WELLINGTON: Telstra has decided to re-sell video streaming player service Presto. While Netflix has predicted 60 million users by the end of March in Australia and New Zealand.
has more than 57 million subscribers to its internet service, which allows users to watch movies and TV shows when they want. It has also invested in original productions such as House of Cards and Orange is the New Black.
Telstra will market Presto with a broad range of its product offerings to a huge customer base, and offer broadband and mobile customers complimentary subscriptions, and free data usage helping users avoid expensive internet bills. With Telstra having 15.6 million mobile customers alone, the move is a massive boost for Presto’s brand profile in its battle to win subscribers and repel the growing threat from Netflix.
Under the terms of the deal, Presto will be unmetered for customers connecting to the service via Foxtel Broadband and Telstra fixed broadband, which has three million customers. The telco will also launch a Presto app for its digital set top box, T-Box, which has 600,000 customers.
Netflix That growth has prompted fears among media companies that households will start cancelling subscription packages to pay-TV services.
There are also concerns among free-to-air broadcasters that fewer people will watch television the old-fashioned way, lessening demand for advertising, which accounts for the vast majority of their top-line growth.
To counter the challenge, Foxtel and Seven have teamed up on Presto, enabling users to watch premium content from Foxtel, Seven, and Hollywood hit factory HBO, which produces popular fantasy drama Game of Thrones.
Presto boss Shaun James said the Telstra agreement was a “great stamp of approval for Presto”.
It came as Netflix announced its Australian launch has been confirmed for March 24, spearheaded by the new season of political thriller House of Cards. It said it will launch its New Zealand service on the same day.
The launch comes after the California company released 13 episodes of House of Cards in other international territories on February 27, prompting a spike in illicit downloading around the world.
Australians ranked fourth in the top 10 worst offenders for illegal downloading of the Kevin Spacey drama, potentially losing Netflix subscribers ahead of this month’s official local launch.
But the service will also offer Disney film Frozen and thousands of hours of movies, TV shows and kids programming from various providers including Beyond Distribution, Roadshow Entertainment and the ABC.
