WarnerMedia CEO Jason Killer also told investors that by the end of the year the streamer will be in 60 international markets. AT&T expects it to have 120 million to 150 million HBO Max and HBO customers that expect to sign up by the end of 2025, it will be outside the US market.
On Friday, the telecom giant informed investors about how the international expansion of HBO Max starting this year would increase subscribers and revenue for the streaming platform. “We’re starting to build on HBO Max’s current US momentum and offer it worldwide,” WarnerMedia CEO Jason Killer told AT&T Investor Day.
HBO Max is set to launch in 60 countries outside the US this year – 39 territories in Latin America and the Caribbean at the end of June, and 21 other territories in Europe in the second half of the year. It is the first forest in international markets for WarnerMedia’s streaming platform, launched in the US in May 2020, and which provides an array of content from the studio’s TV and film catalogs, original slates, and locally produced content is.
By 2025, Killer estimates that about 50 percent of HBO Max and HBO customers will be outside the US market, and HBO Max and HBO revenues will more than double to $ 15 billion within five years. Analysts pointed out, “You should think about the 120 million to 150 million subscribers who are outside the US market. Obviously, this can change depending on the growth rate in each specific market we go to.”
Killer said it is too early to estimate how many international markets can sustain an ad-supported HBO Max service, which WarnerMedia plans to launch in the US market this June. “Some markets will not be able to support [AVOD HBO Max],” he said. Killer did not provide any details on the cost of HBO Max services internationally, beyond WarnerMedia suggesting an “aggressive pricing strategy”.
At the time of launch, existing HBO Go direct-billed customers in Latin America will get instant access to HBO Max via a new app, and will phase out the HBO Go service south of the border. And HBO-branded streaming services in Europe will be upgraded to HBO Max later this year. Killer told investors, “With a dramatically improved user experience, with HBO almost twice the amount of content employed as compared to HBO, we think European consumers will quickly adopt this new service.”
WarnerMedia has focused on HBO Max as Hollywood’s entry into the streaming wars. This includes expanding the programming for streamers not found with HBO as it taps top franchises including WarnerMedia’s DC Comics, Game of Thrones, and Harry Potter. HBO Max’s upcoming fares include Kate Winslet vehicle Ghost of Easttown and YA Entry Generation.