German media co. ProSiebenSat.1 and Discovery Communications have joined forces on a new OTT service designed to tap into Germany’s mobile-video-hungry marketplace.
The 50/50 venture will allow Germans the ability to stream shows from ProSiebenSat.1, Discovery and, eventually, third-party content creators.
At the launch, the streaming service will include seven channels – ProSieben, SAT.1, kabel eins, sixx, ProSieben MAXX, SAT.1 Gold and kabel eins Doku, along with Discovery’s free-to-air German channels, DMAX and TLC.
The service, expected to bow later this year, will initially be delivered to audiences through the 7TV brand with its app and current tech platform until future technology is in place.
“Germany is a priority market for us and poised for new growth fueled by our recent investments. We are excited to be partnering with ProSiebenSat.1 and eventually other media groups to provide German fans with a robust offering of their favorite content,” said Jean-Briac Perrette (pictured), president and CEO of Discovery Networks International, in a joint statement from the media companies.
The 7TV app offers viewers an extensive library of free video library content as well as live streams of ProSiebenSat.1′s free TV channels. Since its launch in 2014, it’s been downloaded approximately six million times, according to the statement. Both partners are expected to provide the joint venture platform with significant marketing and promotion, in addition to marketing efforts to drive audience.
According to the Hollywood Reporter in July 2016, VOD service in Germany will be worth $1-billion in five years. Amazon leads the market (32%), with Netflix in behind (17%), according to a report from German research group Goldmedia.
Amazon launched ahead of Netflix in Germany in 2014, but the figures from the research group suggest Netflix is catching up.