OTT Content War... Peacock Secures Exclusive Rights to Universal's New Releases

Photo by Universal Pictures, WSJ

[Asia Economy Reporter Yujin Cho] Peacock, an online video service (OTT) under the US company Comcast, has secured the first exclusive broadcasting rights for new movies produced by its affiliate Universal Pictures. As content emerges as a new battleground amid intensified competition in the OTT market, there is a movement to increase exclusive content to enhance competitiveness.

On the 6th (local time), according to the Wall Street Journal (WSJ), Peacock signed a supply contract with its affiliate Universal regarding this matter. Under this contract, new movies produced by Universal will be exclusively broadcast on Peacock within four months after their theatrical release. Additionally, movies that are not released in theaters will also be produced exclusively for release through Peacock.

Universal will grant other streaming services secondary broadcasting rights for 10 months after Peacock's first exclusive broadcasting period expires, and after the secondary broadcasting ends, the movies will return to Peacock.

Universal owns franchises such as the movie series "Jurassic World" and "Fast & Furious," as well as popular animations like "Despicable Me" and "Minions."

Photo by Universal Pictures, WSJ

This move is closely related to the trend where content competitiveness is emerging as a key factor changing the landscape of the OTT market. Currently, more than eight companies are competing in the global OTT market.

Netflix (276 million subscribers), Amazon Prime Video (175 million), and Disney Plus (103.6 million) are leading in first to third place with relatively small subscriber gaps, followed by latecomers such as Apple TV (42.6 million), Peacock (42 million), Hulu (41.6 million), HBO Max (40.6 million), and Paramount Plus (9 million).

Industry leader Netflix has secured a five-year first exclusive broadcasting right for new movies by signing a contract with Sony Pictures, which does not have its own streaming platform, to counter the offensive of latecomers.

Universal had been prioritizing the provision of new movies to WarnerMedia's streaming platform "HBO Max" since 2005 but has now ended this deal.

HBO Max receives exclusive movie supplies from its affiliate Warner Bros. Although HBO Max also broadcasts movies from Disney-owned 20th Century Studios, this contract will expire at the end of next year.