Dragons, drama and downloads: Foxtel and Quickflix in war of words

By Frank Chung | 16 April 2013
 
"On second thought, let's not go to Australia. It is a silly place."

Drama, subterfuge, warring factions. The distribution arrangements for Game of Thrones are almost as interesting as the show itself. Almost.

Quickflix has just announced a deal with HBO that will give its customers access to hit shows including Game of Thrones and True Blood, but Foxtel claims its existing arrangement will put the kibosh on the online video company.

According to Quickflix, its new electronic sell-through agreement with HBO – which plumped up a $10 million investment in the Perth-based online video company last year – means there will now be three legal ways for fans to access HBO's shows in Australia (Foxtel, iTunes and Quickflix).

The new agreement enables customers – whether Quickflix subscribers or not – to purchase for download and/or streaming of select series, either on an episode or full-season basis, all HBO shows including Game of Thrones, True Blood, Newsroom and Boardwalk Empire.

But Foxtel, which signed its own deal with HBO last year, has poured cold water on the news. A spokesperson told AdNews “legacy arrangements” allowed HBO shows, including Game of Thrones season three and True Blood season six, to be offered on iTunes and Quickflix, but subsequent seasons would be excluded once the terms of its deal came into effect.

From a subscription video-on-demand perspective, the content lockout applies for three years. In terms of pay-per-view – the iTunes and Quickflix model – where users pay either for individual episodes or for entire seasons, the terms of Foxtel's deal means users can only access the shows once the final episode of a season has aired.

Quickflix chairman and chief executive Stephen Langsford told AdNews: “Different series will be subject to different arrangements depending on existing arrangements HBO has with other players in the market. We will continue to work with HBO and other network providers. Our mission is not to cut across Foxtel necessarily.

“We'll obviously respect HBO arrangements with Foxtel and competitors in the market. We'll have access as soon as iTunes. Some series will feature on Foxtel first but given over 70% of Australians don't subscribe to Foxtel, being able to make it available on the device of your choice quickly soon after is a big step forward.”

Langsford said Quickflix would soon be entering into deals with new networks to introduce other popular TV series to its service. The new electronic sell-through agreement highlights Quickflix's push towards lower-cost streaming services as it continues to scale back the DVD rentals side of its business.

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