In late September, Lionsgate+, formerly Starzplay, had launched a major publicity campaign for its name change. However, the streaming platform will leave the French market after poor financial results, according to american media the hollywood reporter.
In France, Lionsgate+ is still available for €4.99 per month and is included in some Canal+ subscriptions. The platform offers nearly 60 series licenses and a hundred movies. At the moment, an official date for the end of service in France has not been announced.
Lionsgate justifies this stoppage due to losses suffered after a reorganization: in fact, the platform bought the Starz studio in 2016 for 4.4 billion dollars. Restructuring charges now weigh on the entire group.
Reach profitability in 2024
Another obstacle is the number of subscribers. Lionsgate+ has just 27.3 million subscribers worldwide despite a million new subscriptions in the last quarter. It is little, compared to its competitors: 223 million Netflix subscribers or 200 million Amazon Prime Video.
The objective of this shutdown in France and in seven other countries is therefore to rationalize costs. The group is studying two possibilities: either the sale or spin-off of the streaming platform, or the sale of its studio activity provided by Starz.
Lionsgate is now focusing on territories where the streaming service is still available. Starz, the studio part, should break even by the end of 2024, says The Hollywood Reporter.
Source: BFM TV
