TBI Tech & Analysis: Digging into the strategy behind the Paramount+ launch in Japan

Star Trek: Strange New Worlds

Omdia’s Sharon Kong digs into the launch of Paramount+ in Japan this month and explores the competition that the streamer will face in this crowded market.

Following its expansion into South Korea last year, Paramount has launched its Paramount+ streaming service in Japan through the on-demand services of cable TV operator and broadband internet provider J:COM and premium pay channel Wowow Inc.

There is no additional cost for their respective subscribers. The OTT platform was made available in Japan from 1 December, with a lineup that includes Paramount’s popular films and series, along with Paramount+ originals such as Tulsa King, Mayor Of Kingstown and Star Trek: Strange New Worlds.

The Paramount+ launch via J:COM and Wowow follows a similar partnership the streamer entered into with South Korea’s CJ ENM. Paramount+ is available via CJ ENM’s streaming platform, Tving, at no extra charge.

Partnering with J:COM is a sensible strategic move, given that it is the largest pay-TV operator in Japan, with 3.45 million subscribers projected at the end of 2023.

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Omdia also expects subscription numbers to J:COM’s multiscreen service to reach 1.45 million at the end of the year, while Wowow (ranked third nationally by operator subscriptions) is predicted to have over 2.4 million subscribers by the end of 4Q23.

Omdia views this deal as a mutually beneficial partnership for all parties—particularly for Paramount+, as the OTT service provider can take advantage of the local operators’ existing subscriber bases to expand its reach in a crowded streaming market.

Amazon Prime Video currently leads Japan’s online video market in subscriptions, with a 22.3% market share, followed by Netflix (18.2%) and Disney+ (9.4%).

Domestic players Hulu Japan, U-Next, and DTV have 8%, 7.7%, and 5.2% market shares, respectively. Over the forecast period until 2028, Prime Video, Netflix, and Disney+ will remain the top three online video players in terms of subscriptions.

The article above comes from Omdia’s ‘Media & Technology Digest – December 2023’, written by Sharon Kong, research analyst for TV & online video, which can be read in full here (with a subscription). Omdia and TBI are both part of Informa Tech.