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Verizon bundles more streaming services

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Feb 28, 2024
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Illustration: Aïda Amer/Axios

Media companies are partnering up to reduce churn for their streaming services. Verizon, with its latest bundle, sees itself as the perfect middleman.

Why it matters: For Verizon, offering discounted and bundled services is a way to win and retain customers at a time when entertainment giants are seeking to squeeze profits from their streaming products.

"I tell people we are the OG subscription business from the time of Alexander Graham Bell," Verizon Consumer Group CEO Sowmyanarayan Sampath tells Axios.

Reality check: Other companies also serve as a gateway to streamers.

  • Charter waged war against Disney to secure access to Disney+ and ESPN+ for Spectrum customers. It also teamed up with Comcast on the Xumo Stream Box. Roku, Amazon and Apple also offer channel stores.

Zoom in: Verizon announced Wednesday a new bundle of Netflix Premium and AMC+ Ad-Free on +play, its subscription management platform, and expanded access to the service.

  • The new bundle costs $25.99 per month, nearly 20% cheaper than if the services were bought individually and directly through the providers.
  • The company also said +play will soon be available to customers of Fios home internet and TV — not just ones of Verizon mobile.

By the numbers: Churn is reduced by 60%-70% for a subscription service managed by Verizon compared to elsewhere, Sampath says.

  • Verizon manages more than 13 million content subscriptions.
  • Sampath says he has 14 subscriptions via +play.
  • Verizon offers 45 subscription services in +play, along with bundles for Netflix with Starz and Netflix with AMC+. It also offers three other discounted bundles — the Disney bundle, Apple One and Netflix with Max — via its mobile phone plan, myPlan.

The intrigue: Verizon and Disney have maintained a close partnership. Like most streaming services, Disney raised its streaming services prices last year. But Verizon kept its $10-per-month deal for the Disney bundle through myPlan.

What's next: Expect more bundles. Sampath says content providers are reaching out to Verizon on a "daily basis wanting to do deals."

  • Verizon's deal requirements include if there is exclusivity, overall value to customers and "massive savings," Sampath says.
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