Comcast company, a Philadelphia-based cable pioneer, is about to introduce its NBC streaming services in April 2020. In terms of revenue, the company managed to beat EPS estimates but still, the revenue fell shorts of expectations. Adjusted earnings per share increased to 78 cents a share, instead of 75 cents a share as per the estimations of the analysts.
The estimated revenue that came in at $26.86 billion, which is 23.6% more compared to the same period last year. Even after adding 209,000 new high-speed internet customers during the second quarter this year, the company lost 224,000 video customers. Although, total customer relationships rose to 30.9 million in Q2 2019, with 152,000 net additions.
As its video business is losing the customers, Comcast is now targeting and exploring other business segments to increase growth. With the acquisition of British broadcaster Sky, which was acquired by Comcast last year, 304,000 new customers were added in Q2 2019, which improved 197,000 over Q2 2018. But the revenue, on the other hand, fell 3.3% compared to last year.
Sky Acquisition Added Value
The cable company is also planning to launch a free, ad-supported NBC Universal streaming service in April next year. “The Office” will be streamed on its own service for 5 years starting from 2021. CEO Steve Burke of NBCUniversal said, “The Office” is the number one show with 5% of all of Netflix’s volume. Apart from “The Office”, the streaming service is also going to have content from Sky Studios.
As per the reports of CNBC, the service will be available to all pay-TV subscribers by logging in through a cable or settle provider. If you do not have a cable or satellite subscription, you need to spend $12 per month to enjoy this service.
The company had already announced its intention to enter the streaming market a year ago, narrating it as an ad-supported, subscription service that the pay-TV subscribers can use without any extra cost.
Ad-less Experience for Subscribers
The company detailed out that at an investor presentation, that there will be a free tier of Peacock that will have than 7,500 hours of programming, classic shows and the latest seasons of freshman broadcast series.
In case you are looking to watch the original programming that NBC Universal is developing for Peacock, you will require Peacock Premium, which will be available for Comcast and Cox users at a cost of $4.99 per month.
As the above versions will have ads you may also spend $9.99 per month to watch ad-free programs.
Huge Investment of $2 Billion by 2021
NBC Universal plans to spend $2 billion over 2020 and 2021 on its marketing to reach from 30 to 35 million active users in the United States by 2024.
This new service is one of several huge streaming released that is expected this year. These include recent entries from Disney and Apple in a crowded streaming domain which is led by the big three — Netflix, Hulu, and Amazon Prime Video.
Many Original Programs Lined up
NBCU announced many of Peacock’s original programming lineup last fall, which includes “Battlestar Galactica,” “Saved by the Bell,”, “Punky Brewster” plus new series like “Dr. Death,” based on the true-crime podcast; “Brave New World,” based on the dystopian Aldous Huxley novel; “One of Us Is Lying,” an SNL docu-series “Who Wrote That”; based on the NYT best-seller; and many more.
The ad-based services will have a range of ad products, including an e-commerce experience called “shoppable TV,” sponsorships called solo ads, plus 60-second “prime pods,” interactive engagement ads, editorially selector curator ads, relevant explore ads, topical trending ads, voice-based on-command ads and pause ads and bing ads. Peacock also offers a light ad load that will last for only five minutes per hour or less.
NBCUniversal plans to finally launch globally also, it is currently focused on the United States.