Presto is owned by Foxtel (which is 50 percent Telstra and 50 percent News Corp) and Seven.
Quickflix is listed on the ASX with the Nine Network being the largest shareholder.
Stan is owned by Fairfax and the Nine Network.
Netflix is a public company listed on the NASDAQ.
Fetch TV is 40 percent owned by Malaysian parent Astro, and is sold through Optus and iiNet.
Typically, when new markets emerge, lots of players enter, looking to exploit the new niche. Inevitably, some of these fold or merge as the market is unable to sustain so many companies. The same is happening in the nascent SVOD market.
Presto has announced that it has entered into a conditional agreement with Quickflix to offer Presto’s SVOD TV and movies to Quickflix’s customers. The deal is subject to a series of commercial requirements before being finalised.
This means that Quickflix will be able to market and sell the Presto TV, Presto Movies and Presto Entertainment bundle across their existing range of services, assuming the deal is finalised.
The agreement is expected to be finalised in the coming months.
This is not surprising – we expect some further consolidation to take place over the next few months. We expect there to be just two or three SVOD options ultimately remaining. Stan could enter a deal with Presto and Quickflix, leaving the three local options to form one large competitor to US giant Netflix.
Given Stan is owned by one of Quickflix’s largest shareholders, this would seem to be an obvious move.