Liberty CEO Recommends the Streaming Business Should Offer Tiers

  • Liberty Media Corp. CEO Greg Maffei suggests that when Starz’s contract with Netflix runs out in February, the Liberty-owned premium channel will pursue other avenues to distribute its movies and programs.
  • Maffei implored Netflix to utilize a tiered payment system to maintain the premium status of Starz products, but Netflix has sworn not to stray from its one-price format.
  • Variety speculates that Maffei could be “alluding to getting a deal done with any one of Netflix’s competitors, whether other subscription VOD market entrants including Hulu Plus, Amazon Prime and the upcoming Redbox-Verizon joint venture, or perhaps other digital content hubs including YouTube, Apple and Microsoft Xbox.”
  • Starz could also emulate HBO Go and implement an on-demand broadband product.
  • “The kind of digital deals that we seek is one that recognizes the premium nature of the business and is compatible as possible with our existing distribution scheme,” explains Maffei. “We’re not interested in a non-premium, non-tiered offering that is commoditizing both Starz’s and some of our content partner offerings.”

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