MUNICH (Reuters) – German broadcaster ProSiebenSat.1-Media will be launching its streaming joint venture with Discovery Inc., on the 18th of June, a premium version is planned to go live in the coming period, the chief executive Max Conze said on Wednesday.
The joint-venture company called Joyn is an important aspect of Conze’s strategy to turn around the fortunes of the Women as he is battling a weak advertising on the commercial channels, and digital media such as Facebook to lure away the younger viewers.
However, Conze cautioned investors, Joyn, it will generate an initial loss of around 100 million euros ($113 million) is divided among the partners, and is expected to take years to turn a profit.
“We expect to Joyn with the achievement of break-even in four to five years,” he told Women’s annual shareholders ‘ meeting in Munich, germany.
Joyn – a mashup of ‘joy’ and ‘join’ will be funded by advertising on the first one, and it will host around 50 channels. These include the public broadcaster, the ARD, and the Discovery and Eurosport, with many already available on cable in Germany.
The premium version of Joyn, which are expected to go live in the winter, it would be Women’s head-to-head with Netflix and Amazon Prime subscription video-on-demand, which the US streaming giant may dominate.
Women also said that it had entered into a cooperation agreement with the social network Facebook to post the audio on a video platform, Facebook to View, aimed at reaching a younger audience.
With the cooperation of the power on June 27th, it would be more Women to the range, as well as generating additional revenue for the content and production of the company.
Conze, told investors in TV advertising continued to be the company’s biggest challenge, but it also reiterated its confidence in meeting its annual profit guidance for the year.
The shareholders, who have seen more than one-third wiped off the value of their holdings in the years since Conze, came from the united kingdom, appliance maker Dyson, criticism of executive compensation as too high.
Board of directors the chairman dr. Werner Brandt was re-elected with only 82 per cent of the vote, a decline from 97 per cent when he has been confirmed in the post in 2015, as a result of frustration at the performance of the company. ($1 = 0.8833 euros)
Reporting by Joern Poltz; Writing by Douglas Busvine; Editing by Thomas Seythal