JioStar may Remove Entertainment Content from YouTube Starting May 1
JioStar is likely to remove its entertainment content from YouTube, a Google-owned video streaming platform, as part of its strategy to slow subscriber migration from linear TV to free digital streaming, according to sources familiar with the matter.
They added that the company may implement this beginning May 1, but no final decision has been made.
This will be the company's second major decision since its formation from the merger of Disney's Star India and Reliance Industries' Viacom 18. The move follows the company's decision to put content behind a paywall on JioHotstar after providing premium content, including sports, for free for two years prior to the merger--a strategy that had an impact on both pay-TV and subscription video-on-demand (SVOD).
Pay-TV distribution platforms such as Tata Play, Airtel Digital TV, and GTPL Hathway have urged pay-channel broadcasters such as JioStar, Zee Entertainment, and Sony Pictures Networks India to remove their content from ad-supported video-on-demand (AVOD) platforms such as YouTube, which are attracting subscribers away from pay-TV.
With pay-TV subscriptions down to 84 million paying homes, the broadcasting industry is looking for ways to reduce churn while growing its paid subscriber base. The TV subscription market is worth Rs 40,000 crore, according to a Ficci-EY report.
"We have been actively promoting the removal of pay content from AVOD platforms. Broadcasters have now recognized that providing premium content to these platforms ultimately harms the pay-TV industry," said a senior executive from a major TV distribution platform, adding that other broadcasters may follow suit.
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