Shaw and Rogers are pulling the plug on Shomi, a home-grown version of Netflix.
The company will lose $100-140 million in the third quarter due to Shomi and its ongoing investments and future liabilities.
Melani Griffith, Senior Vice President, Content, Rogers said in a statement “We tried something new, and customers who used shomi loved it. It’s like a great cult favourite with a fantastic core audience that unfortunately just isn’t big enough to be renewed for another season. We will be reaching out to eligible customers in the coming days as we have a wide range of premium experiences available for people to enjoy.”
Shomi launched in the fall of 2014. Many Rogers customers received free subscriptions as incentives for signing 2-year contracts. There’s no news yet on whether Rogers plans to reimburse customers for the loss incentive.