NBCUniversal's Peacock could charge $10/month for ad-free video streaming
Disney+ is only five weeks old and already we are looking at another big name video streamer about to enter the market. NBCUniversal's Peacock might offer several pricing tiers including a free ad-supported level of service. According to The Information (via Engadget), there also could be an ad-free subscription available for $10 a month. The report also mentions the possibility of a subscription priced in the middle at $4.99 per month that would have limited ads. NBCUniversal is expected to officially announce Peacock's pricing on January 16th. Peacock is expected to launch this coming April.
The competition among video streamers to snag popular content has jacked up the prices that are being paid for certain series. NBCUniversal has reportedly shelled out $500 million for an exclusive five-year deal to stream The Office starting in 2021. Netflix spent $100 million for one-year of Friends which will move to HBO Max next year to start a five-year run. HBO paid $425 million for the streaming rights to the sitcom.
It isn't clear whether the free tier of Peacock will be offered to all, or only to those with a cable or a Comcast broadband subscription. Peacock is expected to host over 15,000 hours of content including popular NBC shows such as Parks and Recreation, Frasier, and Cheers. The service will also stream reboots of old NBC shows such as Saved by the Bell and Punky Brewster.
Some consumers might be very attracted to a free tier of service if Peacock offers it to everyone. Consider that Netflix and Amazon Prime Video start at $9 per month, Disney+ is currently offered for a monthly cost of $6.99, Hulu is priced at $6 per month, Apple TV+ is $5 monthly, and subscribers to HBO Max will have to make monthly payments of $15.
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