YouTube TV Extends Free Trial Period

Google-owned online television service YouTube TV is extending its free trial period to 14 days through Jan. 15. The service with more than 1 million subscribers had offered new members a free seven-day trial period.

Launched in 2016, YouTube TV costs $49.99 monthly featuring 70 channels, including most major sports networks. The channel has been a presenting sponsor of the MLB World Series.

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YouTube TV is less expensive than Hulu with Live TV and fuboTV ($54.99) and AT&T Now ($64.99), but costs more than Sling TV ($30) and Philo TV ($20).

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Hulu Live TV Price Jumping by $10 a Month

The price for the Hulu Live TV service will increase by $10 a month, Hulu announced.

The skinny bundle will jump from $44.99 a month to $54.99 starting Dec. 18.

“The new price better reflects the substantial value of Hulu + Live TV and allows us to continue offering all of the popular live news, sports and entertainment programming included in the plan,” read a Hulu statement.

The service features more than 60-plus live TV sports, news and entertainment channels, including ESPN, Fox Sports, CNN, FX, TNT, Bravo and all major broadcast networks.

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“Price changes are never easy to stomach, and we know that many people don’t watch live television year-round, so we’ve made it easy for Hulu subscribers to switch back and forth between our plans to best suit their needs,” read the Hulu statement. “If you love college football, choose Hulu + Live TV during the season, then switch to one of Hulu’s less expensive on-demand plans when it’s over. If you enjoy most of your TV on demand but really want to watch live election news, just switch to Hulu + Live TV for a few months.”

Report: More Teens Watch YouTube Than Netflix

More teenagers in the United States are watching YouTube videos than Netflix content, according to a new survey from Wall Street investment firm Piper Jaffray.

The survey of 9,500 respondents found that 37% stream YouTube content compared to 35% who opt for Netflix.

In the previous Piper survey, 37% of respondents streamed Netflix compared to 32% for YouTube.

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“Netflix lost the leading position, but we believe YouTube’s more varied content library is a significant driver,” analysts Michael Olson and Yung Kim wrote in a note. “Specifically, we note that, while YouTube does offer movies and other scripted content for a fee, the YouTube library includes music videos, video game streaming, DIY guides, social media influencer videos.”

That YouTube has supplanted Netflix as a preferred video service among teens shouldn’t be surprising considering the Google-owned platform has long been the No. 1 video platform globally.

Already three years ago, Google said 80% of users from 18 years old streamed YouTube, with mobile use topping broadcast and cable use combined.

“By 2025, half of viewers under the age of 32 will not subscribe to a pay-TV service,” Google wrote.

Notably, Amazon disclosed disclosed YouTube TV is now the 6th most popular Fire TV app followed by PlayStation Vue, Sling TV and AT&T TV Now.

And the No. 1 app? YouTube.

Interestingly, Piper Jaffray didn’t compare YouTube TV with Netflix. Google’s move into online TV has generated about 1 million paid subscribers, about half of Hulu with Live TV’s 2 million subs, according to Bloomberg.

Netflix ended the most-recent fiscal period with more than 60 million domestic subscribers and 151 million globally.

 

Sony Downsizing PlayStation Vue?

Sony Interactive Entertainment reportedly is scaling back its involvement with local television affiliates for its branded PlayStation Vue online TV service.

Cord Cutter News, citing emails sent to affiliates from Sony, said the 4-year-old platform is looking to “deprioritize” Vue in marketing efforts across third-party websites.

Launched in 2015, the same year as Dish Network’s pioneering SlingTV, Vue has struggled to generate significant subscriber scale. The platform reportedly has about 800,000 subs — which pales in comparison to Sling’s 2.3 million.

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In fact, Vue also trails DirecTV Now, which AT&T is rebranding as “AT&T Now,” YouTube TV and Hulu with Live TV.

Vue in July upped the monthly fee of its basic plan by $5 for existing subscribers to $50 monthly, with additional programming tiers “Elite” and “Ultra” priced at $65 and $85, respectively.

A rep from Sony Interactive Entertainment wasn’t immediately available for comment.

Discovery Joins FuboTV

Online TV service FuboTV continues to transition from its original soccer roots.

The service June 18 announced a new, multiyear carriage agreement with Discovery, bringing 13 networks to the live-TV streaming service in the coming weeks.

The deal extends the previous pact between the companies that began with the former Scripps Networks Interactive (acquired by Discovery) and included carriage of their five networks, including HGTV and Food Network.

“This agreement further exemplifies the viewer affinity for our beloved brands and talent, and fuboTV’s commitment to offering high-quality, world-class content to customers,” Eric Phillips, president of affiliate distribution at Discovery, said in a statement.

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Discovery Channel, TLC, Investigation Discovery, Animal Planet, OWN: Oprah Winfrey Network and MotorTrend will be available on the streaming service’s base package, fubo Standard, joining HGTV, Food Network and Travel Channel, which are already available on the service.

At the same time, an expanded suite of Discovery networks, including Science Channel, Destination America, Discovery Family, American Heroes Channel, and Discovery Life, will be added to fuboTV’s add-on package, fubo Extra ($5.99/month for 30+ channels) joining DIY Network and Cooking Channel.

Additionally, Discovery en Español and Discovery Familia will be available on fuboTV’s Spanish-language package, fubo Latino ($24.99/month for 20 channels), and the Latino Plus add-on package ($7.99/month for 15 channels).

In addition to bringing subscribers each network’s live linear feed, the agreement also includes a library of on-demand Discovery content, bringing fuboTV’s VOD library to over 60,000 movies and TV episodes per month.

“We are excited to be adding more Discovery brands alongside their lifestyle networks, which we already carry,” said Joel Armijo, CFO, fuboTV. “These brands, including HGTV and Food Network, are among our top performing entertainment networks, and this agreement allows us to extend our partnership for years to come. We expect to be similarly successful with our new Discovery networks.”

PlayStation Vue Adds Local Fox, ABC TV Stations

Sony’s online TV service PlayStation Vue has added 16 local television stations to its channel portfolio, including Fox and ABC affiliates.

With most online TV services such as Sling TV, Fubo TV, DirecTV Now, YouTube TV, Hulu with Live TV and Spectrum TV Plus offering the same pay-TV channels 00 including premium channels HBO and Showtime, Starz and Cinemax – increasing points of differentiation involve featuring local TV stations.

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New ABC stations on Vue include: WATM ABC 23 in Altoona & State College, Pa.; KYUR Anchorage, Juneau, Fairbanks, Alaska; WTEN News 10 in Capital District, NY; WAOW ABC 9 in Central Wisconsin; WCTI ABC 12 in Coastal North Carolina; WOAY in Eastern West Virginia; KAEF ABC 23 in Eureka, Calif.; KTXS 12 in Midwest Texas; KBMY 17 in Minot-Bismarck Area; KRCR ABC 7 in Northern California; WBND ABC 57 in South Bend, Elkhart, Ind.; WTXL ABC 27 in Tallahassee, Fla. And KTKA in Topeka, Kan.

Fox stations include: WZAW in Central Wisconsin; WVFX Fox 10 in Clarksburg, WVa., and KIIT Fox 11 in North Platte, Neb.

Disney CEO Bob Iger Ups Possibility of Acquiring Comcast’s Hulu Stake

Disney CEO Bob Iger May 8 confirmed the existence of discussions with Comcast about the possible acquisition of the cabler’s 33% stake in Hulu and Hulu with Live TV online platform.

Disney owns 66% of Hulu following its $71.3 billion acquisition of select 21st Century Fox assets and WarnerMedia selling its 10% ownership stake.

Speaking on the fiscal call, Iger didn’t disclose additional details except to say Disney remained mindful of its fiduciary duty to keep Comcast in the loop on Hulu activities, including global expansion and content licensing.

Disney CEO Bob Iger

“There has been dialog with Comcast about them possibly divesting their [Hulu] stake, and you can expect that if that were to occur, there would probably be some ongoing relationship as a result of [shared] programming,” Iger said, adding that any expansion of the service abroad would have to be done with Comcast’s cooperation.

“We’re bullish about Hulu for a number of reasons, but mostly because we see it as the best consumer television proposition out there,” he said.

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While Disney invests heavily in the ramp-up of subscription streaming video platform Disney+, it remains proactive about Hulu – despite the service’s ongoing fiscal drain.

Indeed, Disney “Direct-to-Consumer & International” business segment, which includes Hulu, Disney+ and ESPN+, saw revenue for the quarter increase 15% to $955 million and segment operating loss increase from $188 million to $393 million.

The increase in operating loss was due to ongoing investment in ESPN+, which was launched in April 2018, costs associated with Disney+, a loss from the consolidation of Hulu and higher losses from streaming technology services (formerly BAMTech), partially offset by an increase at International Channels.

As a result, upon the closing of the Fox transaction, Disney recorded a one-time gain of $4.9 billion as a result of remeasuring its initial 30% interest in Hulu to fair value.

 

 

 

Comcast in Talks with Disney to Sell Hulu Stake

Comcast reportedly is in talks with Disney to sell its 30% stake in Hulu, which includes online television platform Hulu with Live TV, according to CNBC, which cited internal sources.

CNBC is owned by Comcast business unit NBC Universal.

Disney currently owns 60% of the 12-year-old streaming service with 25 million subscribers after it acquired 20th Century Fox. AT&T’s WarnerMedia unit just sold its 10% stake back to Hulu for $1.43 billion.

The discussions, which CNBC said are in the preliminary stage, were revealed hours after Comcast chairman/CEO Brian Roberts told investors the cable giant enjoyed owning a large stake of a Disney asset.

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“On Hulu, the relationship with NBC, it’s very much in everybody’s interest to maintain,” Roberts said on the all. “And we have no new news today on it, other than it’s really valuable. And we’re really glad we own a large piece of it.”

At the same time, with Disney firmly in control of Hulu and Comcast heretofore reluctant to move too far away from the pay-TV business model, selling its stake in an over-the-top business could help Comcast alleviate more than $100 billion in corporate debt following the $39 billion Sky acquisition.

Comcast reportedly could get $4.5 billion for its stake in Hulu, which lost $1.5 billion in 2018. Disney doesn’t expect Hulu to become profitable until 2024 — and only after possible international expansion.

At the same time, NBC Universal CEO Steve Burke remains skeptical of OTT business model, including Netflix.

“To be worth $150 billion, someday you’ve got to make at least $10 billion in EBITDA,” Burke told CNBC last year. “There’s at least a chance Netflix never makes that.”

Comcast, which only recently incorporated direct access to Netflix for its Xfinity pay-TV subscribers, plans to launch an OTT service for Xfinity in 2020.

Report: Younger Demos Prefer Online TV

The rise in popularity of standalone online TV services such as Sling TV and DirecTV Now is largely due to age demographics, according to new data from Leichtman Research Group.

The firm found that found that 18-44 year-olds accounted for 71% of respondents from an online survey of 6,715 households in the U.S. that had online TV services, which included Hulu with Live TV, YouTube TV, Charter Spectrum Choice, Fubo TV and PlayStation Vue. Overall, 16% of adults ages 18-44 currently have online TV service – compared to 6% of adults older than 45.

Among current online TV subs, 43% transitioned from a cable, satellite or telecom pay-TV service, while 17% switched from another online TV service, and 15% were non-subscribers to any type of pay-TV service.

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The report also found that among Madison Ave.’s coveted 18-34 demo, 42% had online TV, 26% had traditional pay-TV and 33% had no pay-TV service.

Nearly 75% of online TV subs claimed to be “very satisfied” with their service, but 20% said they are “very likely” to switch to another online TV service in the next six months.

Among online TV subs, 93% also have an SVOD service such as Netflix, Amazon Prime Video and/or Hulu, compared to 71% of traditional pay-TV subs, and 74% of non-subs.

Notably, 78% of online TV subs consume the product at home, compared to 82% of HBO Now subs and 88% of Netflix viewers.

“[Online TV] services were first introduced about four years ago, and the market for these lower-cost [monthly] services is still growing and evolving,” Bruce Leichtman, president and principal analyst for LRG, said in a statement. “Consumers continue to experiment with the various services, along with other traditional and streaming options, to find the best combinations of video content and cost.”

 

 

TiVo: Netflix ‘Essential’ to 52.7% of Consumers

With more than 58 million domestic subscribers, Netflix is considered “essential” among consumers to their entertainment consumption, according to new data from TiVo.

The SVOD pioneer (52.7%) topped YouTube videos (45.9%) and cable TV (39.5%) as the primary source for home entertainment, according to a survey of 4,458 adult respondents in the United States and Canada conducted in the fourth quarter of 2018.

Just over 40% of respondents selected cable TV as supplemental to their home entertainment needs, suggesting consumers are divided in their loyalties to pay-TV, according to TiVo. This split doesn’t exist for Netflix, which is considered supplemental by only 30% of respondents.

The report found the average household among survey respondents used 2.75 media services in 2018 — up 26% since 2017.

“Live TV is still favored, but content providers such as Netflix and YouTube are gaining ground,” wrote TiVo.

The DVR pioneer, which has conducted its “TiVo Trends” media analysis since 2012, found that combining Netflix with Amazon Prime Video and pay-TV was a favored (10.6%) bundle among consumers. Other bundle options included Facebook, YouTube and pay-TV (7.5%) and YouTube, Netflix and pay-TV (7.5%).

Indeed, Comcast now offers direct access to Netflix, YouTube and Amazon Prime Video for Xfinity X1 subscribers. TiVo said 63.6% of respondents watch one hour or more of live TV per day, which tops OTT video (52.2%), recorded programming (51%) and live sports (45.6%).

“Clearly, consumers are still turning on their TVs and watching live content every day,” wrote TiVo.

The report found 69.3% of respondents use over-the-top video services while 30.7% do not. Among OTT video users, Netflix (50.4%) and Prime Video (21.8%) lead the pack among streaming video platforms.

Other included YouTube TV (11.9%), Hulu (9.5%), HBO Now (7.5%), Hulu with Live TV (6.9%), DirecTV Now (6.3%), CBS All Access (5.2%), PlayStation Vue (4.4%), Showtime OTT (4.1%), Starz (3.6%) and Sling TV (3.2%).

 

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