Paramount Global shares surged 10% on Friday after reports that the company is considering bundling its streaming platform Paramount+ with Apple TV+. With the market showing signs of saturation with standalone services, the concept of bundling has the potential to reduce costs for consumers and providers, as well as lower churn and make business sense. While the talks are still in the early stages, this move may be a precursor to more partnerships and bundling deals in the streaming industry, as predicted by industry experts and executives.
In addition to the potential bundling with Apple TV+, Paramount has been actively forming partnerships to drive streaming growth with companies such as Walmart+ and Delta in the U.S., and with international companies such as Sky in the UK, Italy, and Germany, Canal+ in France, and JCOM and CJ Media in Japan and Korea, respectively. As a result of these initiatives, Paramount has seen substantial growth, as indicated by the recent 9.8% surge in the company’s shares. Industry observers anticipate that streaming may eventually migrate towards big tech platforms, and partnerships such as the one being discussed with Apple could be just the beginning of a larger trend in the industry. The focus is also on Apple’s strategies and whether Paramount will be the sole participant in this direction.
The potential bundling discussions mark a significant step forward in the evolving landscape of the streaming industry. Paramount’s momentum and growth through strategic partnerships, coupled with the potential bundling with Apple TV+, signal a new phase of expansion for the company. As industry trends move towards partnerships and bundling, it remains to be seen how this potential deal with Apple may shape the future of streaming and the role of big tech platforms in the industry.