T-Mobile has launched an a la carte OTT service, Knippr, in the Netherlands, following a trial. The service can be taken without any other T-Mobile subscription and costs €11 per month at base; this provides the 12 main Dutch public and private channels required by Dutch media law. Other channels can be added as required, costing between €0.65 and €1.50 per month each.
Analyst Comment
Traditional TV operators have resisted introducing a la carte services for years, despite consumer demand. This is because it means that even their lesser-known channels are being broadcast and paid for, with the costs borne by all subscribers.
Such services are – very slowly – making inroads, especially in Europe and Latin America. North America, where media companies have a tighter hold on content, has been slow to join in. However, legislation introduced in Canada last year requires all TV providers to provide a la carte options by the end of 2016.
Despite what seem like the obvious benefits to a la carte TV, research shows that some viewers, especially casual sports fans, would end up paying more under such a system, while those who don’t want any sports would pay less. (TA)
