Mexico. The audiovisual content market is in a phase of explosion of its offer and metamorphosis of its players, who undertake various strategies of strengthening and expansion in that market. Thus, several of these actions have recently been announced by both content companies and telecommunications and technology.
In this regard, actions such as the disincorporation of the content business and combination of creative and intellectual assets are identified, as well as the acquisition and consolidation of players that translate into three main opportunities for the companies that have carried them out, namely: strengthening this commercial turn, attracting and exercising new investment resources and boosting competitiveness and innovation in the market.
In their strategic repositioning, the aforementioned companies are focused on strengthening, expanding and / or consolidating their position in the direct provision of content for the consumer via the internet, what we know as video streaming, in its different modalities with advertising, paid, premium or hybrid insertions. All this has evolved into what has been called the 'streaming war', in which there are identifiable plays implemented by giants in the entertainment industry, so a 'duel of titans' has been detonated in the audiovisual content market.
The Warner Bros-Discovery Case. It will be in 2022 when the conglomerate of libraries that both content players have is consolidated, with an aggregate library with more than 200,000 hours between series, programs and movies. This combination of assets aims to accelerate and strengthen the global positioning of the HBO Max paid streaming platform, as well as Discovery+.
The first was announced that it will be available in Mexico and Latin America at the end of June 2021, which will definitely pay for the competition in this market, by significantly cutting the launch window of direct premieres on its platform (35 days), incorporating sports content in the near future, as well as consolidating and expanding its original productions.
Televisa-Univision en Route to Global Competition. Another launch that we will fully witness in 2022 is the combination of creative assets of Televisa-Univision, both main and historical players in the generation of Spanish-speaking content.
Recently, it was announced that this move is focused on scaling the provision of its direct programming to audiences to a global scope, in line with the recent strategies implemented with its peers in the market.
Amazon-MGM: Acquisition for Strengthening. Both companies highlighted in their respective commercial lines have chosen to consolidate efforts and resources to strengthen their position in the subscription video content market. Amazon's acquisition of MGM fits into the profile of plays that we have referred to above.
It is definitely a historic moment in the streaming content market. Today as audiences we are witnessing the proliferation, but at the same time, the strengthening and consolidation of content on platforms available on the Internet, which have expanded our alternatives of access to these creative products.
The big winner here is the consumer who will be able to find a variety of options for viewing original and historical content. The success of these moves will be contrasted in light of the structural conditions and preferences of each market, all on the basis of an overall strategy.
Text written by Ernesto Piedras of The Competitive Intelligence Unit, CIU.
