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Shomi, Canada’s answer to Netflix, is shutting down. In the end, the juggernaut that is Netflix proved too popular to beat, so Shomi will be closing its doors on November 30, 2016.
Shomi was Canadian cable giants Rogers and Shaw Communications’ effort to gain a foothold in the marketplace. However, Rogers and Shaw failed to persuade enough subscribers to part with their money, leading to the premature demise of Shomi just two years after launch.
The reasons for the failure of Shomi are rather obvious. It was initially only available to Rogers and Shaw customers, harming growth. It then offered a selection of content that just couldn’t compete with that offered by Netflix, especially when it comes to original programming.
Melani Griffith, Senior Vice President of Content at Rogers, stated:
“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 the Competition!
The problem here is that competition is only ever a good thing. It’s also necessary in order to prevent Netflix from increasing its prices (more than it already has) or decreasing the quality or quantity of its content.
So, with that in mind, perhaps we should all mourn the loss of Shomi. Even if we’re not Canadian and had never even heard of Shomi until today.
Streaming is becoming big business, which means companies are climbing over each other to grab a piece of the action. Cable companies are especially keen to secure their futures by essentially betting against themselves and their business models. But Netflix may now be too big and too powerful to compete with. And that’s bad news for all of us.
Are you a Shomi subscriber? If so, how do you feel about Shomi shutting down? Are you a Canadian Netflix user? If so, what made you choose Netflix over Shomi? Please let us know in the comments below!
Image Credit: Jason Taellious via Flickr