Cinedigm Corp. (NASDAQ:CIDM) Q3 2019 Earnings Conference Call - Final Transcript
Feb 13, 2019 • 04:30 pm ET
Anime, a leading global anime service. Overall, we made significant progress in all key areas of our business this quarter. First, for OTT network distribution, we had a total of 22 channel launches on 14 third-party platforms during the quarter, delivering over 12,000 film and television assets. These launches breakdown into three key categories: digital linear, ad-supported, or AVOD and subscription or SVOD. For digital linear, we launched nine channels on four platforms during the quarter, including the Roku channel, Samsung TV Plus, VIZIO WatchFree, Pluto TV, Xumo and Stirr, the new platform from the Sinclair Broadcast Group.
We are pleased to note that Cinedigm's ad-supported digital linear networks are now available on approximately 77% of all smart TVs sold in North America reaching approximately 27 million new customers annually, and importantly, with no customer acquisition cost to us. On most of these devices, our channels are available on platforms embedded in the firmware and requiring no app installation, and we expect our engagement and growth to track along shipment and purchase cycles for these devices.
For ad-supported VOD, we expanded the availability of our content on three key players in the space, Pluto TV, Xumo and Tubi, the three market leaders in this arena, delivering nearly 5,000 assets to these platforms during the quarter. Preliminary results so far are greatly exceeding our internal forecast, which is in our opinion driven by triple-digit growth in connected TV ad revenues year-over-year and reflects what we believe to be an accelerating overall industry trend. Because of this, we see AVOD in general is a top priority for the company's growth. We are continuing to explore bringing our AVOD channels and content library to additional large scale OEM, cable and telco providers in the coming year.
In the quarter, we announced our acquisition of Viewster and Viewster Anime, which closed on February 5th. This acquisition provides us with a strong global footprint and trademarks in more than 30 territories, more than 5,600 new programming assets with broad global rights and additional OEM relationships. We are already executing on plans to expand the services footprint, accelerating our growth in AVOD.
Finally, we continue to see significant expansion of our subscription efforts. As of today, our subscription businesses totaled approximately 109,000 active subscribers across our direct-to-consumer and third-party footprint. In the quarter, we expanded the availability of our services on two key partners, Comcast Xfinity and Dish across the Dish Network and Sling TV. This subscriber growth trajectory on third-party platforms has enabled us to dramatically reduce our direct-to-consumer marketing spend with minimal impact on our subscriber growth. Given the industry's focus in providing consumers with more choice in creating their own bundles, we expect to expand our SVOD offerings with existing partners and are in talks now with numerous other telcos, OEMs and cable providers to bring our subscription bundles to their platforms.
During the quarter, we also acquired ComicBlitz, our comic subscription platform that offers thousands of all you can read comics to