Partnership to Launch Chinese Subscription VOD Service29 Jun, 2012 By: Erik Gruenwedel
Jiaflix has license agreement with Paramount Home Media Distribution
Jiaflix Enterprises, a nascent Los Angeles-based SVOD platform, together with a subsidiary of the state-run China Movie Channel are planning to launch service in the communist country featuring Chinese and Hollywood movies.
Prefix “Jia” means home or house in Chinese, while suffix, “flix,” of course is synonymous with Netflix, which created the SVOD rental market. Jiaflix and M1905 — the latter operated under the State Administration of Radio, Film and Television of the People's Republic of China — would also offer content on transactional VOD for connected devices including portable. No launch date or price points were disclosed.
Earlier this month, M1905’s mobile television service officially started operations with China Mobile and China Telecom's mobile video service allowing M1905 to provide officially licensed content and VOD service to the more than 100 million 3G mobile subscribers in the communist country.
China, the most populous country in the world, has become a major focus (in addition to other international markets) for Hollywood studios seeking to generate incremental revenue from new release and catalog content. China, which recently expanded imports of foreign theatrical movies, has the largest number of online users in the world.
Jiaflix is operated by Sid Ganis, former vice chairman of Sony Pictures, Marc Ganis, a sports marketing executive, and Kenneth Huang, a Chinese based entrepreneur. The service also announced it signed a multiyear licensing deal with Paramount Pictures to include titles from the studio’s film library for both SVOD and TVOD.
“This is an important step for Paramount in terms of positioning our product in China,” said Hal Richardson, president, Paramount Home Media Distribution, in a statement. “Paramount has worked with China Movie Channel for many years and we are happy to be expanding our relationship and online movie viewership in China through our deal with Jiaflix.”