Lotte Cinema to launch a streaming serviceLotte Cinema will launch a video streaming service in June, the first among Korean cinema chains, the company said on Sunday.
“We’re preparing for ‘over-the-top (OTT)’ and other new platform services with the aim of launching them in June,” Lotte said in a press release. It added that its OTT service will be transactional video-on-demand (TVoD), meaning the customer will pay on a per-video basis.
“We plan to provide a variety of film content in partnership with various film companies, not just content from Lotte Entertainment,” an official with the cinema chain said.
The company’s advance into the OTT market is seen as an effort to create new demand, given that the annual number of local moviegoers has been stagnant at about 200 million in the last few years.
In Korea, three big mobile carriers - SK Telecom, KT and LG U+ - operate video streaming services, respectively called “Oksusu,” “Olleh TV Mobile” and “U+ Video Portal.” There are also paid TV services, including CJ Hello and KT Skylife, in the market.
On Friday, Lotte Cinema announced that it will be separated from the retailer Lotte Shopping Co. to make a new start as a comprehensive entertainment company named Lotte Cultureworks Co. on June 1.