2 weeks Ago By David Richards
Hubbl the Foxtel Groups streaming box is not being killed off, despite claims by archrival Nine Entertainment who are using their Nine News publications to have a crack at the popular device after DANZ took over the Australian streaming group. Nine months ago, Foxtel CEO Patrick Delany admitted to ChannelNews that he was slowing down sales of Hubbl due to supply issues, with the device which is sold via JB Hi Fi and Harvey Norman as well as via the Hubbl web site proving to be a “steady seller” according to retailers. Currently JB Hi Fi sells the Hubbl streaming box while Harvey Norman sells the Hubble TV and streaming box, with both retailers admitting that they have “heard nothing” relating to the potentially elimination of the box by new owners DANZ.
In what is a normal practise DANZ who are facing a head on battle with Nine Entertainment over streaming rights for NRL games from 2027, is currently reviewing Foxtel’s current operation with CEO Patrick Delany admitting to ChannelNews that the Company had “over spent” on the launch of Hubbl which is seen as a key entry point product to Foxtel’s vast content offering that is set to be enhanced with the inclusion of DANZ content later this year. “Naturally, having made a significant marketing investment to build consumer awareness and establish a market position in its first year, we are now looking at how best to maintain Hubbl as a more mature business within the Foxtel portfolio of products,” he said recently. A big standout for Hubbl is the advanced software developed by US Company Comcast, which allows users to manage seamlessly both free to air and streamed services in one box.
Nine Entertainment who don’t have their own streaming box is currently facing a major dilemma, with the Company looking for ways to fund a tilt at NRL rights for their own streaming service Stan and their free to air Nine Network. Nine Entertainment management appear to have realised that the new owners of Foxtel European sports streaming group DANZ are in a strong position with the possibility that they could deliver Australian NRL games to a global audience in the future unlike the Nine network. Recently Nine Entertainment punted on an investment in Rugby Australia with the network forking out an additional $65 million in a new five-year broadcast rights deal after agreeing to a new $215 million dollar overall sponsorship package.
The only problems are that local Rugby teams including the Waratahs are struggling to deliver an audience for the network. As part of the new deal Super Rugby games will no longer be shown automatically on free-to-air television. Initially Nine planned on delivering fees through bonus payments if the Wallabies and Super Rugby sides hit success targets during their campaigns.
The launch of Hubbl in Australia has also led to increased sales of both Kayo Foxtel’s sports streaming service. According to Kayo management Kayo sign-ups are up 16% year-on-year. Kayo CEO Julian Ogrin said recently “It’s exciting for us.
We’re now a sports-led organisation in the Foxtel Group, and Kayo is a sports-only business, and to be bought out by a sports-led company that truly understands us, and our IP is exciting.” Recently London-based sports broadcaster Dazn finalised its takeover of Kayo’s parent company, Foxtel Group after the former Labor Federal Government approved the deal. Recently DANZ cut an A1.
5 billion dollar deal with FIFA to secure the rights to inaugural 32-team Club World Cup being held in the United States this year. Subscribers in Australia are set to get access to the games via Hubbl and Kayo as well as the traditional set top boxes. DAZN has also secured an option for future rights for the event, with Australian subscribers set to get access to a multitude of new sports.
FIFA initially tried to secure a $1 billion global deal with Apple before cutting a deal with DANZ. In the UK, The Club World Cup will be broadcast on Channel 5 following a sublicensing deal with DAZN. The free-to-air channel will show 23 of the newly expanded tournament’s 63 matches live: 15 group games, four last-16 matches, two quarter-final games, one semi-final and the final.
At this stage it’s not known whether DANZ will cut a deal with the likes of SBS who in the past have had the rights to World Cup games..
