In a bid to offer customers savings on streaming services, telecommunications giant Verizon is now offering a bundled package of Netflix and Max for $10 per month, a move that comes as two of those streaming services’ competitors are rumored to be discussing their own bundle.
Beginning Dec. 7, ad-supported services from Netflix and Max will be offered together for members of Verizon’s myPlan, for just $10 per month. This represents 40% in savings compared to subscribing to each service separately.
According to Verizon, the ad-supported Netflix and Max bundle is among ten $10 monthly offerings available to the company’s myPlan customers, including Apple TV+, and +play credits to save on more streaming and content, Walmart+, TravelPass and more.
Now, Version customers can get two content bundles with myPlan perks, including this newly announced bundle and the Disney Bundle that includes ad-free Disney+ and add-supported versions of Hulu and ESPN+.
Verizon says it is the first provider to offer the Netflix and Max bundle with ads as the telecom company leverages its relationship with content streaming providers to bring more value to wireless customers.
However, bundling streaming content is hardly a novel idea. According to the Wall Street journal, Apple and Paramount Global are also discussing bundling their streaming services at a discount by rolling out a combined Paramount+ and Apple TV+ offering designed to help consumers of both services save money.
However, those talks are in the early stages, according to the WSJ report.
The Disney Bundle also includes Disney+, Hulu and ESPN+, and Paramount+ can also be bundled with Walmart+.
Other examples of bundling include grocery delivery service Instacart, which is planning to partner with NBCUniversal’s streaming service Peacock to provide the service at no extra cost to paying Instacart subscribers.
However, as the Hollywood Reporter notes, legacy media companies like Disney, NBC Universal and Warner Bros. have been much more willing to bundle with competitors than pure streaming providers like Netflix and Apple.
This bundling of streaming services also comes as providers continue to raise rates while offering ad-supported versions. Netflix has raised prices consistently since 2016, and then introduced an ad-supported plan for $6.99 in 2022.
However, this year, the company raised the price of its Basic plan by $2, and increased the price of the Premium plan by $3.
Netflix is, however, not the only streaming service to raise prices this year, as all major platforms – Hulu, Disney+, Max, Apple TV+, Paramount+ and Peacock have all followed suit, according to The Verge.
For custom home integrators, the bundling of these services not only provides cost savings for customers, but if these companies continue collaborating this way, it could help to solve one of the major pain points in the streaming industry: finding content across several different streaming platforms to play on their streaming devices.
According to consumer technology research firm Parks Associates, U.S. consumers are eager to save money on streaming, as the annualized subscriber churn rate for streaming video is 47%.
In addition, a 2022 study from Parks Associates found that 40% of streaming subscribers say their streaming services are bundled through a home service provider.
The research firm also says that 22% of U.S. households subscribe to at least eight streaming services.
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