Mar 28, 2024
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Google’s YouTube announces paid subscription channels including Canadian kids’ TV

YouTube is changing the way it does business with the launch of paid channels, and a handful of Canadians are getting in on the ground floor.

Google Inc.’s site, known for its free and viral videos, has teamed up with 30 companies to pilot on-demand channels requiring a monthly subscription fee. Shows that went live Thursday included ones for kids, wrestling fans and yogis.

“When you think about how television has operated, or how television networks operated in the past, this is a fundamentally revolutionary moment,” said Michael Hirsh, executive chairman of DHX Media, which has three of the paid channels.

The Halifax-based children’s entertainment company, behind Caillou and Inspector Gadget, is charging $2.99 monthly for each of its channels, after a two-week trial period ends.

Its shows, for a range of ages, went online in multiple languages in 10 countries without clearing the traditional regulatory hurdles, Hirsh said, adding the subscriptions are “great add-ons to existing services.”

But beyond that, analysts say niche programs and prices as low as 99 cents will take subscription dollars from traditional services, as more people go online.

“I don’t see an imminent rush for people to cut their cable as a result but there will be more pressure on traditional service providers,” said Kaan Yigit, president of Solutions Research Group Consultants Inc., which conducts digital consumer research.
About 12 per cent of Canadian TV subscribers have said they have seriously thought about cutting the cord in the last six months, but ultimately didn’t, Yigit said.

Before Thursday, YouTube’s 1 billion monthly users could rent and download movies from some major studios in the United States. But there weren’t subscription options for channels focused on Sesame Street, or like filmmaker Roger Corman’s, which is set to house hundreds of films.

As more quality online services launch, combining with existing services like Netflix, Yigit said more traditional subscribers may end up leaving in favour of online subscriptions that can also be viewed on TVs, smart phones and tablets.

Other Canadian content providers said going online was more about reaching international audiences than moving existing customers online.

“We saw this as a way to help us facilitate the export of our content,” said Brad Danks, chief operating officer of OUTtv, the Vancouver-based network targeting lesbian, gay, bisexual and transgender audiences. OUTtv is partnering with American Wolfe Video to launch GayDirect on YouTube.

The only domestic channel not available in Canada is Treehouse Direct, with kids programming from Corus Entertainment. “Corus is offering a selection of kids’ content to international audiences on this new platform,” the company said in a statement.

Of the 53 subscription channels online now, about half are available in Canada, Google spokeswoman Wendy Bairos said.

Income is shared between YouTube and its partners, who earn most of the revenue, she said. Each content provider chooses whether their videos should be ad supported.

Hirsh, from DHX, said not having ads was a major selling point for the company because that’s what parents want. “We have a pretty strong conviction it will be (popular),” Hirsh said. “But if it isn’t, then it’s one more thing we’ve done to expand our brand and to build our business.”

Source: Toronto Star

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Headline, Industry News

Google’s YouTube announces paid subscription channels including Canadian kids’ TV

YouTube is changing the way it does business with the launch of paid channels, and a handful of Canadians are getting in on the ground floor.

Google Inc.’s site, known for its free and viral videos, has teamed up with 30 companies to pilot on-demand channels requiring a monthly subscription fee. Shows that went live Thursday included ones for kids, wrestling fans and yogis.

“When you think about how television has operated, or how television networks operated in the past, this is a fundamentally revolutionary moment,” said Michael Hirsh, executive chairman of DHX Media, which has three of the paid channels.

The Halifax-based children’s entertainment company, behind Caillou and Inspector Gadget, is charging $2.99 monthly for each of its channels, after a two-week trial period ends.

Its shows, for a range of ages, went online in multiple languages in 10 countries without clearing the traditional regulatory hurdles, Hirsh said, adding the subscriptions are “great add-ons to existing services.”

But beyond that, analysts say niche programs and prices as low as 99 cents will take subscription dollars from traditional services, as more people go online.

“I don’t see an imminent rush for people to cut their cable as a result but there will be more pressure on traditional service providers,” said Kaan Yigit, president of Solutions Research Group Consultants Inc., which conducts digital consumer research.
About 12 per cent of Canadian TV subscribers have said they have seriously thought about cutting the cord in the last six months, but ultimately didn’t, Yigit said.

Before Thursday, YouTube’s 1 billion monthly users could rent and download movies from some major studios in the United States. But there weren’t subscription options for channels focused on Sesame Street, or like filmmaker Roger Corman’s, which is set to house hundreds of films.

As more quality online services launch, combining with existing services like Netflix, Yigit said more traditional subscribers may end up leaving in favour of online subscriptions that can also be viewed on TVs, smart phones and tablets.

Other Canadian content providers said going online was more about reaching international audiences than moving existing customers online.

“We saw this as a way to help us facilitate the export of our content,” said Brad Danks, chief operating officer of OUTtv, the Vancouver-based network targeting lesbian, gay, bisexual and transgender audiences. OUTtv is partnering with American Wolfe Video to launch GayDirect on YouTube.

The only domestic channel not available in Canada is Treehouse Direct, with kids programming from Corus Entertainment. “Corus is offering a selection of kids’ content to international audiences on this new platform,” the company said in a statement.

Of the 53 subscription channels online now, about half are available in Canada, Google spokeswoman Wendy Bairos said.

Income is shared between YouTube and its partners, who earn most of the revenue, she said. Each content provider chooses whether their videos should be ad supported.

Hirsh, from DHX, said not having ads was a major selling point for the company because that’s what parents want. “We have a pretty strong conviction it will be (popular),” Hirsh said. “But if it isn’t, then it’s one more thing we’ve done to expand our brand and to build our business.”

Source: Toronto Star

Leave a Reply

Your email address will not be published. Required fields are marked *

Headline, Industry News

Google’s YouTube announces paid subscription channels including Canadian kids’ TV

YouTube is changing the way it does business with the launch of paid channels, and a handful of Canadians are getting in on the ground floor.

Google Inc.’s site, known for its free and viral videos, has teamed up with 30 companies to pilot on-demand channels requiring a monthly subscription fee. Shows that went live Thursday included ones for kids, wrestling fans and yogis.

“When you think about how television has operated, or how television networks operated in the past, this is a fundamentally revolutionary moment,” said Michael Hirsh, executive chairman of DHX Media, which has three of the paid channels.

The Halifax-based children’s entertainment company, behind Caillou and Inspector Gadget, is charging $2.99 monthly for each of its channels, after a two-week trial period ends.

Its shows, for a range of ages, went online in multiple languages in 10 countries without clearing the traditional regulatory hurdles, Hirsh said, adding the subscriptions are “great add-ons to existing services.”

But beyond that, analysts say niche programs and prices as low as 99 cents will take subscription dollars from traditional services, as more people go online.

“I don’t see an imminent rush for people to cut their cable as a result but there will be more pressure on traditional service providers,” said Kaan Yigit, president of Solutions Research Group Consultants Inc., which conducts digital consumer research.
About 12 per cent of Canadian TV subscribers have said they have seriously thought about cutting the cord in the last six months, but ultimately didn’t, Yigit said.

Before Thursday, YouTube’s 1 billion monthly users could rent and download movies from some major studios in the United States. But there weren’t subscription options for channels focused on Sesame Street, or like filmmaker Roger Corman’s, which is set to house hundreds of films.

As more quality online services launch, combining with existing services like Netflix, Yigit said more traditional subscribers may end up leaving in favour of online subscriptions that can also be viewed on TVs, smart phones and tablets.

Other Canadian content providers said going online was more about reaching international audiences than moving existing customers online.

“We saw this as a way to help us facilitate the export of our content,” said Brad Danks, chief operating officer of OUTtv, the Vancouver-based network targeting lesbian, gay, bisexual and transgender audiences. OUTtv is partnering with American Wolfe Video to launch GayDirect on YouTube.

The only domestic channel not available in Canada is Treehouse Direct, with kids programming from Corus Entertainment. “Corus is offering a selection of kids’ content to international audiences on this new platform,” the company said in a statement.

Of the 53 subscription channels online now, about half are available in Canada, Google spokeswoman Wendy Bairos said.

Income is shared between YouTube and its partners, who earn most of the revenue, she said. Each content provider chooses whether their videos should be ad supported.

Hirsh, from DHX, said not having ads was a major selling point for the company because that’s what parents want. “We have a pretty strong conviction it will be (popular),” Hirsh said. “But if it isn’t, then it’s one more thing we’ve done to expand our brand and to build our business.”

Source: Toronto Star

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Your email address will not be published. Required fields are marked *

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