when Fox hosted Super Bowl LIV. Current-quarter ad revenue topped the previous non-Super Bowl period in 2019 by 11% at $812 million.

Fox doesn’t break out Tubi revenue separately, but the company expects the FAST platform to generate $1 million in incremental ad revenue in the fiscal year.

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Through nine months of the fiscal year, ad revenue is tracking at $3.4 billion, compared with $3.7 billion a year earlier.

Tubi’s viewership increased more than 30% and now reaches 40 million monthly active users. Tubi generated more than 275 million hours of total viewing in March, a monthly record for the platform. It also set a quarterly record for total view time with nearly 800 million hours streamed — up more than 50% year-over-year. Tubi streamed more than 2.5 billion hours of content.

“Contrary to the strategy of the major SVOD services, Tubi’s goal is to turbocharge certain genres of content that already make Tubi successful, and thereby allow us to super-serve certain segments of Tubi’s audience. Again, all to continue to drive engagement and therefore monetization to new heights,” CEO Lachlan Murdoch said on the fiscal call.

Murdoch said another important differentiator of Tubi’s content is live local news. Tubi recently closed deals to bring an additional 20 local new stations to the platform later this year. These added stations extend Tubi’s news reach to 24 of the top 25 markets.

“Underpinning the news on Tubi offering our live local news feeds from 18 owned and operated Fox Television Stations,” Murdoch said. “In total, news on Tubi will carry nearly 100 local station feeds in 2021 covering 58 DMAs and offering the most robust local news offering of any free streaming service.”

Tubi Streaming All ‘Friday Night Lights’ Episodes for Free

In celebration of the 15th anniversary of TV series “Friday Night Lights,” Fox Corp.-owned Tubi is streaming all episodes of the high school football-themed drama for free. From creator Peter Berg, “Friday Night Lights” aired on NBC for five seasons beginning Oct. 3, 2006. The series has aired in syndication and on streaming sites since, in addition to retailing on digital and disc — the latter from Universal Pictures and Mill Creek Entertainment.

The series starred Kyle Chandler as a high school football coach and Connie Britton as his wife in the fictional town of Dillon, Texas. The rest of the cast featured characters associated with football and high school.

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Tubi is available on Android and iOS mobile devices, Amazon Echo Show, Google Nest Hub Max, Comcast Xfinity X1, Cox Contour, and on OTT devices such as Amazon Fire TV, Vizio TVs, Sony TVs, Samsung TVs, Roku, Apple TV, Chromecast, Android TV, PlayStation 5, Xbox Series X | S2 and soon on Hisense TVs globally.

With total view time surpassing 200 million hours of content streamed each month since April, Tubi has over 30,000 movies and television shows from over 250 content partners, including every major studio. The service gives fans of films and television programs an easy way to discover new content that is available completely free.

Consumers can also watch Tubi content on the web at http://www.tubi.tv/.

Tubi to Stream ‘Barney & Friends’ Beginning April 9

Fox Corp.-owned Tubi March 25 announced it has entered into an ad-supported VOD content deal with 9 Story Distribution International Limited for six seasons of children’s series “Barney & Friends,” beginning April 9.

Tubi will offer seasons seven through nine of the live-action series, which featured Selena Gomez and Demi Lovato in their younger years, exclusively to its viewers, and will also make available seasons 10 to 12 non-exclusively.

“Barney & Friends” is the latest addition to Tubi’s library of children’s content, with upcoming April movies from the “Land Before Time” and “VeggieTales” franchises alongside several other series, including “Jumanji: The Animated Series,” “Felix the Cat,” “Underdog” and “Barbie Dreamtopia.” Additional characters include Scooby-Doo, VeggieTales, Superman, Batman, Lego Ninjago, Sonic the Hedgehog, Strawberry Shortcake, Paddington Bear, Casper the Friendly Ghost, Garfield and The Wiggles, among others.

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“Everyone’s favorite purple dinosaur is a wonderful addition to … Tubi Kids,” chief content officer Adam Lewinson said in a statement.

“Barney & Friends” originally aired from 1992 to 2009 and was one of the most popular live-action series for preschool-age boys and girls. The show celebrates the life skills of sharing, community and friendship via music and cognitive learning. In the world of Barney, sharing and caring are key, imaginations flourish and there is always a dance at every turn. Everyone’s favorite purple dinosaur and his dino-pals – Baby Bop, BJ and Riff – help give children the range of skills they need to grow, using tons of music, fun and laughs to guide the way.

Tubi Kids features a library of children’s content — nearly 2,000 age-appropriate movies and television shows or over 8,000 hours of content. A destination for age-appropriate content on the service, Tubi Kids helps alleviate parents’ worries over what their children are watching and will soon be available on all major streaming devices in the near future.

AVOD Service Tubi Adding 42 TV Shows, Movies March 15

Fox Corp.’s ad-supported streaming service Tubi is adding 42 catalog TV shows and movies, beginning March 15. San Francisco-based Tubi claims more than 200 million hours of content streamed each month since April 2020. Acquired in 2019 by Fox as a competitive alternative to Netflix and other SVODs, Tubi offers more than 30,000 movies and television shows from more than 250 content partners, including nearly every major studio.

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TV Shows

“Battlestar Galactica” (2004) – Seasons 1-2
“Battlestar Galactica” (1978) – Seasons 1-2
“Bewitched” (1964) – Seasons 1-2
“Buck Rogers” (1979) – Season 1
“Dawson’s Creek” (1998) – Seasons 1-2
“Designing Women” (1986) – Seasons 1-2
“Dominion” (2014) – Seasons 1-2
“Dracula” (2013) – Season 1
“Hercules: The Legendary Journeys” (1994) – Seasons 1-6
“Kojak” (2004) – Season 1
“Law & Order: UK” (2009) – Seasons 1-8
“Shades of Blue” (2016) – Seasons 1-3
“Telenovela” (2015) – Season 1
“Xena: Warrior Princess” (1995) – Seasons 1-4

 Movies

Action / Thriller:
Hard Target (1993)
Hard Target 2 (2016)
Last Three Days (2020)
The Guest (2014)
The Mongolian Connection (2019)
Wetware (2018)

Comedy:
Career Opportunities (1991)
Johnny English Strikes Again (2018)
Junior (1994)
Mallrats (1995)
Paper Soldiers (2002)
Problem Child (1990)

Drama:
7 Days in Entebbe (2018)
The Racer (2020)

Horror:
Alone Wolf (2020)
Attack of the Unknown (2020)
Bad Impulse (2019)
Blood Creek (2008)
Candyman (1992)
Do Not Reply (2019)
Don’t Click (2020)
Dwellers: The Curse of Pastor Strokes (2019)
Mama (2013)
The Boy (2015)
The New Daughter (2009)

Kids/Family:
Casper: A Spirited Beginning (1997)
Casper’s Scare School (2006)
Ratchet & Clank (2016)