TPG IPTV To Screen Foxtel Shows
The deal was cited in a Fairfax media report today, although neither company officially confirmed the content agreement.
Pay TV giant, Foxtel, will licence “white label” content to TPG in a new agreement as the telco revealed yesterday it would launch a brand new ‘premium’ IPTV service in 2015 as part of a ‘treble play’ TV, broadband and phone bundle offering.
The move comes as Foxtel faces intense competition from low cost operators like Quickflix, Stream Co and Netflix due to launch next year, and is fast losing its grip on its Pay TV monopoly, which is vastly overpriced.
However, the move is somewhat unusual, considering Foxtel is half owned by TPG rival, Telstra.
No contracts have been signed, yet but the new IPTV service is said to be in line with TPG’s existing low cost internet TV product, which is free as part of a bundle.
Sources predict a telco war is about to break out with iiNet and Optus hooking up to Fetch TV, Telstra also bundling Foxtel content as part of its ‘treble play’, and the emergence of Stream Co which is a Internet TV JV between Fairfax and Nine Entertainment Co.
TPG’s “premium” service will be just a standard ‘tick the box’ IPTV offering, allowing the telco to compete with big boys like Telstra, sources say, with Foxtel unlikely to hand over all of its “crown jewels” TV channels.
TPG already has a free IPTV service delivered showing free-to-air channels like Nine, ABC and Seven as well as foreign channels Aljazeera, Bloomberg TV and Russia Today, to customers on an ADSL2+ connection.
The new service is likely to be delivered via fibre.
Foxtel’s ‘entry-level television content’ would be shown through TPG’s own set top box, the media report indicates.