ProSiebenSat.1 chief denies streaming service will cannibalise TV

ProSiebenSat.1 plans to launch the new streaming service it is building in partnership with Discovery “with everything we’ve got”, according to CEO Max Conze, who added that the OTT TV offering would not cannibalise the commercial broadcaster’s existing business.

Max Conze

Speaking to analyts after ProSiebenSat.1 somewhat disappointing results last week, Conze said that, in relation to streaming services, “the challenge for all broadcasters is the worry about cannibalisation”. However, he said, ProSiebenSat.1 would focus “on building incremental audiences”.

He said that 30 million people in Germany currently watched the group’s programming each week and 16 million accessed content that it created via its digital platforms.

Conze said that consumers now wanted the ability to shift between linear TV and digital platforms seamlessly. He said that ProSiebenSat.1 had the goal of achieving “total reach” with its content, overcoming segregated advertising sales and measurement to “get to a world that mirrors more how consumers interact”.

ProSiebenSat.1 last week posted a full-year revenue decline for 2018 of 2% to €4.009 billion and a dip in EBITDA of 4% to €1.013 billion.

ProSieben’s top line was hit by the deconsolidation of video-on-demand portal Maxdome in July last year, and the group achieved a small increase of 1% excluding this and other consolidation effects.

The group said that growth in content production and global sales and commerce in the second half had compensated for weakness in the advertising market.

ProSiebenSat.1 and Discovery will together invest €100 million in their planned joint streaming platform in 2019.