At the IFA trade show in Berlin, Samsung Electronics has revealed its ambition to lead the free ad-supported television market, or FAST.
“In line with the AI era, we will actively explore and implement measures to become the optimal platform by advancing and enhancing basic AI usability,” said Kim Yong-su, head of the global service business team of the visual display division at Samsung Electronics, according to the Korea Herald.
As streaming-based content consumption continues to grow, FAST services have become prominent due to accelerated “streamflation” caused by rising over-the-top subscription fees.
In Australia, Netflix, for example, raised its prices for subscribers in the country. The cost of a premium subscription rose from $22.99 to $25.99, a standard subscription went from $16.99 to $18.99, and a standard subscription with ads climbed from $6.99 to $7.99.
Citing market research firm Omdia’s data, Kim said that global FAST services, which have rapidly expanded in mainly North America and Europe, have grown about 20 times over the past five years.
The market size is expected to reach $11.8 billion (A$17.71 billion) by 2027.
Samsung TV Plus, which was first introduced in 2015, is a free and ad-supported streaming service based on the company’s in-house developed Tizen OS.
It is available in Australia too and includes channels such as Bloomberg TV and PBS America.
Currently, 270 million smart TVs around the world are equipped with the service. It offers a wide range of genres including live streaming, movies, sports, music, children’s programming and culture.
Samsung TV Plus offers approximately 3,000 channels and 50,000 VODs across 27 countries.
Samsung TV Plus recorded approximately 5 billion hours of cumulative global viewing time last year, and is expected to exceed 10 billion hours by 2025, according to Kim.
In June, Samsung TV Plus will be rolled out to further countries in the Middle East and Southeast Asia, including Singapore, Thailand and the Philippines, in October, thereby taking its service to a total of 30 countries.
“Samsung Electronics will serve as a global platform in the rapidly growing FAST market, discovering major local IP channels and expanding them globally so that more viewers around the world can enjoy them,” Kim said.
“We’ll also provide a gateway for popular Korean content to enter overseas markets. We will take the lead in globalizing content,” added Kim.
