Tuesday 30 July 2024

FT: Warner Bros Discovery in talks with UK streamers over HBO programmes

Story from FT:

Warner Bros Discovery is in talks about showing HBO content in the UK via its Max streaming platform on rival streaming and TV services, raising fresh questions over its existing exclusive arrangement with Sky to show hit programmes such as Game of Thrones.

Warner Bros Discovery plans to launch its Max streaming service in the UK in 2026, which will show all of the programmes made by its HBO arm including Succession and White Lotus, as well as other content such as Warner Bros movies, Eurosport and Discovery.

The HBO programmes are currently exclusively shown by Sky, owned by rival US media group Comcast, in a deal struck in 2019.

However, Warner Bros Discovery has also entered into discussions with other broadcasters including Amazon Prime, Virgin Media and EE, the telecoms group, according to multiple TV executives with knowledge of the talks. It is also still in negotiations with Sky over a deal to put Max on its platform.

The discussions have focused on future deals for those broadcast and streaming services to carry Max and HBO content as part of their bundles of TV entertainment. Sky’s current deal is due to run until the end of 2025.

The negotiations are still fluid, according to those involved, but have centred around so-called carriage deals that would see the TV providers pay a fee to offer the channel to subscribers.

Sky chief executive Dana Strong has said in the past that she was confident that the broadcaster would strike a deal with Warner Bros Discovery for HBO content — which is some of its most-watched programming including shows such as House of Dragons, White Lotus and Succession.

Strong said at a conference in June: “We’re in conversations with Warner, and it’s fair to say that regardless of the scenario we end up with, Sky customers will have access to Warner content on Sky platforms. It’s really just a discussion about how we integrate that and how we work together going forward.”

However, this is unlikely to be under the same terms as Sky currently enjoys, according to broadcast executives, given the need for Warner Bros Discovery to ensure that its own streaming service is a success with as much premium content as possible.

Warner Bros Discovery would be open for deals for other streamers to carry Max on their own services, however, in order to boost customer numbers, similar to how Amazon and Sky offer services such as Paramount+.

Representatives for Amazon Prime, Virgin Media, EE and Warner Bros Discovery declined to comment.

Warner Bros Discovery has now launched its streaming service Max across Europe, the US, Latin America and the Caribbean, replacing and adding to content such as Eurosport previously available on HBO Max.

Max will stream all the Olympic Games Paris 2024 live, with Paris 2024 included in all subscription plans.

Warner Bros Discovery reversed a policy to reduce third-party content sales in order to boost HBO Max in 2022. By using rival streamers, Warner Bros Discovery expands its customer base and maximises the amount of money generated for its investment in content.

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