TF1 reportedly planning to shut down TVOD service

French commercial broadcaster TF1 plans to shut down its transactional VOD service MYTF1VOD by the end of July, according to report by local business title Capital.

According to the report, which doesn’t name its sources, the broadcaster is looking to transfer rights with producers that run beyond the cut-off date of the end of July to a third-party, and is in talks with Canal+.

According to Capital, the decision has been taken against the backdrop of a long-term decline in the TVOD business as consumers turn to subscription services such as Netflix or – potentially – the Salto JV of which TF1 is a part.

The business title says that it no longer makes sense for TF1 to strike deals involving minimum guarantees with Hollywood studios to obtain film rights for the service.

According to Capital, TF1 makes about €20 million a year from the service, which is operated by its TF1 Vidéo unit.

The move will leave the TVOD market in France to Canal+, Orange and a few specialist services along with international services provided by the likes of Apple, Google and Rakuten. Amazon also recently entered the market with the TVOD offering within its Prime Video service.

In the SVOD world, a beta-test launch of Salto, the JV between TF1, fellow commercial broadcaster M6 and pubcaster France Télévisions, is scheduled for the beginning of next month, but the full commercial rollout is now expected in the autumn, with the freeze of production activity as a result of the coronavirus lockdown having an impact on the original plan for a more extensive soft-launch in June.