It would appear as though Foxtel’s new SVOD service, rumored to be named Binge, may well become Australia’s version of HBO Max. The pay TV giant has sealed a key deal with WarnerMedia – renewing and expanding its long-standing content and channels deal.
As a result, much of the content coming to the soon to launch HBO Max is expected to make its way to Foxtel’s networks initially and its new (and still unannounced) SVOD service believed to be launched soon.
The deal allows Foxtel to play content from Warner Brothers, HBO, HBO Max and WarnerMedia networks on its broadcast and on-demand platforms. Foxtel will continue as the Australian home of HBO and become the new exclusive licensee for Warner Bros.’ produced and distributed scripted originals from HBO Max.
The deal also includes a new agreement to co-produce original local content in Australia, exclusive rights for Warner Bros. TV and Warner Bros. extensive film catalogue, existing carriage agreements for Cartoon Network and Boomerang titles along with expanded SVOD rights for those, and ongoing CNN access.
Time wise the current agreement runs for roughly two years and sources suggest the new one adds a further three years to that – effectively extending their arrangement to 2025. This matches a similar deal Warners recently made with Sky in Europe for a total of five years which allows WarnerMedia to pull back all its content after the agreement finishes if it then wants to launch HBO Max in those markets.
Foxtel, 65% owned by News Corp. and 35% owned by Telstra, relies heavily on live sports for its ability to charge premium prices and retain subscribers but many have still been cutting the cord for rivals in the SVOD space like Netflix and Stan along with Foxtel’s own sports SVOD service Kayo which has been a success.
Source: Australian Financial Review
