Will New FAST Services Draw UK Viewers?
How fast will FAST catch on in the UK? Xumo is the latest to test the waters, but is the slow adoption compared to the US market an indication of headwinds or simply untapped growth?
Xumo Play is available in the UK on Sky’s smart TV (Sky Glass) and streaming box (Sky Stream) platforms along with six new Sky-backed FAST channels. The service is joining a growing set of competitors offering FAST viewing in UK and other European nations. Samsung TV Plus, LG Channels, Pluto TV, Plex, rlaxx TV, Rakuten TV and others have offered FAST channels in the UK for years. Amazon Freevee introduced FAST in the UK in mid-2023. Tubi entered the UK market in July 2024. Freely, a new service backed by BBC, iTV, Channel 4, and Channel 5 launched in the UK in April.
The emergence of these new FAST entrants suggests that services see the small numbers in the UK as a glass waiting to be filled rather than one that is mostly empty. A survey by UK regulator Ofcom in early 2024 indicated that only 3%-4% of UK respondents had watched a FAST service in the past three months. By comparison, Xumo’s own 2024 FAST Landscape Study stated that 45% of US consumers were FAST viewers.
Viewing time figures reflect a similar state of FAST viewing. Amagi’s July 2024 Global FAST report reveals that the total hours of FAST viewing across all of EMEA represented less than one quarter of FAST viewing in the US and Canada. For perspective, the Q4 2023 TiVo Video Trends Report: North America states that FAST and AVOD services together represented just over 10% of US consumer viewing time.
Importantly, the slow growth of FAST in the UK is a reflection of the stark differences between the US and UK video markets. In the US market, free streaming access to live channels has largely been unavailable, with commercial broadcasters eager to drive viewers to pay-TV offerings. When Pluto TV and Xumo launched their FAST services prior to 2015, pay-TV penetration in the US exceeded 80%. At the time, consumers were paying high prices for live channels. As awareness and quality of content on FAST increased, US consumers increasingly began watching FAST streaming options.
In the UK, free streaming services with live channels have been available and widely used in the UK for many years. The BBC’s ad-free iPlayer launched in 2007 and offered live channels in the years afterwards. Free access to Freeview and apps from All4, My5, and iTV Hub have also been available for UK users for years. Though awareness in the UK of live content via apps was less of a challenge for FAST services, UK consumers didn’t have the same motivation to find a low-cost viewing alternative as did US viewers.
For FAST to capture UK viewers, it will require premium content that is appealing enough to drive interest in new FAST service alternatives and change UK viewing habits.
