The $425 million HBO Max spent on ‘Friends’ is working out
The show celebrated its 25th anniversary last September
HBO plans to bring in movies and TV shows from other media companies and offer them in addition to its existing content to create a new version of a cable bundle. Kaltbaum Capital Management president Gary Kaltbaum joins to discuss this business strategy.
HBO Max is already reaping the benefits of a large investment it made in premiere programming for its streaming service.
Having scrapped their add-on package HBO Go in June in order to stifle confusion among the offerings, Max is reporting that “Friends” is the “No. 1 performing show” on its streaming platform to date – although they have yet to release the data to support the claim.
Fans of the beloved sitcom expected HBO Max to debut in conjunction with the long-awaited “Friends” reunion special, however, given the coronavirus pandemic, production on that project has been delayed.
'FRIENDS' REUNION ON TAP AT HBO MAX
(L-R) TNT, TBS, truTV, HBO & HBO Max Content Acquisition EVP, Michael Quigley, HBO Max CCO and TNT, TBS, & truTV President Kevin Reilly and HBO Max Head of Original Content Sarah Aubrey appear onstage during the HBO Max executive session segm … (Emma McIntyre/Getty Images for WarnerMedia)
It appears in the interim, eager viewers have resorted to binging the series’ reruns as a means to hold themselves over.
NETFLIX BIDS FAREWELL TO ‘FRIENDS’ AFTER YEARS OF SUCCESSFUL STREAMING
In February, news circulated that the cast, including Jennifer Aniston, Courtney Cox, Lisa Kudrow, David Schwimmer, Matt LeBlanc and Matthew Perry had agreed in principle with series’ producer Warner Bros. TV to bring the hour-long unscripted reunion special to HBO Max.
Although negotiations are said to have been tough, Deadline reported at the time that each of the six stars will be paid in the $3 million-$4 million range for appearing in the special.
'FRIENDS' REUNION SPECIAL ON HBO MAX BACK ON AGAIN
FRIENDS -- Pictured: (l-r) Matt Le Blank as Joey Tribbiani, Courteney Cox as Monica Geller, Matthew Perry as Chandler Bing, Lisa Kudrow as Phoebe Buffay, Jennifer Aniston as Rachel Green, David Schwimmer as Ross Geller. (David Bjerke/NBCU Photo Bank)
Furthermore, the streamer paid $425 million for the rights to the program, which in its previous home at Netflix had emerged as a leading hit among viewers, the outlet said.
Hot on the heels of “Friends” on the HBO Max is one of its own originals, the Anna Kendrick-led “Love Life” while “Big Bang Theory” is reportedly sitting in the No. 3 spot, Variety reported on Tuesday.
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In other HBO Max news, the giant said they are seeing greater viewer engagement than HBO Now as users are spending 70 percent more time on HBO Max and that its audience is significantly younger than that of HBO, with 23 percent of users falling in the 18-24 age bracket.