Sydney – Nine Entertainment Co. (“Nine”) [ASX:NEC] and Fairfax Media Limited (“Fairfax”) [ASX:FXJ] have announced the formation of a joint venture to launch an Australian Subscription Video-On-Demand (SVOD) service (“StreamCo”).

 StreamCo is expected to launch during the 2015 financial year. It will offer a broad range oflocal and international programming to subscribers for a fixed monthly subscription fee and no minimum term commitment. StreamCo is finalising its technical infrastructure for the service and has concluded a number of cornerstone content deals ahead of its launch.

 SVOD is expected to grow significantly in Australia in the next decade, with media consumers looking to supplement their free-to-air viewing with on-demand, internet-delivered content. StreamCo will take a leading position in the development of SVOD in Australia, bringing access to a substantial catalogue spanning TV series, movies, kids and family programming, and documentaries from a wide range of leading Australian and international studios, along with market-leading content from Nine. The StreamCo service will provide unlimited, on-demand viewing through a range of devices including television screens, tablets, PCs and mobile devices for a low fixed monthly price.

 Nine’s deep background in the television industry in Australia, and understanding of Australian viewer preferences, will be complemented by Fairfax’s experience and strength in subscription services and digital products. The StreamCo service will benefit from the combined marketing and cross promotional capabilities of two of Australia’s leading media brands.

 StreamCo is headed by CEO Mike Sneesby and will be operated independently of Nine’s and Fairfax’s existing media businesses. Mike’s history in digital media and IPTV includes the roll-out of a pioneering IPTV platform in the Middle East as well as many years’ experience in Australia, primarily through his role as Head of Corporate Strategy and Development at ninemsn.