This week, we discuss the recent comments from Warner Bros. Discovery’s CEO regarding profitability, retention, windowing, bundling and pricing for HBO Max and Discovery+. Profitability, not purely sub count, is how they benchmark for success. We also discuss his comments on how collapsing all windows, starving linear and theatrical and spending money with abandon, while earning only a fraction in return for the service of growing sub numbers, has ultimately proven deeply flawed. On the topic of churn, we point out what the industry is getting wrong with its assumptions and highlight the recent comments from Disney’s CEO, who said that price increases don’t meaningfully increase churn or cancellations. We also recap Q3 earnings from Disney, Vizio, Akamai, Edgio and Kaltura.

Companies and services mentioned: Disney, Netflix, Warner Bros. Discovery, HBO Max, Apple TV+, Paramount+, Peacock TV, Vizio, LG, Akamai, Amagi, Edgio, Kaltura, FTX.

Podcast produced by Security Halt Media