Friday, January 23, 2015

Parks Predicts HBO OTT Success

Parks Associates must know something we don't.

Without any public information on pricing for the upcoming over-the-top video service from Home Box Office Inc. (HBO) , Parks Associates is already projecting that 17% of US broadband households "are likely to subscribe" to the pay-TV programmer's new standalone online offering at an assumed cost of $14.99 per month.

The research firm also suggests that 91% of those online HBO subscribers will be existing pay-TV customers, and that about half of those individuals who sign up will discontinue their more expensive TV packages in favor of keeping HBO as a standalone product.

It's hard to imagine that price won't have a major impact on services like the planned HBO venture. However, data is extremely limited given that most of the well-hyped over-the-top services in the US haven't launched yet -- or, in HBO's case, haven't even announced how much their service will cost.

From the article "Parks Predicts HBO OTT Success" by Mari Silbey.

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