EXCLUSIVE: Paramount and Comcast have invested at least $1B into SkyShowtime, but their joint-venture European streamer remains firmly in the red.
SkyShowtime recently celebrated its third anniversary following its initial launch in 20 markets, including Spain and Poland, in September 2022. The streamer is stocked with content from both of its parents, including Sky Studios’ glossy new series The Iris Affair and Taylor Sheridan’s Yellowstone, which has been a driver of subscriptions.
A Deadline analysis of financial reports filed in the UK reveals that SkyShowtime has come at a hefty price tag, while its growth potential has left some analysts questioning its sustainability. SkyShowtime declined to comment, but the company’s position is that it is trading in line with expectations.
Sky UK Limited holds Comcast’s 50% stake in SkyShowtime, and Companies House filings show that it has invested at least £573M ($767M) in the streamer over the past three years. Paramount Pictures International Limited owns the other half of SkyShowtime, with its 2023 accounts showing that it sunk $246M into the venture. Paramount’s 2024 investment figure has not yet been disclosed.
SkyShowtime made an operating loss of €543.7M ($630.5M) last year, which was 3% down on 2023, when its losses stood at €561.9M. Add in SkyShowtime’s loss of €190M in its first year of trading, and the streamer has racked up a deficit of €1.3B. Its operating costs over this period, including employing 250 people last year, have totalled €1.9B.
SkyShowtime has posted increases in sales over the past three years. Its total revenue was €275M last year (its first full year of operations across all territories), up 32% from €207.7M in 2023. In its first year of trading, SkyShowtime’s sales stood at €133.2M.
SkyShowtime does not disclose subscriber numbers, though analyst Omdia estimated that its user base was 6.2M at the end of 2024, up nearly 1M from 2023.
The big question is whether SkyShowtime’s revenues are higher than the money Paramount and Comcast would have made from selling their content to other platforms in the European markets. SkyShowtime declined to answer this question.
SkyShowtime’s position is that the investment from its parent companies is in keeping with other streamer launches. The service was conceived in 2021 at the height of the global streaming wars, but growth in the market has slowed in recent years, and the likes of Netflix and YouTube have cemented their status as the dominant players. While these global companies are present and investing in many European markets, SkyShowtime believes it is putting down roots where others are not.
At Iberseries in Spain earlier this month, SkyShowtime’s Chief Content Officer Kai Finke described the strategy as “global content with local sprinkles.” This means teaming hits like Yellowstone and MobLand with originals such as upcoming Spanish series The Tribute that make it “more European and relatable,” Finke added. SkyShowtime is committed to screening 10 originals a year, with premieres including Polish hit crime series Śleboda and Schmeichel, a two-part documentary about Manchester United goalkeeping legend Peter Schmeichel.
Sources said the streamer has enjoyed some success in Spain, where it has a deal with Telefónica’s Movistar Plus+. François Godard, a media and telecoms analyst at Enders, said SkyShowtime is heavily reliant on these distribution deals in a crowded market. “It’s like the fifth brand of Coca-Cola in the supermarket. It may be good, but you have to notice it to try it,” Godard argued.
He added that industry consolidation will lead to uncertainty for SkyShowtime. Paramount has merged with Skydance since SkyShowtime launched, and David Ellison’s studio is now tabling bids for Warner Bros. Discovery, which has a significant rival to SkyShowtime in HBO Max. Comcast, meanwhile, recently sold Sky Deutschland to RTL, meaning there is “so much in the air” in terms of Sky’s presence in Europe, said Godard. “It’s difficult to think of SkyShowtime not being impacted by M&A in the future,” he added.
