Paramount+ To Merge With Showtime in an Attempt to Increase Profitability
Amid the growing competition in the streaming industry, Paramount Global announced on Monday it will be fully integrating Showtime with Paramount+.
Since the pandemic, competition among streaming services has hit new highs as more platforms emerge and fight for subscribers.
At the end of Q4 2022, Prime Video came in as the number one Subscription Video on Demand (SVOD) market leader in the U.S. at 21%, a mere 1% lead on Netflix (20%). Tied at the bottom were Apple TV+ and Paramount+, both at 6%. Now, in an effort to boost profitability, Paramount Global is fully integrating its Showtime streaming service with Paramount+, a merger intended to grow the platform as a whole.
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"This new combined offering demonstrates how we can leverage our entire collection of content to drive deeper connections with consumers and greater value for our distribution partners," Paramount CEO Bob Bakish said in a memo to employees Monday, obtained by Variety.
The integration of Showtime will happen across both linear television and streaming, resulting in its rebranding to "Paramount+ with Showtime." The price of the joint subscription has yet to be determined, but will be announced in the coming weeks, CNBC reported. As of now, a subscription for Paramount+ starts at $4.99 a month, and Showtime at $10.99 a month. The existing bundle for the two currently begins at $11.99 a month.
"This change will also drive stronger alignment across our domestic and international Paramount+ offerings, as international Paramount+ already includes Showtime content," Bakish added in the memo. "And, very importantly, this integration will unlock operational efficiencies and financial benefits across our broader portfolio."
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