Ever since the emergence of YouTube, online streaming has only gotten popular in the recent years. With Hulu and Netflix opening their services outside the US, people are saying it is close to killing cable TV as more and more companies are setting their eyes on the ever growing internet audience.
Almost 2 million people subscribe to online TV packages streamed through the internet. With access to the internet having been increasingly easier, with its prices dropping every year and with some countries making it an essential utility and not a luxury, more and more cord cutters have been abandoning traditional cable and are now growing at a fast rate.
Now, the US based telecommunications company is planning to challenge AT&T’s DirectTV, Dish Network’s SlingTV and Sony’s very own PS Vue. And recently as we have reported (note: the word “reported” will link to the hulu live tv article I made recently), Hulu as well also plan to bundle their current video on demand with their new live TV service in the future.
A lot of companies are seeing a huge market in online TV streaming services besides Verizon and Hulu. Comcast Corp, the US cable giant, has also been eyeing on the probability of an online TV service by securing rights from cable networks besides its cable service but there still aren’t any plans as of yet.
There are rumors that this new service could be released as an app and that Verizon has been securing streaming rights from TV networks to launch the new service hopefully by this summer.
CBS has stated in a recent statement announcing that a contract with Verizon included rights for “future digital platforms”. CBS however didn’t specify an actual date for this only stating that specific information will eventually be released soon.
The growing demand for smaller packaged TV networks selected by the consumer as opposed to the typical cable programming plagued by TV networks they don’t want urged Verizon to secure rights from different television companies for their nationwide online TV service.
AT&T DirecTV Now does not require its subscribers to be customers of its phone service but if the customer does apply for both services, they get a discount. It could be possible that Verizon would imitate this marketing strategy to have an advantage on its competitors that do not provide a phone service.
Verizon’s competitors Sony’s Playstation Vue is priced at $30, AT&T’s DirecTV Now at $35, Dish’s Sling TV at $20 a month and Hulu’s own live TV that hasn’t been launched is set to be under $40 a month.
The new service is said to be separate from its video app Go90 which launched towards the end of 2015. It however struggled since the beginning despite the fact that Verizon spent $200 million to attract millenials. This came at a price in which over 150 people have been fired. Until today Verizon still struggles to find a way to connect to millenials with their Go90 app.