What's Happening?
NBCUniversal is planning to lay off dozens of employees following the shutdown of the Showmax streaming service, which it operated in partnership with French broadcaster Canal+. The layoffs will affect staffers who worked on Showmax, with about a dozen U.S.
employees on the global streaming product team impacted, and potentially more internationally. Showmax, which was described as an 'expensive failure' by Canal+, operated in 44 African countries. The service ran on the same tech platform as NBCUniversal's Peacock and the European streamer SkyShowtime.
Why It's Important?
The shutdown of Showmax and the resulting layoffs highlight the challenges faced by streaming services in expanding and maintaining profitability in international markets. For NBCUniversal, this move underscores its strategic focus on the domestic market, as indicated by Comcast co-CEO Mike Cavanagh's statement that Peacock is not planning international expansion. The decision to shut down Showmax may allow NBCUniversal to reallocate resources and focus on strengthening its domestic streaming offerings.
