[AusNOG] Netflix coming to Australia

[Serge Malev]

Similar article still there on The Australian website.




Netflix heads to Australia as Seven plots rival service

    Darren Davidson
    The Australian
    May 19, 2014 12:00AM


SEVEN Network is considering approaches from telco Optus, digital TV platform Freeview, and movie subscription service Quickflix about joining forces for an online streaming service to rival US streaming giant Netflix.

It was not previously known that Optus, Freeview and Quickflix were planning a foray into subscription video on-demand services.

The service will compete with Netflix, which The Australian can reveal is considering an official launch in Australia next year.

“There’s quite a list of players circling in the space,” a local television executive told The Australian.

Netflix has publicly downplayed its local aspirations after local network bosses complained to US studios that the maker of Kevin Spacey hit House of Cards was diminishing the value of output deals, the agreements under which the Seven, Nine and Ten networks pay studios fees for television programs.

Local executives have been concerned that Netflix has attracted an estimated 50,000 to 200,000 local subscribers by flouting international regulations and accepting payments from Australian credit card holders, despite a “geo-block” that could be easily bypassed by internet users.

But Netflix is said to be in talks about output deals for Australian content that can be streamed ­locally and in other markets.

This comes despite official claims from Netflix that it is ­focused on expanding its footprint in Europe, where it has recently struck a deal with British cable provider Virgin Media to incorporate Netflix into subscription packages.

Seven is also entertaining overtures from pay-TV operator Foxtel’s Presto, which was launched in March as a beachhead against Netflix before it arrives in Australia.

Presto has also approached Nine and Ten networks.

As ­revealed by The Australian in December, Nine is working towards launching its own streaming service, codenamed Stream Co, by the end of this year.

A string of explosive emails produced under subpoena in a ­bitter court battle last week over veteran programmer John Stephens revealed that Seven considered offering Stephens a job on Nine’s Stream Co to keep him from working at Ten.

The court heard the plan was hatched by Seven chief operating officer Nick Chan.

“Nine have as much of a vested interest in him not going as we do,” Mr Chan wrote.

“He won’t be the first to walk away from a contract.”

But it’s understood Seven has not entered into an agreement with Nine and is keeping its ­options open.

Seven has held discussions with Nine, but has developed reservations about a tie-up with its biggest rival since the email was sent in March.




Date: Mon, 26 May 2014 13:28:37 +1000
From: ben at zeno.io
To: the.damo at gmail.com
CC: ausnog at ausnog.net
Subject: Re: [AusNOG] Netflix coming to Australia

The link that skeeve used has been taken down. Interestingly Enough.

On Mon, May 26, 2014 at 11:32 AM, Damian Guppy <the.damo at gmail.com> wrote:


On Mon, May 26, 2014 at 7:20 AM, Skeeve Stevens <skeeve+ausnog at eintellegonetworks.com> wrote:



I am not sure why they don't consider Netflix as a competitor... I guess it is all a matter of perspective.



FetchTV is a replacement of the 'cable company' business model - they compete with Foxtel to deliver you TV channels etcNetflix is a replacement of the 'video rental' business model - they compete with VideoEzy/Blockbuster etc to deliver you a large library of content to watch on demand. 



Additionally FetchTV is normally delivered as a box that plugs into your TV, Netflix is normally delivered as a app/service that you install on something. Fetch is saying they want their box to be one of thoes somethings. In the US netflix has started to partner with cable companies to install Netflix on your traditional cable box.



--Damian

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