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You are here: News Journos » Business » New Streaming Service Set to Launch Before NFL Season
New Streaming Service Set to Launch Before NFL Season

New Streaming Service Set to Launch Before NFL Season

News EditorBy News EditorMay 13, 2025 Business 9 Mins Read

The media landscape is shifting as Fox Corp. announces its plans to launch a new direct-to-consumer streaming service titled Fox One. Scheduled to debut ahead of the upcoming NFL season, this service aims to provide cable TV subscribers seamless access to Fox’s extensive content. With changes in viewership habits and competitive pressure from major players in the streaming sector, the move signals Fox’s commitment to adapting its business model while maintaining its traditional customer base.

Fox Corp. will launch its direct-to-consumer streaming service, to be called Fox One, ahead of the National Football League season later this year.

Fox CEO Lachlan Murdoch unveiled the name and timing of the company’s upcoming streamer during a quarterly earnings call Monday. The exact launch date and pricing will be announced in the coming months.

While Murdoch didn’t give specifics on pricing, he said during Monday’s call it would be in line with so-called wholesale pricing, meaning it would be similar to the cost of the channels for pay TV distributors. Cable TV subscribers will get access to the service at no additional cost, Murdoch said.

“Pricing will be healthy and not a discounted price,” he said.

“It would be a failure of us if we attract more connected subscribers … we do not want to lose a traditional cable subscriber to Fox One,” said Murdoch. He added the company is doing everything “humanly possible” to avoid more subscribers fleeing the cable bundle.

Fox plans to offer the app as part of bundles with other distributors and services, Murdoch said. He added many other streamers had already approached Fox about bundling and said the company “will be moving forward with a number of those relationships.”

On Monday, Fox reported fiscal third-quarter revenue of $4.37 billion, up 27% from the same period last year.

Fox’s financials were lifted by the Super Bowl, which aired on the company’s broadcast network and free, ad-supported service, Tubi, during the most recent quarter. Some ads for Super Bowl 59, which attracted roughly 128 million viewers, cost $8 million apiece. Fox reported a 65% increase in advertising revenue during the quarter.

The media company, known for the cable TV channel Fox News and its sports offering on broadcast and cable, had been on the sidelines of streaming compared with its peers. While the company has the Fox Nation streaming app and Tubi, it has yet to offer all of its content in a direct-to-consumer offering.

Murdoch alerted investors in February about the company’s plans to offer the streaming service by the end of this year.

The decision came shortly after Fox, alongside Warner Bros. Discovery and Disney, abandoned efforts to launch Venu, a joint venture sports streaming app. Fox was the only one of its partners without a subscription streaming app already in the market.

Warner Bros. Discovery offers its live sports content on the streamer Max.

Disney’s ESPN has its ESPN+ app and is developing a new flagship streaming app that will reflect the content on its cable TV network. The company will unveil further details on the app this week. CNBC reported last week that ESPN plans to name the app simply ESPN.

Don’t miss these insights from CNBC PRO

Article Subheadings
1) The Launch of Fox One: Key Features and Expectations
2) Financial Highlights of Fox Corp. in Recent Quarters
3) Competitive Landscape in Streaming Market
4) The Strategy Behind Pricing and Bundling
5) The Future of Streaming: What Lies Ahead for Fox

The Launch of Fox One: Key Features and Expectations

The upcoming launch of Fox One marks a pivotal moment for Fox Corp. as it aims to target a growing consumer segment that prefers direct access to media content via streaming rather than traditional cable subscriptions. With this new service, viewers will have on-demand access to a wide array of programming, which is expected to include everything from live sports to original series and documentaries. The announcement was made by CEO Lachlan Murdoch during a recent earnings call, emphasizing the company’s proactive approach to the changing media landscape.

The launch is particularly timely, set to coincide with the highly anticipated NFL season. This strategic timing aims to attract both existing sports fans and new subscribers who may be looking for alternative viewing options. Although the specific launch date is yet to be revealed, the company has assured investors that it will be made known shortly.

The service’s accessibility is another key feature. It is designed specifically for current cable subscribers, who will receive Fox One at no additional cost, thereby reducing barriers to entry. This approach reflects Fox’s commitment to retaining its traditional subscriber base while also appealing to new viewers who want flexibility and convenience in their viewing experiences.

Financial Highlights of Fox Corp. in Recent Quarters

Fox Corp. has experienced noteworthy financial growth, as highlighted by its recent earnings report which showcased a revenue increase of 27% compared to the same period last year. Total revenue for the third fiscal quarter stood at $4.37 billion, surpassing analysts’ expectations and underscoring the company’s resilience in a competitive media market.

This financial boost can largely be attributed to the successful airing of the Super Bowl, which drew approximately 128 million viewers and generated significant advertising revenue. The event alone saw some advertisements costing upwards of $8 million, showcasing the high value of viewership and advertisement during such significant broadcast events. The reported 65% increase in advertising revenue during the quarter is a testament to Fox’s ability to leverage high-profile events effectively.

The financial outlook is bright, and with Fox One on the horizon, the company is well-positioned to capitalize further through both traditional and direct-to-consumer channels. This diversified approach may help sustain revenue growth as viewing habits continue to evolve.

Competitive Landscape in Streaming Market

The entry of Fox into the direct-to-consumer streaming market comes at a time of intense competition with major players such as Disney and Warner Bros. Discovery already established in the sector. Fox’s previous hesitation to embrace streaming more aggressively has allowed its competitors to secure a dominant position in this arena.

While Fox has piloted platforms like Fox Nation and the ad-supported service Tubi, it has yet to offer a comprehensive service that includes its extensive library of content. This gap has placed Fox at risk of losing viewership, especially considering that many consumers are moving away from traditional cable subscriptions.

Disney’s ESPN+ and Warner Bros. Discovery’s Max have demonstrated successful models for live sports streaming, which is a crucial component for many viewers today. Thus, Fox’s entrance into this market is seen as a necessary step to reclaim lost ground and maintain its competitive edge.

The Strategy Behind Pricing and Bundling

Pricing strategy will play a key role in Fox One’s success. Lachlan Murdoch has indicated that pricing will be aligned with wholesale rates traditionally offered to pay TV distributors, suggesting a competitive but healthy pricing model rather than deeply discounted rates. The rationale behind this approach is to attract new subscribers while retaining the existing cable customer base.

Additionally, bundling Fox One with other streaming services can facilitate greater access and appeal among potential subscribers. Murdoch noted that various streamers have shown interest in partnership opportunities, which indicates a collaborative strategy that could enhance Fox One’s visibility and uptake in the crowded marketplace.

These tactical decisions are intended to prevent a loss of traditional subscribers as consumer preferences shift toward streaming. Fox One aims to be a solution rather than a competition to existing cable services and aims to maintain a loyalty loop with users familiar with the Fox brand.

The Future of Streaming: What Lies Ahead for Fox

As Fox Corp. moves forward with its plans for Fox One, the questions about its future strategies become prominent. The media industry is in constant flux, driven by rapid technological advancement and changing consumer behavior, compelling companies to remain agile and innovative.

Fox is not only focused on launching a streaming service but is also keen on strengthening its existing content strategies and partnerships. Expanding offerings and possibly integrating more content types will be essential to meet the diverse needs of consumers.

As competition grows fiercer, estimates suggest that Fox will need to diversify its content offerings further to keep pace with competitors like Netflix and Amazon Prime, which offer rich catalogs across various genres. Thus, the direction that Fox Corp. takes following the launch of Fox One will be closely watched as it signals the company’s commitment to evolving within the industry.

No. Key Points
1 Fox Corp. is set to launch Fox One, a direct-to-consumer streaming service, ahead of the NFL season.
2 Pricing will be aligned with wholesale rates, with cable subscribers getting access at no additional cost.
3 The company’s recent financial report reflects a substantial revenue growth, largely fueled by Super Bowl advertising.
4 Fox’s competition in streaming includes major players like Disney and Warner Bros., who have established their own platforms.
5 Future strategies will likely include partnerships and expanded content offerings as Fox adapts to industry changes.

Summary

In conclusion, the launch of Fox One reflects a crucial strategic shift for Fox Corp. in an increasingly digital-first media landscape. As the company seeks to cater to evolving viewer preferences, its thorough attention to pricing and bundling options aims to maintain its traditional subscriber base while also tapping into the burgeoning streaming market. The competitive environment will demand diligence and innovation, making Fox One a focal point of interest in the coming months.

Frequently Asked Questions

Question: What is Fox One?

Fox One is a direct-to-consumer streaming service being launched by Fox Corp. in anticipation of the NFL season, aimed at providing seamless access to Fox’s extensive array of content.

Question: How will the pricing for Fox One work?

The pricing for Fox One will be aligned with wholesale rates offered to pay TV distributors, and cable subscribers will have access at no additional cost.

Question: What factors contributed to Fox Corp.’s recent financial growth?

The recent financial growth can be attributed to a combination of factors, primarily the significant advertising revenue generated from broadcasting high-profile events like the Super Bowl.

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