Premium cable network HBO recently announced that it plans to offer an online-only streaming service by next year. This would eliminate the need for subscribers to have a pay-TV subscription as well, which is currently required if you want to stream content through HBO Go. This new service would appeal to the so called “cord cutters” that are moving away from traditional means of consuming television content. A new report suggests that HBO’s offering might be priced slightly higher than its competition.
Take Netflix for example. It charges subscribers $8.99 per month for a basic streaming plan that doesn’t give them the luxury of having DVDs mailed to their house. Still, its possible to use Netflix on multiple screens at once and there’s quite a bit of content available on the service.
It is safe to say that HBO would only field its content on the service it launches next year. However the network can expect to see demand since its shows are not widely available on streaming services like Netflix and Hulu.
The Information reports that HBO’s online-only streaming service may carry a $15 per month subscription fee. This considerably high subscription fee may hint at HBO’s strategy for this service and perhaps its aim to limit the amount of people that actually transition from the conventional cable model.
At this price point it would undoubtedly be viewed as a premium service but HBO itself recognizes the fact that this has potential for international expansion. Some of HBO’s hit shows are also some of the most widely pirated because they hit certain markets a long time after they have aired in the U.S. This service would allow the network to lure those customers in with the promise of next-day streaming.
HBO will initially launch the service in the U.S. though at some point next year. No confirmed date has been provided as yet.
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