Foxtel buys Seven out of Presto as it prepares to shutter service
Pay-TV service Foxtel has reportedly bought partner Seven West Media out of its struggling streaming joint-venture with Presto, as it prepares to cease the service.
The SVOD service, launched to take on the likes of Netflix and Nine’s Stan, has struggled to gain traction in market and lags behind those services in terms of subscribers.
A statement to the Australian Securities Exchange from Seven (ASX:SWM) confirmed the move adding that Presto subscribers Foxtel will get access to the Foxtel Play offering, which will be lowered to $10 per month, by the end of the year. Presto will be shut down on January 31.
And then there was two.
The new Foxtel Play won’t be like Netflix or Stan, it’s still going to be a linear type service with advertisements and probably still shown in Standard Definition only wrapped in a new package
As expected. In a market the size of Australia, there is really only room for one winner and one strong challenger brand. Happens in every category — cars, jobs, real estate etc. And Fairfax/Nine have to their credit done a much better job on marketing, programming and product with Stan, then Foxtel/Seven did with Presto.
Australians don’t like paying for content unless it’s really cheap and really good.
Any new product should probably start by understanding who the audience is and what they want. As per David Henselin, all ads and no content in new branding and standard def won’t revive Foxtel product. The audience has moved on
Despite being a long term customer, FOXTEL never clearly explained to me what Play/ Go/ Anytime/ Presto were and why I needed them. While they were sorting out their offering I got a Smart Tv, Netflix and disconnected Foxtel.
Looks like $10 will get you all the crap, with adverts in it, and you will need to spend at least $35 to get anything decent. Foxtel Play will never be cheap because it will undermine it’s cable business. It’s business model is dead.
Very disappointing. Presto has exclusive HBO stuff like Sopranos and Curb your enthusiasm that Stan and Netflix don’t offer