Amazon reportedly ditching plans to offer a cable TV bundle because it’s still too expensive

Amazon reportedly ditching plans to offer a cable TV bundle because it’s still too expensive

7 years ago
Anonymous $ZOEEBQ1zf0

https://www.theverge.com/2017/11/15/16658978/amazon-video-channels-pay-tv-cable-skinny-bundle-plans

Amazon is shelving plans to introduce a pay-TV bundle over concerns it can’t reliably turn a profit with the service, according to a report today from Reuters. The service was to be part of Amazon Channels, the company’s current cable subscription offering that lets users subscribe to HBO, Showtime, and Amazon’s new anime streaming service, among more than 100 other cable and digital-only networks. The pay-TV tier would have included local broadcast and cable channels in a skinny bundle similar to Sling TV, PlayStation Vue, and YouTube TV, but presumably for less money and with more popular channels unbundled from other, less desirable options.

However, Reuters reports that Amazon couldn’t convince networks to break with the cable bundling model and offer popular channels as standalone options in a more attractive a la carte model, at least not at the rates Amazon was willing to pay. That echoes the same challenges faced by Apple, Google, Verizon, and others in their attempts to bring down the cost and expand the accessibility of digital pay-TV bundles. As it stands, rights owners still largely have control in how TV is packaged and distributed, leading to concessions like Sling’s multi-tier pricing model and the higher cost of services with more extensive channel support, like YouTube TV.