File photo: In this Tuesday, 2 May 2017, picture, Verizon corporate signage is fixed at a shop in Manhattan’s Midtown area, in New York. (AP Photo/Bebeto Matthews) (Copyright 2017, The Associated Press. All rights reserved.)
(Copyright 2017, The Associated Press. All rights reserved.)
Verizon is testing a other over-the-top service, los of go90, as the company looks to build out the content of the offer, a source familiar with the situation says.
The new offering is described as “really expensive,” it might be a sign that the company is going to use its newly acquired NFL streaming rights as a selling point for the new service.
In December, the NFL and Verizon announced a five-year deal to extend streaming rights to NFL games, but the mobile operator does not have exclusive rights. Terms of the deal were not reported, but Recode reported that the deal was worth as much as $1.5 billion over the five-year period. The streaming rights would be available on NFL mobile app, as well as Verizon existing OTT service, Go90.
10 USEFUL THINGS THAT YOU PROBABLY DIDN’T KNOW NETFLIX COULD DO
News of the pending OTT service was first reported by TechCrunch, a Verizon property, under the Oath brand.
The source added that the new service is in the product testing phase, but they did not know when it would be rolled out to the public. It is unclear what the prices would be for the service, or the ad-supported, such as go90, or there would be a monthly subscription fee, ala Netflix.
Verizon has yet to respond to a request for comment from Fox News.
Led by CEO Lowell McAdam, Verizon has had little luck with its OTT offerings, as it tries to stave off competition from companies like Netflix.
Launched in October 2015, go90 is designed for viewing TV shows, movies, and clips. The original content, but has struggled to resonate with consumers, despite the current boom in the new series on the air. In 2017, there were 487 original scripted series, according to data compiled by FX Networks CEO John Landgraf.
FX Networks and Fox News are owned by the same company, 21st Century Fox.
STREAMING KNOCK OUT: BOXING FAN WILL PAY HUGE BILL AFTER FRIEND STREAMED FIGHT ON FACEBOOK LIVE
Go90 is currently the 107th ranked entertainment app in the App Store. On Google Play, it has between 10 million and 50 million installations, but users have noted the often buggy experience, with one saying, “streaming is choppy and stops, then start with a much lower quality.” It has a 4.7 rating in the App Store and a 4.0 rating on Google Play.
Go90 was designed to target millennials, with heavy investment by Verizon. In 2017, Business Insider reported that the company had invested as much as $200 million in the product.
In January 2017, it was reported that Verizon had put out 155 go90 employees of the San Jose office.
Follow Chris Ciaccia on Twitter @Chris_Ciaccia