The boss of HBO as poured cold water on a single digital delivery streaming option for the HBO Go service, maintaining that cord cutting is just a temporary phenomenon that will magically disappear when the economy improves
HBO co-president Eric Kessler talking at the VideoshmoozeNYC event yesterday said, “there is no chance his company will make its original programs like True Blood or The Wire available to non-cable subscribers.”
Currently HBO subscribers can use the HBO Go service to stream programming around the house, but the company obviously do not want a streaming only option a’la Netflix or Hulu Plus, or even allow those companies to license content.
As to the reason why they do not want to join the 21st century? Well, HBO believes that streaming only services such as Netflix and Hulu are in competition with HBO for the paying TV customers. So it seems that streaming as a complimentary service is ok, but streaming only is a big no-no.
Kessler dismissed cord cutting as a blip, saying it is a “temporary phenomenon” that will end when the economy improves.
A streaming only HBO could be a costly affair for the company if some of their 30 million plus subscribers decided to go for a cheaper streaming only option. Many already make use of the HBO Go app, and a cheaper streaming service could hit the turnover pretty badly.
Many would accuse Kessler of burying his head in the sand. If he really thinks that customers wanting the option to watch streaming content only for a cheaper price is a ‘blip’, he may find cord cutting increasing amongst his subscribers.
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