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Why aren’t TV Series and Movies available on EMAGINE’s Premium On-Demand?
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Why aren’t TV Series and Movies available on EMAGINE’s Premium On-Demand?
04/01/2013 5:47 am

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Regist.: 04/01/2013
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EMAGINE is an online entertainment and video delivery platform, and technologically EMAGINE is ready and can deliver On-Demand services similar to Netflix & Hulu immediately, and to charge for it on behalf of a Video Service Provider.

However, a Video Service Provider would have to secure the rights to do so first before it can be provided and delivered over the Internet to the Malaysian and Asian audience. These rights usually require millions to be paid in advance yearly by the Video Service Provider (they are called “Minimum Guarantees”), calculated in US Dollars or another major foreign currency, regardless of whether any viewer actually watches and pays for them. Due to the high cost of rights (Minimum Guarantees are negotiated and chargeable by territories and countries), a Video Service Provider would have to charge a very high sum to the viewer per episode, per series or per movie watched, or in the case of an SVOD service, a very high month subscription amount, in order to make a profit in Malaysia and most of Asia.

The combination of high Minimum Guarantee payments required by the content rights owners, the lower earning capacity and exchange rate in Malaysia and Asia compared to the US and Europe, and the widespread availability of illegal downloadable content from the Internet through torrents and other services have resulted in no Video Service Provider so far being able to profitably provide such as service as a standalone service in Malaysia.
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