So I was one of those people very excited about the launch of HBO Max. I looked forward to binge-watching series like The Fresh Prince of Bel-Air, The Big Bang Theory, and others. Not only that but it’s going to be the future home of DC original series. So on the 27th, I sat down in front of my Roku loaded television and… it wasn’t there. No problem, I switched over to my Xfinity cable box where I already have Netflix, Peacock, and Amazon Prime Video. Once again it was not available. Ok, well third times the charm right? I switched over to my Amazon Fire Stick, where I keep all my apps for when I travel. Nope… nothing. I got worried that the app wasn’t available yet but I was able to see open it on my IPad and laptop. So what gives?
Although not yet available on Xfinity, AT&T owned WarnerMedia was able to make a deal with Comcast a couple of hours after the launch. Unfortunately it was unable to make a deal with both Roku and Amazon’s Fire TV. HBO is no stranger to splitting up its fees with cable operators, so the money may not be the problem. What might be holding up the deal according to Vulture is that WarnerMedia wants audiences to watch their programming on the Max app. Not as part of an internal platform like Roku and Amazon have on their devices. This is not an outrageous demand as both Netflix and Disney+ operate on an outside app. WarnerMedia just wants its streaming service to get the same treatment as the others.
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This sentiment was shared by CEO of AT&T’s Otter Media division, Tony Goncalves in an interview with The Verge. “Disney Plus and Netflix and Hulu and these other apps are on those platforms. There’s a certain business model that exists. We just want the same one. I’m hopeful that, ultimately, we’ll get there, and we’ll get there with the consumer in mind. But we just didn’t get there on day one”, said Goncalves. He also talked about how important it was for them to reach consumers who use these devices. “Being available on the platforms that consumers use to access these new networks is really, really important. There are certain business models that exist, and we each have our own.”
There is a very specific reason why WarnerMedia wants HBO Max to have its own app. It has to do with the information. On their own app they are able to collect more data on how users relate to their content. That way they are able to build a more personal connection with viewers. On the flip side, Roku and Amazon want the programming on its platform because of the advertising.
Both Amazon and Roku released statements about their current battle with WarnerMedia. Here are both statements:
Amazon: “With a seamless customer experience, nearly 5 million HBO streamers currently access their subscription through Amazon’s Prime Video Channels. Unfortunately, with the launch of HBO Max, AT&T is choosing to deny these loyal HBO customers access to the expanded catalog,” Amazon said. “We believe that if you’re paying for HBO, you’re entitled to the new programming through the method you’re already using. That’s just good customer service and that’s a priority for us.”
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Roku: “As the No. 1 streaming platform in the U.S. we believe that HBO Max would benefit greatly from the scale and content marketing capabilities available with distribution on our platform,” the company said in a statement. “We are focused on mutually positive distribution agreements with all new OTT services that will deliver a quality user experience to viewers in the more than 40 million households that choose Roku to access their favorite programs and discover new content. Unfortunately we haven’t reached agreement yet with HBOMax. While not on our platform today, we look forward to helping HBOMax in the future successfully scale their streaming business.”
According to Goncalves, they are using the deals that they have in place with other platforms like Google and Apple to measure the deal that they are willing to make with Roku and Amazon. “I don’t know what specific deals others have with either Roku or any of the platforms, but I know the deal we have with Apple. I know the deal we have with Google. I know the deal we have with the other platforms. There’s a certain business model, and we’re happy to pay people to help us acquire subscribers. Again, it’s a pretty standard way of doing business”, said Goncalves.
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At some point or another they will reach a deal. For now it’s just a minor annoyance. Although for me personally I was just able to get HBO Max on my PS4. This does seem like something that they should have worked out far in advance. Then again was this the reason that they wouldn’t release the streaming service early? Let us know what you think in the comment section below!
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