Verizon is struggling to complete deals for the debut of its new online TV service, according to published reports. As a result, the launch has been pushed back from this summer to fall, or even later.
Citing unnamed sources, Bloomberg reported that Verizon was having difficulties getting broadcasters to sign off on deals for its new online TV service. In order to compete with the likes of Hulu, YouTube, CBS, ESPN and DirecTV, Verizon was seeking licensing deals for dozens of channels from broadcasters, according to Bloomberg.
Bloomberg reported in March that Verizon had planned on launching the streaming service in late September.
Bloomberg said that Verizon Communications Inc. (NYSE: VZ) was still sorting out its business plan for the new online TV service, including the development of technology, pricing and programming mixes. As a result, media companies are reluctant to do licensing deals with Verizon.
Verizon's efforts to strike licensing deals have also been compromised by the exit of several key executives from its media division.
Over the years, Apple Inc. (Nasdaq: AAPL) has faced similar resistance from broadcasters that wanted to maintain more control over their video content.
— Mike Robuck, Editor, Telco Transformation