CBS and Warner Bros. are considering making a joint move into the streaming subscription arena. According to a report from Bloomberg, the two media companies are in talks to create a streaming subscription service based on their jointly-owned CW Network.
Sources told Bloomberg CBS and WB executives are considering a CW subscription service as the network nears the expiration of content licensing deals with streaming providers like Netflix and Hulu and local station owners like Tribune Media Co. The move would be a way for CBS and Warner Bros. to pull in more revenue from the millennial-aged demographic typical of CW’s audience. While no plans have been finalized as of yet, Bloomberg’s sources believe the CW streaming service could cost anywhere from $2 to $4 per month and include access to both live network shows and on-demand content.
CBS already has experience in developing streaming services. The broadcast television network sells two subscription options, one based on its CBS properties called All Access and another based on its Showtime network. Adding a CW service to the selection would give CBS and Warner Bros. more control over their owned content. However, Bloomberg’s sources said if CBS and Warner Bros. created a CW subscription service before licensing deals were up with distribution partners, the two media brands would need to compensate those partners for allowing a web-based version of the network’s programming alongside their markets.
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CW’s rumored streaming subscription service would not be the most recent SVOD option in the works. Cable network Starz recently announced it’s also working on its own video service. Little is currently known about the upcoming streaming option, but Starz CEO Chris Albrecht said it’s “an exciting project” the network is looking forward to using to test distribution options and establish Starz as a major player for original streaming content.
