BT Sport and Eurosport UK joint venture given green light by the CMA

Following submission to the Competition and Markets Authority (CMA), BT Group and Warner Bros. Discovery today welcomed the decision to approve the BT Group agreement with Warner Bros. Discovery, Inc. to form a 50:50 Joint Venture (JV) company that will create a new sports offering for the UK & Ireland.       

The CMA’s decision now allows BT and Warner Bros. Discovery to complete the creation of the JV  in the coming weeks and for each of their assets to be transferred into the new company.  BT Sport and Eurosport UK will be brought together to form a sports joint venture for customers, providing the JV with one of the most extensive portfolios of sports rights in the UK & Ireland. Both BT Sport and Eurosport UK will initially retain their separate brands and product propositions in the market before being brought together under a single brand in the future. 

Marc Allera, future Chairman of the JV and CEO BT’s Consumer division said “It’s great news that the CMA has approved the new JV that we are forming with Warner Bros. Discovery, combining the very best of BT Sport and Eurosport UK, to create an exciting new offer for live sport programming in the UK. Today is a huge milestone, as we now look toward day one of the new business, which we hope to be in the coming weeks.”    

Andrew Georgiou, future board member of the JV and President and Managing Director, Warner Bros. Discovery Sports Europe, said“Combining the capabilities, portfolios and scale of BT Sport and Eurosport UK will be a big win for fans in the UK & Ireland, offering a new destination that will feature all the sport they love in one place. We now look forward to closing the transaction and having the opportunity to further engage all stakeholders in the process of forming and developing the JV.”

The Board of Directors of the JV will be equally represented between appointees of British Telecommunications plc and Warner Bros. Discovery. The first Chairperson to be appointed, nominated by each shareholder on a rotating basis, will be Marc Allera, CEO BT’s Consumer division. The new management and delivery of the JV will be led by Andrew Georgiou, President and Managing Director, Warner Bros. Discovery Sports Europe, who will be a member of its board.

Philadelphia 76ers announce plans for new $1.3 billion arena

 Josh Harris and David Blitzer, Managing Partners of the Philadelphia 76ers, announced today the creation of a new development company, 76 Devcorp, responsible for developing the future home of the Philadelphia 76ers. Led by Philadelphia business leader David Adelman, in partnership with Harris Blitzer Sports Entertainment (HBSE), the Development Corporation is pursuing a privately-funded, purpose-built sports and entertainment arena, 76 Place, that will be located on a portion of the current site of Fashion District Philadelphia and serve as an anchor to Center City.  

“The Philadelphia 76ers are a storied Philadelphia institution with a proven track record of investing in their community. That’s why we’re committed to building a world-class home in the heart of the City and creating a privately-funded arena that strengthens ties within the local community through investments that prioritize equity, inclusivity and accessibility,” said Josh Harris, 76ers Managing Partner. “David Adelman shares our vision for ensuring that the new arena is an anchoring force in the local community, creating well-paying jobs and economic opportunities for those who need them most.”

Adelman, the CEO of Campus Apartments, Co-Founder of FS Investments and Founder of Darco Capital, was appointed Chairman of the new development company with a mandate to locate, design and develop a destination that serves as a world-class arena facility, but also a lever for the City of Philadelphia’s economic growth by promoting transformative community development, local job creation and equitable wealth-building opportunities. He was selected to lead the development project for his globally acclaimed accomplishments in real estate development in Philadelphia and nationwide, as well as his dedication to local philanthropy and investments in Philadelphia startups.  

“The Philadelphia 76ers’ extensive evaluation of potential sites for an arena over the past two years culminates today with plans to pursue the Fashion District Philadelphia site as the proposed new home of the team,” said Adelman. “The chosen location is a key step in the process of developing a destination that provides Center City and surrounding communities with an economic engine generating activity through 76ers and youth games, concerts, events and more.” 

76 Devcorp carefully evaluated numerous potential sites before determining Fashion District Philadelphia as its preferred location. The site was selected primarily due to it being the most transit-rich location in all of Philadelphia, the ability to redevelop an existing commercial space, and the opportunity to play a role in the continued revitalization of Center City.  

The Development Corporation will partner closely with Macerich, the managing partner of the owning entities and operator of Fashion District Philadelphia, to realize the full potential of the site. “At Macerich, we are constantly enhancing our properties to bring greater value to our shareholders, retailers and communities,” said Tom O’Hern, CEO of Macerich. “The decision to repurpose part of Fashion District Philadelphia to include the  new 76ers arena is a natural evolution of the site and a unique and once in a lifetime opportunity for our company. We are committed to working collaboratively with 76 Devcorp to bring to life the vision of this iconic development that will ensure Philadelphia’s vibrancy for generations to come.” 

A robust community engagement process is planned to ensure community interests help drive the plans for the proposed development and that it fits within the context of surrounding communities, while also being responsive to the needs of adjacent neighborhoods. In the spirit of this project being mutually beneficial for the Sixers and the broader Philadelphia community, 76 Devcorp anticipates partnering with surrounding community development groups to create a Community Benefits Agreement that ensures the forthcoming arena has a positive impact from the start of construction to opening and beyond.  

“Our pledge is to advance equitable, community-driven revitalization through this project and to ensure the arena is a win for fans, Philadelphia and the surrounding communities,” said David Gould, 76ers Chief Diversity and Impact Officer. “We look forward to listening to and working with the local community, including local organizations, businesses and residents, especially in Chinatown and Washington Square West, to develop a Community Benefits Agreement that results in long-term positive impact.”

Led by HBSE’s $20 million commitment to address disparities created by systemic racism, the Development Corporation is committed to investing in under-resourced communities to advance equitable, community-driven revitalization. A major tenet of the project will be equitable development, bringing community members to the table via new jobs and co-development roles. 76 Devcorp will collaborate with Mosaic Development Partners, a Black-owned, Philadelphia-based real estate development company with experience in affordable housing and inclusive communities. In January, Josh Harris invested $10 million into Mosaic Development Partners to support their innovative work to expand equitable development across Philadelphia communities. 

The new, privately-funded arena is anticipated to cost approximately $1.3 billion. The arena will provide $1.9 billion in overall economic output during construction and $400 million annually upon opening to support Philadelphia’s long-term economic growth and sustainability.  

“We’re excited for the opportunity to build the future home of the 76ers in Center City,” said David Blitzer, 76ers Co-Managing Partner. “I look forward to working with David Adelman and his team to develop and build an impactful arena for our fans, our players and the City of Philadelphia.”

The development will be completed in time for the 2031-2032 NBA season. Ground-breaking for the proposed  project is not expected for several years. The general public and fans can stay up to date on the progress of the development project by visiting 76Place.com. 

“Quite simply put, there is no better place to build an arena in Philadelphia than in Center City, with its robust public transit infrastructure and existing dynamic businesses eager to serve fans and visitors alike. 76 Devcorp is inspired by many successful sports and entertainment arenas built in dense urban centers that promote integration with the surrounding communities. We’re dedicated to making sure this development is a win for our fans and Philadelphia at large,” said Adelman. 

Formula E and UNICEF launch Take a Breath campaign

Formula E and UNICEF today launched Take a Breath – a campaign and short film – featuring Actor and UNICEF Ambassador, Tom Hiddleston, highlighting the impact air pollution has on children and raising awareness to drive action to improve it.

The two and a half minute film opens with a powerful spoken word short film produced by creative agency WING, featuring multi-award winning actor Tom Hiddleston.

Actor and UNICEF Ambassador, Tom Hiddleston said: “Air is life and must be protected for our children. Children globally are growing up in a world made more dangerous and uncertain because of our changing climate.

“Formula E and UNICEF have come together to create Take a Breath, a short film that aims to raise awareness and highlight the importance of clean air, in order to make a better, safer world for every child.”

Ongoing campaign activity will include social media content that highlights the harm polluted air has on children, as well as giving advice to consumers and businesses on ways to improve it. This year alone, 600,000 children globally under the age of five will die from causes related to air pollution 1 , and if levels of current air pollution continue to rise, by 2050, that figure is likely to increase by as much as 50 per cent.

Speaking on the campaign launch, Julia Palle, Director of Sustainability, Formula E said: “Take a Breath is fundamental in raising awareness of air pollution and ways we can all act to reduce it for the sake of current and future generations.”

“Formula E was founded to drive e-mobility development and reduce emissions, and impactful partnerships and campaigns sit at the heart of our work in delivering sustainable change. As the first global sporting organisation to partner with UNICEF, we are helping create a cleaner, safer and more sustainable environment where children and future generations can thrive.”

Formula E and UNICEF’s partnership to drive better futures for every child will also be discussed during a panel session in Formula E’s innovation summit, Change. Accelerated. Live. The line up is made up of senior cross-industry thought leaders from government, education, motorsport and sustainability, including a representative from UNICEF. The discussion will focus on our society’s role in improving air quality; the role of e-mobility in decarbonising urban areas; and other pioneering innovations that will help reduce our impact on the environment. The summit takes place at ExCeL London the day before the ABB FIA Formula E World Championship races at the same location.

1 UNICEF: 2016 – Pollution: 300 million children breathing toxic air – UNICEF report
2 UNICEF: 2019 – Clean the Air for Children Executive Summary

Directed by Will Ingham and produced by Molly Clifton, Take a Breath was delivered by multi-award winning film creator WING, who conceived the art gallery backdrop to underpin the power of clean air and thought. This allows the viewer to truly take a breath while watching the film and consider the harsh reality of polluted air in cities but also the positive move towards progress. WING captured this in one shot so they could deliver a fluid and uninterrupted train of thought. Having the talent of Tom Hiddleston as lead meant that they could truly land the message in its purest form.

Southampton Football Club extend partnership with KBE drinks

Southampton Football Club is pleased to announce an extension to its multi-year partnership with KBE Drinks. The extension will see KBE Drinks continue to supply its flagship brand, Kingfisher, as the main pouring brand at the stadium, as well as other brands in their portfolio for Saints fans to enjoy on matchdays ahead of the game. Kingfisher has proven a big hit amongst fans since its introduction at the start of the 2019 season, having increased draught sales (by 18% YOY) across St Mary’s hospitality offerings and concourses.

The agreement enables Southampton FC to benefit from KBE Drink’s extensive range of global beer brands. Sagres from Portugal, Dos Equis from Mexico and New Zealand’s craft beer brand, Yeastie Boys, are all available.  This means there should be something that appeals to every Saints fan.

Since partnering in 2019, the club and KBE Drinks have worked together to enhance the matchday experience for supporters, introducing a popular fan zone and providing their iconic beers across the concourses, Gasworks Bar, and the club’s hospitality suites and boxes.

The partnership will allow both parties to continue this work with all products and brands under KBE Drinks being made available to supporters across a multi-event calendar. Following the extension, KBE Drinks will also have visibility across the club’s growing digital channels.

Announcing the partnership extension, Sarah Batters, Director of Partnerships and Marketing for Southampton Football Club, said: “KBE Drinks has proven themselves to be an excellent partner since joining us in 2019. We are excited to be continuing with them to enhance the matchday experience for our fans and visitors to St Mary’s Stadium. We look forward to what the next three seasons hold as we help bring their popular beers to Southampton.”

John Price, Head of Marketing at KBE Drinks, added, “We have recently relaunched Kingfisher in the UK with new packaging, consumer campaign and ambitions to stretch the brand beyond its home in the Indian Restaurant Channel.  Our presence at St Mary’s was one of our first steps on this journey, strategically seeding the brand in a very different environment from our traditional consumption occasion.  We are extremely proud of our partnership with Southampton FC and its fans have made us feel very welcome.  We look forward to three more exciting seasons!”.

Warner Bros. Discovery announce plans for Tour de France Femmes coverage

Women’s cycling will be covered like never before when the first edition of the Tour de France Femmes avec Zwift, in its current guise, begins with the Grand Départ from Paris on Sunday 24 July.

WOMEN’S CYCLING GIVEN A STAGE LIKE NEVER BEFORE

World-class production will be complemented by unparalleled storytelling as Warner Bros. Discovery Sports (WBDS) supercharges coverage of one of the highlights on the sporting calendar with every minute made available by The Amaury Sport Organisation (ASO) broadcast live across its platforms – discovery+ *, Eurosport and GCN+ – in Europe, the Asia-Pacific region (except Australia), Latin America and Middle-East and North Africa regions**.

After being introduced for the first time during its cycling coverage for the Tour de France, the mixed-reality Cube studio will be the cornerstone of WBDS’ broadcast of the Tour de France Femmes – the ultimate storytelling tool giving fans access to best-in-class analysis. Orla Chennaoui will front WBDS’ coverage of the Tour de France Femmes while former professional cyclist Iris Slappendel will take over from Sir Bradley Wiggins to bring one of the great innovations in sports broadcasting to millions of fans by reporting live from the inside the peloton throughout the eight-stage race.

Respected cycling identities Laura Meseguer and Manon Lloyd will be on-site speaking to the athletes who will be making the headlines throughout while the likes of Dani Rowe (UK) and Dani Christmas (UK), Jacky Durand (France), Ilenia Lazzaro (Italy), Jip van den Bos (Netherlands) and Dori Ruano (Spain) will provide commentary analysis in their local languages.

Yesterday, Orla Chennaoui, Iris Slappendel, Laura Meseguer and Jose Been were part of a media event to preview the Tour de France Femmes to explore the attitudes towards women in professional sport.

Orla Chennaoui, Warner Bros. Discovery Sports cycling presenter, said: “We are at a place where we will all see a genuinely exciting race. I think the stories in women’s cycling are so much more colourful and textured. There is more depth to them because a lot of women have had to live separate lives as well as on the bike, which makes you identify with the riders even as you worship their greatness.

“We’re also aware of the importance of this place in sporting history, not just cycling history, and that brings a responsibility on all of our shoulders to get this right. I am genuinely so excited to be working on this for Warner Bros. Discovery Sports – it’s going to be such a massive week of racing.”

Iris Slappendel, Warner Bros. Discovery Sports cycling expert, said: “We all know that it’s a massive thing that the Tour de France Femmes is here. I’m looking forward to seeing very exciting racing every day, being on the back of the motorbike, being around the peloton, but also being able to really capture the atmosphere, the fans on the roadside, the weather, the road conditions, to see the riders from up close. I think it’s great that I can do that now for eight days in a row.

“As a rider, it’s nice to know your achievements are visible. It’s really important that we can watch this live and that there are experts in every country to report on the race. The riders can really show themselves and that will have an impact on their careers.”

Laura Meseguer, Warner Bros. Discovery Sports cycling reporter, said: “After covering six editions of the Tour de France and almost 20 Grand Tours, I have this feeling of being part of something huge. 

“To have the privilege of being on site and part of this historic moment in the sport, and to say that I’m proud of our sport being diverse and inclusive, to have the best athletes in these eight days of competition, I think it will be so exciting.”

Live blogs, exclusive interviews and unrivalled analysis will keep fans ahead of the pack with every key moment from the Tour de France Femmes covered on Eurosport.com meaning every angle will be covered and every story told in the lead-up to, and during, the race. 

Alongside providing live and on demand race coverage plus in-depth race analysis from a host of cycling experts via The Breakaway and exclusive weekly World of Cycling Show, GCN+ will offer fans of the Tour de France Femmes unparalleled supporting content. Throughout each race, the GCN+ App will be home to interactive trivia, quizzes, and preview content including rider analysis, stage breakdowns, predictions and reviews. GCN+ is also home to exclusive original documentaries created to bring even more colour to every cycling fan’s experience of the racing season. Key original titles include Life, Cycling, and the Circle of Death, which sees Ruth Winder and Tayler Wiles of Trek-Segafredo take on the iconic climbs of the Tour; and Trailblazers, where Jenny Graham and Emily Chappell celebrate some of the world’s cycling greats and unsung historical heroines, from Tillie Anderson to Marianne Vos.

Viaplay Group acquire Premier Sports and accelerate entry into the UK

Viaplay Group has acquired UK sports streamer and TV channel operator Premier Sports. This marks a significant acceleration of Viaplay Group’s ambitions in the UK, ahead of the launch of the Viaplay streaming service in the country this autumn.

Premier Sports’ portfolio of attractive sports rights complements the rights that Viaplay has previously secured for the UK, and its platforms are available across the UK through long-term distribution agreements with Sky, Virgin, Amazon and Netgem TV. In addition to content and distribution, the acquisition will also deliver synergies with Viaplay in sports production, while boosting Viaplay’s local brand awareness amongst viewers.

Premier Sports’ UK sports rights include La Liga, Scottish Cup, Scottish League Cup and Coppa Italia football; United Rugby Championship, Rugby Football League and Top 14 rugby; NASCAR motorsport; and the Elite Ice Hockey League.

The company recently secured 60 exclusive matches to be played by the Scotland, Northern Ireland and Republic of Ireland men’s national football teams in the UEFA European Qualifiers and UEFA Nations League from 2022, as part of a package of more than 400 international matches from across Europe. The agreement runs until 2024, when Viaplay’s recently announced partnership with UEFA in the UK comes into effect.

Premier Sports currently has a total of 222,000 paying subscribers to its pay-TV channels Premier Sports 1 and Premier Sports 2 and streaming service Premier Player. The company also operates the advertising-funded TV channel FreeSports. All Premier Sports platforms will receive Viaplay branding and will continue to be available through existing distribution partners. The content line-up available on the TV channels will, in due course, be expanded to include Viaplay’s broader series and film offering.

Anders Jensen, Viaplay Group President and CEO: “This acquisition will put Viaplay firmly on the UK map and accelerate our development in this key market. Premier Sports has a loyal and expanding subscriber base, well-established distribution agreements and production capabilities, and a great sports portfolio that complements our own. There is also a big opportunity to make Viaplay’s wider offering, including our award-winning Viaplay Originals, available to Premier Sports’ subscribers. We have secured this growing and profitable business at an attractive valuation. This is a fast and effective route to building an even stronger position for Viaplay in the UK.”

Richard Sweeney, Premier Sports CEO: “At Premier Sports, we’re proud to have created a dynamic, innovative sports streamer and broadcaster over the past 13 years. From modest beginnings, and through the hard work and dedication of our people, we have continually grown the company, and today we have an extensive portfolio of must-see live sports that entertain loyal customers across the UK. Our sale to Viaplay Group will dramatically increase the content available to new and existing subscribers. This is the start of an exciting new chapter in the development of the business, and is great news for our colleagues, customers and partners.”

Founded in 2009 and majority-owned by Setanta Sports, Premier Sports’ revenues grew by approximately 33% in 2021 to GBP 26.4 million. The company is based in Dublin and has 23 full-time employees, all of whom are expected to join Viaplay Group after the closing of the transaction, which is subject to regulatory approval. The transaction values Premier Sports at GBP 30 million on a cash and debt-free basis.

As a result of the acquisition, Viaplay will expand its UK offering at launch to two streaming packages: the Films & Series package focused on the ‘best of Nordic storytelling’ with Viaplay Originals and premium third-party content, and the Total package including Viaplay and Premier Sports’ combined sports line-up, alongside Viaplay’s Films & Series offering. Further details of Viaplay’s UK content, pricing and launch date will be announced in due course.

In addition to rights currently held by Premier Sports, Viaplay’s UK sports rights include:

  • UEFA national team football: 2024 to 2028
  • NHL ice hockey: 2022 to 2027
  • KSW mixed martial arts: 2022 to 2025
  • IIHF Ice Hockey World Championship: 2024 to 2028
  • Champions Hockey League: 2023/2024 to 2027/2028
  • ISU figure skating and speed skating: 2023 to 2028 (ISU World Figure Skating Championships from 2024)
  • EHF European Handball Championship, EHF Champions League and EHF European League (men and women): 2022 to 2030
  • CEV EuroVolley, CEV Champions League, CEV EuroBeachVolley and additional CEV volleyball competitions: 2022 to 2026
  • World Athletics Continental Tour Gold: 2023 to 2029
  • World Athletics Indoor Tour: 2023
  • FIS snowboard and freestyle: 2022 to 2026 (non-exclusive).

Member Insights: Wheelchair Basketball’s journey to the commonwealth games

President of the IWBF Ulf Mehrens, looks forward to the sport’s debut at the Commonwealth and it’s global growth.

Wheelchair basketball continues to be one of the most engaging and popular sports within the Paralympic Games, with over 100,000 playing the game globally, and we have seen a fantastic growth over recent years where more and more people are able to be introduced to the sport at a recreational level. The upcoming Commonwealth Games in Birmingham will see wheelchair basketball making its Commonwealth debut – and will be the first time ever that the 3×3 wheelchair basketball format has been played on a world stage.

This will only help engage more players to play at every level. Thanks to the continued efforts in delivering events and developing new formats of the game to increase opportunities, there are ever- expanding domestic playing bases putting the sport on the map like never before and creating more access points for people to start their wheelchair basketball journey.

It is a sport that I and so many others around the world love, never failing to capture the hearts and attention of viewers and fans at the Paralympics, World Championships and now the Commonwealth Games where you see the speed, skill, and tactical battles in full force. The previous three years have seen their challenges and complexities – the pandemic meant there were no major international competitions for over a year.

Challenging times have only reiterated to us how important it is that we seize the opportunity to progress and work on making our sport even more accessible, engaging and forward-thinking. Wheelchair basketball’s Commonwealth debut is the perfect time to do exactly this, the momentum of a major competition will no doubt inspire more engagement and more innovation in the sport.

As we continue to work hard to develop and improve our sport, not only for our current players at all levels of the game, but for the many others around the world who would like opportunities to engage with wheelchair basketball, it is essential that we put the voices of our players and participants at the forefront of the game’s development.

We are putting this into action by launching a consultation process to assist in shaping a 10-year Global Strategy for the sport of wheelchair basketball – where we can get a full picture as to the views and needs of wheelchair basketball members and the sport’s wider community.

Our goal is to produce a shared vision of the sport, engaging with those who know the sport best and are passionate about introducing the game to newer audiences. Through this strategy development plan, we want to ensure that not only are we able to grow and see wheelchair basketball continue as one of the powerhouses of the Paralympic movement, but that the progress we make is always serving our community.

To achieve this, we will be taking a truly collaborative approach, working closely with 104 National Organisations of Wheelchair Basketball worldwide and the 100,000 plus who play the game globally for an intimate understanding as to the specific needs and challenges that we can seek to address to make wheelchair basketball as far-reaching, accessible, and engaging as possible.


The voices of clubs and players across the world will then directly feed into IWBF’s strategic outcomes for the global strategy directives and guidelines, and help to build a sustainable platform to grow the sport over the next 10 years.

This as an incredible opportunity to take the passion and lived experience of those involved in wheelchair basketball at every level and integrate this thinking into our every action to improve the sport.

The consultation is in the form of two short surveys – one for members of the National Organisations governing Wheelchair Basketball, and the other a short multiple-choice survey for the wheelchair basketball community.

This will ensure that everyone, at every level of the game, can input and assist in shaping the future of the game worldwide.

In partnership with British Wheelchair Basketball through funding from the UK Sport International Relations Fund, IWBF has been fortunate to be able to appoint world-renowned global management consultancy firm, Portas, to lead on the creation of this new long-term strategy for the sport.

Following the pandemic which has stagnated progress across sport more broadly, I believe now is the time to instead look forward. This approach will see us utilise the invaluable expertise of those involved in the sport, to implement proactive measures for improving the experience of wheelchair basketball for all.

I invite anyone who is passionate about the sport to join us at the start of this journey, and help us make meaningful and exciting changes that will help take wheelchair basketball to the next level.

https://bit.ly/IWBFWBCommunitySurvey.

Henrik Stenson removed as Team Europe Ryder Cup captain as he is expected of joining LIV Golf

Ryder Cup Europe today confirms that Henrik Stenson’s tenure as Captain of Team Europe for the 2023 Ryder Cup at Marco Simone Golf and Country Club in Rome, Italy from September 25 – October 1, 2023, has been brought to an end with immediate effect.

In light of decisions made by Henrik in relation to his personal circumstances, it has become clear that he will not be able to fulfil certain contractual obligations to Ryder Cup Europe that he had committed to prior to his announcement as Captain on Tuesday March 15, 2022, and it is therefore not possible for him to continue in the role of Captain.

Confirmation of the new 2023 European Ryder Cup Captain will be made in due course. Ryder Cup Europe will be making no further comment on any aspect of the process until that time. 

Member Insights: What’s going on in the streaming subscription space?

Roy Barak, CEO of Vindicia a digital subscription retention company, takes a deep dive into the streaming subscription space after the Netflix crash.

The past few months have been tough for streaming companies; notably, Netflix whose subscription number dropped by 200K, the company’s first ever recorded subscriber loss. This was followed by a sharp drop in share value and even a lawsuit from shareholders. Around the same time came the spectacular rise and fall of CNN+. You might be forgiven for thinking that we are entering a post-streaming era but hold on! Here’s my take on these recent events in the streaming subscription industry, and some of the surrounding issues:

Growth doesn’t last forever

One of the takeaways of the Netflix crash is that no matter how successful a business may be, growth is never continuous. At some point, growth will begin to slow down, and that goes for subscription services too. In fact, subscription companies tend to follow a similar trajectory – a lengthy period of hyper-growth before entering a slower growth period. This is natural and to be expected.

The subscription model still shines

Bad news makes good headlines, but the truth is often more complex. Sure, Netflix might have missed on the top line, but the company is still ahead on the bottom line, and that is a critical piece of the puzzle. The subscription model is flexible, far more so than other business models, and slowing growth does not necessarily translate to lower margins.

What’s up with Wall Street?

What happened with Netflix is the perfect example of how Wall Street needs to revisit their model valuations for subscription businesses. At the end of the day, Wall Street doesn’t yet fully understand the hybrid ecosystem, or the fluidity that is built into it. Moreover, the COVID pandemic pushed the industry five years into the future, way ahead of its time. Wall Street folks are either overreacting now, or their models were overly optimistic. Whichever it is, the whole system needs to rebalance its true footing in order to continue to grow, and that might just be what we are seeing now.

Don’t overreact

One thing Netflix should not do is overreact and deviate too much from the business strategy and brand essence. If their strategy is anti-ads, for example, they should stick to it. After all, Netflix is still the biggest streaming service, and the market-maker. Time will tell of course, as latest reports emerge that Netflix is indeed considering offering a low-cost, ad supported streaming option. Even so, as a general rule, drastic reactive moves are almost never a good idea, and it pays to remember that.

Bye-bye CNN+?

Despite the mini tsunami in the industry when news of the CNN+ debacle broke, this actually looks more like a casualty of Warner Bros-Discovery merger politics, rather than an indicator of the streaming wars. No company is immune from internal politics and the tremors that come with it. In any event, the content on CNN+ is here to stay – we’ll still see it on HBO Max and Discovery+, both of which include content from a multitude of channels. While CNN+ is dead, the content and customer demand is very much alive; it will simply exist elsewhere in the streaming space.

Is it the end of streaming subscriptions?

IMO, no, but it is the start of something new: customers who are more aware, and businesses that are more agile.

Aware customers balk at friction and demand better subscription experiences. Agile businesses leverage tools to help solve subscription pain points in a creative and revenue-generating way. 

Instead of cutting back on streaming content, look at how to cut back on passive churn. (With Vindicia, subscription companies are reducing churn dramatically and seeing revenue increase immediately.) Instead of resorting to advertising, consider how to offer personalized bundles so you can improve customer LTV and increase revenue that way. 

Before changing the product – and clipping the wings of your business – check your subscription intelligence data and analyze your subscription ecosystem. Is the payment process optimized? Is the user journey personalized? Does your product or service give value?  

It’s not the end of streaming subscriptions. It’s the beginning of a new way of doing business. That’s the big message from the recent Netflix and CNN+ stories.

PA betting services expands partnership with Bet365

PA Betting Services (PABS), a leading data and content business, has extended its partnership with bet365. The additional international football data and content will help bring more betting opportunities to its ever-growing customer base.

For over 20 years, PA Betting Services has powered bet365’s platform with horseracing, football, and sports content. It has now extended its coverage, providing additional international football data from Scandinavia, South America, and Eastern Europe through the PA Betting Services Football Data API.

Eugene Delaney Director of PA Betting Services said: “We are delighted to play such an integral role for bet365. Our teams work relentlessly to make sure all PA Betting Services data is delivered quickly and accurately. We have showcased our agility and reliability to deliver multiple leagues from around the world in a very short space of time.”