Sky invests $45m in Asian Netflix rival

BBC1 hit Sherlock is among titles available on iflix

European satcaster Sky has made a US$45m investment in fledgling Malaysia-based VoD service iflix.

Under the strategic partnership, Sky said the parties will “work together to identify areas of future collaboration across the high-growth emerging markets in which iflix operates.”

Sky’s investment in iflix includes the purchase of US$2.5m of shares from existing investors. It represents the satcaster’s first move into Asia, away from its main TV businesses in the UK, Ireland, Italy and Germany.

iflix launched in Malaysia and the Philippines last May with more than 11,000 hours of Hollywood and Asian content in its catalogue. It has since rolled out in Thailand.

The service, controlled by Malaysia-based Catcha Group and Evolution Media Capital, has previously sealed deals with more than 30 content providers in the US, Europe and Southeast Asia, including Warner Bros, 20th Century Fox and BBC Worldwide.

Its content line-up includes shows such as the BBC’s Sherlock and currently has around one million subscribers. It is planning rapid expansion in the region, aiming for 30 million subs by 2019,  at a time when Netflix has just launched in 130 new territories around the world, including in Asia Pacific.

“iflix has quickly established itself as Southeast Asia’s most exciting and fastest-growing streaming TV service. There are lots of opportunities for Sky and iflix to work together and share expertise as both companies continue to expand,” said Andrew Griffith, Sky’s Group chief finance officer.

For an in-depth profile of iflix and other leading SVoD players shaping the industry see the 2015 C21Pro Digital Buyers Report.