WarnerMedia will begin beta testing its planned SVoD service at the end of next year.
The unnamed service will be offered to subscribers in three packages: an entry-level film-focused package, a premium service with original programming and blockbuster movies, and a third option “that bundles content from the first two plus an extensive library of WarnerMedia and licensed content.”
WarnerMedia CEO John Stankey spoke to investors at a presentation in New York. He said the company is looking to offer content that will appeal to a wider audience than the company's current HBO, Turner and Warner Bros. units.
“We want to broaden the relevant demographic base,” Stankey told investors. “Our goal now is to open the aperture. We want to pick up more content and get more engagement on digital content.”
Stankey made the point that as content owners look to launch their own platforms (Disney will also launch an SVoD next year), the current big players could see their content libraries start to shrink: “Some incumbents in that space should expect their libraries are going to get a lot thinner,” Stankey said.
“Think about what happens in the next 18 to 24 months. We’re going to see a pretty substantial structural shift that is going to occur."