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Netflix gets boost from Vodafone for Spanish expansion

As the date nears for its Spanish debut, the SVOD has struck a deal with a Euro telco giant to offer its service to cable customers.
September 2, 2015

Netflix will have some help with its upcoming expansion into Spain from telco giant Vodafone.

Vodafone Spain confirmed it will offer Netflix to its cable-service customers upon the SVOD’s arrival in the country, scheduled for October. Costs associated with the SVOD/cable package were not available at press time.

Customers with top boxes from Vodafone will be able to search, browse and view Netflix titles, and users’ individual selections will be integrated in a recommendation section alongside their picks from Vodafone’s library.

This is the second time the SVOD has chosen to pair up with a regional communication company to streamline expansion. Just last month, Netflix announced that it would be partnering with Japanese telco SoftBank as it prepares to enter the Asian market on Sept. 2.

On the surface, the deals may seem similar, but the details of each are quite different.

Under the SoftBank agreement, not only will the telco handle the business end of Netflix’s Japanese expansion (including billing and customer service), but customers can also sign up at any bricks-and-mortar shop where mobile phones for SoftBank are sold. SoftBank will also begin pre-installing Netflix on mobile phones.

Netflix has paired up with cable companies before in the U.S. Earlier this summer Atlantic Broadband, owned by Cogeco, began offering Netflix for its American top-box customers.

Though Netflix has made big moves to penetrate international markets, expansions are never easy. Experts have noted that it took nearly four years for Netflix to break even on its expansion into Canada. In some markets, Netflix also faces big competition from local SVOD and OTT services, many owned by larger telcos (such as Aussie VOD Presto).

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