NBC Universal and Warner Media are both planning to launch a new streaming service within the next six months, but the two companies have explained how their strategies, and targets, would be different.
NBC Universal is launching Peacock tentatively for April 2020, and NBC Universal CEO Stephen Burke was keen to stress that Peacock will not be taking Netflix head-on. That's because unlike Netflix, Peacock will not be strictly a fee-based subscription service. Instead, Peacock will be offered to existing cable subscribers as a free ad-supported service, with a separate ad-free plan that will be priced similarly to Netflix.
Like Netflix though, Peacock will host original and exclusive content including the reboot of Battlestar Galactica, a reboot of Saved by the Bell and drama series Dr. Death.
"I think the most important thing to think about as you’re thinking about Peacock and its role inside NBCU and broader Comcast, is we’re not doing the same strategy that Netflix and people chasing Netflix have adopted," Burke said.
Warner Media's HBO Max will also employ a similar strategy in which they will target existing cable subscribers, particularly those already subscribed to HBO, and to roll them into the new streaming service.
Priced higher than Netflix, HBO Max is eyeing a target of 80 million subscribers by 2025, including 50 million subscribers in the U.S.
HBO already has 35 million cable subscribers, and all of them will receive free access to HBO Max as part of their subscription. Those without a cable subscription will need to pay between USD $16 and $20 for the service. An ad-supported plan for HBO Max will also be available.
