For an additional $4 ($11.99 per month), Hulu is offering an ad-free option to streaming movies and TV shows. Those who prefer to pay $7.99 will still have to sit through ads. The move could help Hulu better compete with popular streaming services such as Netflix and Amazon that do not include advertising. It could also present the company with an opportunity to increase its revenue in order to invest in more content. This could prove vital since premium cable networks such as HBO and Showtime are making their programming available outside traditional cable bundles. Continue reading Hulu Introduces Ad-Free Option to Streaming for Additional $4

Directly targeting AT&T, Sprint is now offering DirecTV subscribers a year of free cell phone service. The offer, which started August 28 and ends September 30, includes a plan with unlimited talk, text and up to 2 gigabytes of data per month, plus a one-time $36 activation fee, but not the cost of a smartphone. Sprint’s move is an attempt to foil AT&T’s plan to turn DirecTV subscribers into AT&T subscribers, a key motivation for the wireless company’s $49 billion acquisition of the satellite TV provider. Continue reading Sprint Offers Free Service to Lure DirecTV Subs From AT&T

Antitrust regulators are reportedly taking a preliminary look at whether Apple’s business model for selling streaming music apps may be illegal under current antitrust law. While the company now has its own music streaming service, Apple also takes a 30 percent cut of in-app purchases through its App Store for competing services such as Jango, Rhapsody and Spotify. According to industry sources, the Federal Trade Commission has not announced a formal investigation, but has started to look into the issue by meeting with concerned parties. Continue reading FTC Examines Apple’s 30 Percent Charge for Rival Music Apps

There are currently 2.6 billion smartphone subscriptions worldwide, and while developing markets have been leveling off, less mature markets are starting to experience significant growth. According to the latest annual Mobility Report from Ericsson, we should expect to see 6.1 billion smartphones in circulation by 2020, at which point phones will exceed the number of active fixed line subscriptions globally. Ericsson projects that the total number of mobile subscriptions will reach 9.2 billion in five years, as less developed markets continue their expansion. Continue reading Ericsson: 70 Percent of World Will Have Smartphones by 2020

Jet, the e-commerce startup that plans to compete with Amazon on price rather than delivery time, recently made a beta version of its site available to the first 10,000 customers of the nearly 360,000 it has reportedly signed on for early access. Where other e-commerce companies are aiming to make online shopping more convenient through means of expedited shipments, Jet hopes to help customers save hundreds per year by offering lower prices on all its goods. Continue reading Jet Has Ambitious Plan to Take on Amazon with Lower Prices

While television continues to migrate online, live sports have been slow to follow. Many people are still tethered to their cable subscriptions because they want to watch their sports live. As soon as sports programming breaks from bundles and is streamed online, more consumers may become cord cutters and abandon their cable subscriptions altogether. Meanwhile, Canada has become one of the first countries to require companies to dismantle their cable bundles and allow customers to choose their channels. Continue reading Is Television Being Held Back by Traditional Cable Bundles?

Nielsen reports that about two in five U.S. households currently subscribe to streaming video services. According to the measurement company’s latest Total Audience Report, about 36 percent of households were Netflix subscribers in November. Netflix indicates it now has 40 million paid subscribers in the U.S. Following Netflix is Amazon Prime at 13 percent and Hulu Plus at 6.5 percent, explains the Nielsen study, which also shows that streaming service subscribers spend significantly more time viewing content. Continue reading Streaming Video Subscribers Spend More Time Watching TV

During yesterday’s Apple product event in San Francisco, HBO announced it plans to launch its much-anticipated “HBO Now” Internet streaming service in April, initially on Apple devices (the exclusivity is scheduled for three months). The new service, which does not require a traditional TV subscription, will run $14.99 per month. Its debut will coincide with the new season of HBO’s “Game of Thrones.” HBO Now subscribers will have access to all of the cable network’s original programming in addition to its movie offerings. Continue reading HBO to Launch Streaming Service Next Month on Apple Devices

HBO is expected to offer its Web-only subscription service this spring. According to Parks Associates, the move could have an impact on the pay TV business since 17 percent of homes with high-speed Internet indicate plans to subscribe to the OTT service. And while 88 million U.S. households currently have broadband, that percentage potentially represents nearly 15 million subscribers. Following a strong media reaction, Parks followed up by clarifying that the data is a measure of sentiment and placing numbers on potential cord cutters may be premature. Continue reading Parks Research Predicts Early Adopters of HBO Online Service

The home entertainment divisions of Hollywood studios are projected to generate record sales of movies and TV shows on digital platforms this holiday shopping season between Thanksgiving and Christmas. Digital sales are experiencing an upswing as more consumers access media via their mobile devices, smart TVs and connected game consoles. In addition, retailers such as Best Buy, Target and Walmart are pushing digital in an effort to make up for the downward trend in disc sales. Continue reading New Holiday Sales Records Predicted for Digital Home Video

In less than six years, a significant percentage of the world’s population is projected to own a mobile phone. That is 90 percent of all people over the age of six by year 2020, according to the latest Ericsson Mobility Report. And even within those parameters, smartphones only account for about 37 percent of total mobile subscriptions. There is still opportunity for growth, especially as the rising trajectory for mobile video consumption continues to push the demand for “smarter phones.” Continue reading Mobile Devices to Reach Most of World’s Population by 2020

While Netflix has become the largest standalone subscription programming service in the U.S., and the leading brand among millennials, the company attracted a disappointing number of new users during the third quarter, resulting in a 26.4 percent drop in its stock value yesterday. Netflix added 980,000 customers for the quarter, down from 1.3 million for the same period last year. The disappointing results were intensified by HBO’s announcement that it plans to offer a competing service next year. Continue reading Netflix Shares Take a Hit After Disappointing Third Quarter

Netflix, which recently reached 50 million streaming customers, now generates more revenue from subscriptions ($1.146 billion) than HBO. According to Netflix CEO Reed Hastings, edging past HBO’s $1.141 billion is a “minor milestone.” SNL Kagan estimates that HBO has 28.7 million U.S. subscribers. However, HBO remains much more profitable than Netflix. In related news, Time Warner Chairman Jeff Bewkes told analysts this week he is open to OTT services. Continue reading Netflix Has More Subscribers, But HBO Remains More Profitable

Amazon plans to release a video streaming device in time for the holiday shopping season. The set-top box, which will reportedly look similar to a Roku player, will feature a platform that runs apps and content from a variety of sources. Amazon has approached multiple app developers and cable TV providers with the hopes of attaining partnerships. The device will be a vehicle for Amazon’s expanding video streaming service that puts the company in competition with Netflix. Continue reading Amazon Plans to Release New Set-Top Box for Holiday Season

During day three of its I/O developers conference on Friday, Google announced that in-app revenues via the Google Play store are up 700 percent since the same period last year. The company’s recently launched Google Subscriptions model is also seeing progress, doubling inbound revenue each quarter since its launch about 12 months ago. Some apps using Subscriptions as their revenue model, such as Pandora, have reached the top grossing list. Continue reading I/O: Google Play In-App Purchases Increase by 700 Percent