Internet TV providers in competition for content

IPTV content providers seeking to become the Korean version of Netflix are engaging in cutthroat competition to secure more content as consumers increasingly purchase movies and TV videos on demand (VODs) through Internet TV.

SK Broadband said the number of subscribers to its IPTV B TV monthly plan has exceeded 500,000.

In 2009, SK Broadband, which introduced domestic IPTV in 2009, is offering five monthly products, including terrestrial TV programs for 13,000 won ($12.20), premier programs for 9,000 won, CJ E&M programs for 10,000 won and adult content for 9,900 won per month.

“It is much more economical to subscribe to the monthly plans than purchasing individual content,” said Lim Jin-chae, head of SK’s New Media Business Division. “We plan to introduce a variety of services for consumers to enjoy different content at reasonable prices.”

KT’s IPTV service, Olleh TV, is launching a Prime Movie Pack today, in which subscribers can watch 8,100 American series and movies for 14,000 won a month.

“While it is similar to Netflix, which provides a movie and TV streaming service through monthly plans, Olleh TV’s Prime Movie Pack will better meet the domestic consumer demand as it also includes 1,000 Korean movies,” said a spokesman for Olleh TV. “Besides Korean films, we provide as much content as Netflix.”

Existing paid broadcasting operators have been providing monthly plans for movies, but the number of films was only 30 to 500, said Olleh TV.

Olleh TV will provide 8,100 movies, including “The Terror Live,” “New World,” “The Avengers” and “Thor,” and the American series “Criminal Minds,” “Spartacus” and “Walking Dead” to increase user satisfaction.

“At a cheaper price than for two cinema tickets, users will be able to enjoy almost 10,000 latest movies and popular drama series,” said a spokesperson for Olleh TV.

Olleh TV will provide a TV Point 10,000 won voucher to all subscribers to the Prime Movie Pack until April 30 to celebrate the launch of the new monthly product.

BY KIM JUNG-YOON [kjy@joongang.co.kr]