Take that, Netflix. Beginning on May 21 the multi-year agreement will enable Amazon Prime subscribers to stream series including The Sopranos, Six Feet Under, The Wire, and later — about three years after episodes initially air — Girls, The Newsroom and Veep. In addition, by year end Amazon will offer HBO GO on its new Fire TV platform. (It’s already available to HBO subscribers on other devices including Google’s Chromecast.) The shows will still be available on HBO’s platforms, but the companies say that this is the first time the premium pay TV channel’s shows have been licensed to an online-only streaming service. “As owners of our original programming, we have always sought to capitalize on that investment,” HBO EVP Business and Legal Affairs Glenn Whitehead says.
Amazon shares are up 1.4% pre market, and Netflix is down 2.7%, following the announcement. That suggests investors didn’t fully accept Netflix CEO Reed Hastings’ claim on Monday that the streaming video providers can peacefully coexist. “It’s a very much not a zero-sum game and we are building this ecosystem together that’s about Internet video and the more players there are in Internet video, the bigger that ecosystem gets,” he said. “The big theme is Internet video is taking share away from linear video. So we are all participating in that transformation.” He has more mixed feelings about HBO: In January he joked that HBO chief Richard Plepler’s Netflix password was probably: “Netflix bitch.”
Stifel analyst Benjamin Mogil says HBO probably made its deal with Amazon, instead of Netflix, because there’s less overlap among their subscribers. Still, it’s “clearly a negative for Netflix, given the high profile nature of the HBO content” and could “somewhat limit” the streaming company’s just-announced plan to raise its prices for new customers. He notes, though, that HBO and Amazon released few details about the deal terms and that it doesn’t include all HBO shows.
Here’s today’s announcement from HBO and Amazon:
SEATTLE—April 23, 2014—(NASDAQ:AMZN)—Amazon.com, Inc. today announced a content licensing agreement with HBO, making Prime Instant Video the exclusive online-only subscription home for select HBO programming. The collection includes award-winning shows such as The Sopranos, Six Feet Under, The Wire, Big Love, Deadwood, Eastbound & Down, Family Tree, Enlightened, Treme, early seasons of Boardwalk Empire and True Blood, as well as mini-series like Band of Brothers, John Adams and more. Previous seasons of other HBO shows, such as Girls, The Newsroom and Veep will become available over the course of the multi-year agreement, approximately three years after airing on HBO. The first wave of content will arrive on Prime Instant Video May 21. This is the first time that HBO programming has been licensed to an online-only subscription streaming service. This programming will remain on all HBO platforms.
In addition, HBO GO will become available on Fire TV, targeting a launch by year-end. HBO GO is HBO’s authenticated streaming service offering subscribers instant access to over 1,700 titles online including every episode of new and classic HBO series, as well as HBO original films, miniseries, sports, documentaries, specials and a wide selection of blockbuster movies.
“HBO has produced some of the most groundbreaking, beloved and award-winning shows in television history, with more than 115 Emmys amongst the assortment of shows coming to Prime members next month,” said Brad Beale, Director of Content Acquisition for Amazon. “HBO original content is some of the most-popular across Amazon Instant Video—our customers love watching these shows. Now Prime members can enjoy a collection of great HBO shows on an unlimited basis, at no additional cost to their Prime membership.”
“Amazon has built a wonderful service—we are excited to have our programming made available to their vast customer base and believe the exposure will create new HBO subscribers,” said Charles Schreger, President of Programming Sales for HBO.
“As owners of our original programming, we have always sought to capitalize on that investment. Given our longstanding relationship with Amazon, we couldn’t think of a better partner to entrust with this valuable collection,” said Glenn Whitehead, Executive Vice President of Business and Legal Affairs, who along with Schreger headed up HBO’s negotiating team. “We’re also excited to bring HBO GO to Amazon’s Fire TV. The features like unified voice search will provide a compelling experience for HBO customers.”
Beginning May 21, Amazon Prime members will have unlimited streaming access to:
– All seasons of revered classics such as The Sopranos, The Wire, Deadwood, Rome and Six Feet Under, and of recent favorites such as Eastbound & Down, Enlightened and Flight of the Conchords
– Epic miniseries, including Angels in America, Band of Brothers, John Adams, The Pacific and Parade’s End
– Select seasons of current series such as Boardwalk Empire, Treme and True Blood
– Hit original movies like Game Change, Too Big To Fail and You Don’t Know Jack
– Pedigreed documentaries including the Autopsy and Iceman series, Ghosts of Abu Ghraib and When the Levees Broke
– Hilarious original comedy specials from Lewis Black, Ellen DeGeneres, Louis CK and Bill Maher
The multi-year deal will bring additional seasons of the current series named above, along with early seasons of other series like Girls, The Newsroom and Veep to Prime members over the life of the deal.