RIP Presto: Foxtel To Absorb The Subscription Video Streaming Service

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Presto, Australia's third most popular subscription video streaming service, will be shutdown by January 2017 after Foxtel bought out the remaining stake in the company from its joint-venture partner Seven West Media. Here's what you need to know.

Update: Foxtel just announced what will happen to existing Presto customers. Details below.

Often seen as the poorer cousin of Netflix and Stan, Presto's future became more uncertain after its part owner Foxtel released its own digital streaming service in the form of Foxtel Play and Foxtel Go. The Australian Financial Review reported that Seven West Media, the company that teamed up with the pay TV provider to launch Presto, has sold its half of the subscription video on-demand service to Foxtel.

The writings had been on the wall after Foxtel announced it was gearing up to rejig its Foxtel Play subscription offerings that would introduce basic packages ranging from $10 and $15 per month by the end of the year. This would have been another direct competitor to Presto. It is likely Foxtel will integrate its Presto assets into Foxtel Play.

Presto customers will be invited to transition to the new Foxtel Play packages from December 2016. The Presto service will cease on 31 January 2017.

According to Foxtel:

"All Presto entitlements will be honoured; should any promotional entitlements remain after 31 January, Presto customers will be offered appropriate alternative content."


Comments

    "third most popular" = least popular. Good riddance I say.

      I don't see why you'd celebrate less competition. As an example, since the merge of Adam Internet, iiNet and TPG, prices have gone up. That's what happens when there is less competition. My $55/month plan went to $60, now if I go NBN, I'll pay $80 with this crowd.

      Do you remember how much Foxtel used to charge for sports and movie channel? If Netflix were the only competition, do you think they'd be cheap?

      The only potential benefit I can think of for the demise of Presto is that you can get more programs from the one provider if there's less competition.

        I would celebrate less competition. Less streaming services means better choice on the remaining ones. Also if you look at Netflix pricing long term - it's been awesomely cheap. Even if it goes up a few dollars over the next decade, it's still almost too cheap.

        The comparison is not an apt one, because broadband internet is a single, commodity product with a few variations. Content is a myriad of stuff, and what the market wants is aggregation. People don't care whether broadband is aggregated or not.

    Does this mean my presto cap signed by tim cahill that i got on thursday is worth more than $2 now? haha

      I'll give you $3 for it. That's a 50% profit for you!

    sucked in another shite aussie company dead long live the o/s brands..just like holden ford and toyota u all die haha afl cricket next please and move aussies to tassie plz they stink and waste our money...see aus cant be international it sux to much , hopeless losers at best cant compete thats why afl sucks to..to bad aussie whingers you suck again, no body wants you except usa which pfft will be owned by the arab countries very soon, 7 media pfft only old farts watched 7 and 9, fat eddie who jenny craig cut because he was eating all the low fat ice cream for brek still cant get ppl to watch reruns of home and agay

    Presto was never going to succeed. Coming out MORE expensive with no HD option? How was it ever going to succeed with this business model? Not to mention less content.....

    Answer is: It wasn't.

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