[라이센스뉴스 임이랑 기자] Content competition among the three mobile carriers is intensifying. With Disney+’s entry into Korea, competition in the domestic OTT market, which has been monopolized by Netflix, is expected to intensify.
The telecommunication industry emphasizes that alliances with global OTT lead to an increase in IPTV subscribers, and predicts that there will be major changes in the domestic OTT market in the future.
According to the telecommunication industry on the 15th, LG U+, which had explosively increased IPTV subscribers through an exclusive partnership with Netflix, was the first to join hands with Disney Korea.
LG U+ completed the contract for IPTV and mobile partnership with Disney Korea on the 26th of last month. Accordingly, consumers can conveniently watch Disney Plus, which streams ‘The Mandalorian TV series’ and Marvel Hero movies, through LG U+’s IPTV and mobile devices.
Disney+ is an online streaming service that provides content for movies and TV shows from Disney’s six core brands: Disney, Pixar, Marvel, Star Wars, National Geographic, and Star.
Through this, LG U+ will link the global OTT ‘Disney Plus’, which will start domestic service in November, with IPTV, mobile, and LG HelloVision cable TV services. U+TV is expected to strengthen its competitiveness even more in that it is the only IPTV service that provides Disney+.
Moreover, for the IPTV partnership with Disney+, the Android operating system (OS) set-top box ratio must reach a certain level. In the case of LG U+, about 97% of set-top boxes are based on Android OS, so it has an advantage over other telecommunication companies.
In fact, as LG U+ partnered with Netflix, IPTV subscribers increased from 4019,000 in the fourth quarter of 2018 to 5,173,000 in the second quarter of this year.
KT also signed a mobile partnership contract with Disney Korea following LG U+. KT will introduce a new wireless plan to coincide with the start of Disney Plus domestic service. The plan is to allow subscribers of this plan to enjoy unlimited 5G data benefits and content from Walt Disney’s six core brands, including Disney, Pixar, Marvel, and Star Wars.
In the case of IPTV, it is expected that it will take some time compared to LG U+ in that the set-top box needs to be replaced.
In this way, while LG U+ and KT have joined hands with Disney Plus, SK Telecom is expected to prepare for service collaboration with Apple TV within the year while securing Wave content.
An official from the telecommunication industry said, “In a situation where the telecommunication industry is generally in a stagnant period, the entry of global OTT into the domestic market will bring growth of the IPTV business field and expand the range of choices for consumers. It will cause a fee problem.”
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