Tuesday, August 19, 2014 1:58:16 AM
18 Aug, 2014
By: Erik Gruenwedel
You On Demand chairman Shane McMahon
China's VOD movie market remains a question mark after high-profile service generates just $183,000 in quarterly revenue
China’s digital movie service You On Demand Aug. 18 posted a second-quarter (ended June 30) net loss of $793,000 — a marked improvement from a net loss of $3.3 million during the prior-year period, according to a regulatory filing.
The subscription streaming and transactional VOD service, with headquarters in New York and Beijing, has over the years secured high-profile content license agreements with Disney Media Distribution, Paramount Pictures, NBC Universal, Warner Bros., Miramax, Lionsgate and Magnolia, as well as a broad selection of content from Chinese filmmakers.
Yet the service generated just $183,000 in revenue in the second quarter, which was up from $51,000 in revenue during the prior-year period. These are hardly impressive numbers in a Chinese market where more than 700 million people are projected to watch online video content this year.
To help secure better connections in China, You On Demand recently appointed Weicheng Liu as CEO, replacing Shane McMahon, who remains chairman of the board. Marc Urbach is president and CFO of the company.
China remains a burgeoning movie-watching market, with theatrical sales expected to become the largest in the world in a couple of years. Social media sites such as Youku and Tudou have hundreds of millions of unique monthly users, but online digital distribution remains a challenge.
Lionsgate is launching a SVOD service in China this month. The service is a partnership with Alibaba, one of the country’s largest e-commerce sites, and includes the latter’s set-top boxes and connected TVs.
Dubbed “Lionsgate Entertainment World,” the service would also include transactional video-on-demand and electronic sellthrough, featuring the Santa Monica, Calif.-based studio’s catalog of movies and TV shows, including The Hunger Games, Divergent, “Nashville,” Rosemary’s Baby and “Mad Men,” among others.
“It’s another way for us to get content into the Chinese market with a great partner,” Jim Packer, president of worldwide television and digital distribution at Lionsgate, told Bloomberg last month. “We’re always exploring opportunities in China, it’s a growing content market, it’s a content market you have to be in.”
Meanwhile, a 2011 McKinsey & Co. report found that successful online video sites would need to expand their bandwidth; hire experienced online advertising salespeople, and license content that will would generate the largest audiences and advertising.
“The best-funded sites are therefore likely to pull steadily ahead, in what could be a winner-takes-all phase of the market,” analyst Alan Lau wrote.
You On Demand’s fiscal results suggest it will take more than content to lure users.
Related Links :
China’s You On Demand Gets Disney Movies
Recent IDEX News
- IDEX Biometrics is bringing biometric cards to market with large smart card manufacturer in South Asia • GlobeNewswire Inc. • 05/08/2024 07:30:00 AM
- Ideanomics Announces Receipt of Notice from Nasdaq Regarding Listing Rule 5250(f) • GlobeNewswire Inc. • 04/27/2024 01:27:07 AM
- Ideanomics Announces Receipt of Notice from Nasdaq Regarding Late Filing of Annual Report on Form 10-K • GlobeNewswire Inc. • 04/24/2024 09:30:00 PM
- Mutual Trust Bank launches biometric cards with IDEX Biometrics in Bangladesh • GlobeNewswire Inc. • 04/02/2024 06:54:00 AM
- Solectrac Announces Strategic Reorganization to Further Amplify Electrification Efforts and Enhance Customer Support • GlobeNewswire Inc. • 03/27/2024 12:00:00 PM
- Ideanomics Announces Fourth-Quarter and Full-Year 2023 Earnings Call Details • GlobeNewswire Inc. • 03/25/2024 11:56:49 AM
- DenizBank launches biometric payment cards in Turkey based on IDEX Pay • GlobeNewswire Inc. • 03/18/2024 10:30:00 AM
- Turkish bank launches biometric payment cards based on IDEX Pay • GlobeNewswire Inc. • 03/18/2024 08:01:45 AM
- IDEX Biometrics receives IDEX Access production order from Sentry Enterprises • GlobeNewswire Inc. • 03/15/2024 07:30:00 AM
- WAVE Charging Appoints Macy Neshati as General Manager to Spearhead Expansion and Scale • GlobeNewswire Inc. • 03/11/2024 11:58:29 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 03/08/2024 10:13:57 PM
- IDEX Biometrics and UK fintech to launch biometric cards for payment accessibility • GlobeNewswire Inc. • 03/01/2024 08:30:00 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 02/29/2024 10:00:20 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 02/23/2024 10:07:27 PM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/14/2024 09:30:21 PM
- Form 4 - Statement of changes in beneficial ownership of securities • Edgar (US Regulatory) • 02/08/2024 09:52:14 PM
- KONA I to introduce biometric smart cards with IDEX Biometrics in Japan • GlobeNewswire Inc. • 02/08/2024 09:59:11 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 01/31/2024 01:12:21 PM
- Energica Inside Signs Agreement with Nimbus to Provide Customized Electric Powertrain • GlobeNewswire Inc. • 01/30/2024 01:00:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 01/26/2024 01:09:32 PM
- WAVE Charging Sets Industry Milestone with First-Ever OEM-Approved Commercial Wireless Charging Integration in Kenworth's Class 6 Electric Trucks • GlobeNewswire Inc. • 01/24/2024 12:30:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 01/18/2024 12:30:06 PM
- WAVE Charging Announces Receipt of Purchase Order from Leading Retail and Logistics Company • GlobeNewswire Inc. • 01/18/2024 12:30:00 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 01/16/2024 12:50:00 PM
- First Planned Deployment of 500kW Inductive Charger to Power Electric Trucks in Cold Climates • GlobeNewswire Inc. • 01/16/2024 12:00:00 PM
Avant Technologies Equipping AI-Managed Data Center with High Performance Computing Systems • AVAI • May 10, 2024 8:00 AM
VAYK Discloses Strategic Conversation on Potential Acquisition of $4 Million Home Service Business • VAYK • May 9, 2024 9:00 AM
Bantec's Howco Awarded $4.19 Million Dollar U.S. Department of Defense Contract • BANT • May 8, 2024 10:00 AM
Element79 Gold Corp Successfully Closes Maverick Springs Option Agreement • ELEM • May 8, 2024 9:05 AM
Kona Gold Beverages, Inc. Achieves April Revenues Exceeding $586,000 • KGKG • May 8, 2024 8:30 AM
Epazz plans to spin off Galaxy Batteries Inc. • EPAZ • May 8, 2024 7:05 AM