Netflix Inc. (NFLX) and SoftBank Group are considering a content partnership for the video streaming service set to start in Japan on September 2, according to Bloomberg report. In addition, SoftBank will begin pre-installing the Netflix app on its smartphones for sale after October 2015. And although the US company will also accept subscriptions online, advertising its streaming service via a partnership with SoftBank is expected to help the newcomer better position itself in the Japanese market amid competition from local services. A basic standard definition plan will cost a monthly JPY650 (US$5.37), with a HD version costing JYP950 and an ultra-high definition 4K stream costing JPY1,450.
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Netflix is setting up shop in a market where it will compete with Hulu, which is owned locally by Nippon TV, and streaming services offered by NTT Docomo and SoftBank’s own Uula.
Netflix’s launch in Japan is part of a global expansion, which it plans to complete by the end of next year. As of March, the number of Hulu users in Japan surpassed 1 million, with monthly subscription fees at Y933.
Netflix Japan president Greg Peters made the announcement with Ken Miyauchi, head of SoftBank’s mobile operations. The two offered no details of theor potential involvement in Japanese content production or investment.
Netflix has over 65 million members in over 50 countries.
Details were announced Monday at a presentation in Tokyo.
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In June, Japan’sFuji Television Network Inc. announced it will be producing original content for Netflix’s debut in the country. Shares of the US company were up 54.16% on an annual basis as of Friday’s close.
