HBO Max is having a blast in the streaming battle. Although, it is not yet near the level of Netflix and Disney+ the platform is certainly making waves. In fact, the streaming platform made a bold move on having some of Warner Bros' biggest releases go on theaters and on the streaming service at the same time. This certainly boosted the platform's subscribers.
With this rise in streaming, WarnerMedia announced that it will have a cheaper pricing tier on HBO Max, but it will also be ad-supported. The cheap, ad-supported tier for HBO Max will begin in June. The news about the new pricing tier was revealed from AT&T's recent analyst and investor day. However, the company hasn't announced the exact date and pricing yet.
Unfortunately for the cheap price tag, the pricing tier supported by ads will not include the theatrical releases. Fans who are hoping to avail of the cheap, ad-supported price hoping to watch the blockbuster releases will not be able to access it. They can only access it by paying for the full ad-free version.
The reason for this is to boost the numbers for the HBO Max platform even more. The cheap, ad-supported pricing tier will attract more sign-ups who can try out the HBO Max's library, but without the theatrical releases. Meanwhile, the blockbusters getting released on the platform that is not available on the ad-supported tier are meant to boost subscriptions for the full-ad free tier.
Although the primary reason why Warner Bros blockbusters are having the same-day release on the theaters and HBO Max is the pandemic, it has certainly made HBO Max a major competitor in the streaming market.
In January 2020, HBO Max reported having 40 million subscribers. According to Variety, WarnerMedia is looking optimistic as it has increased its subscribers' forecast to 120 million in 2025. Its previous projection was at 90 million in 2025.
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