Comcast CFO Says Upcoming Streaming Service Peacock Will Be Free for Comcast Customers

In the heat of streaming wars, it seems like if media companies aren’t offering some kind of deal to consumers, they simply won’t gain market share. The same applies to NBCUniversal’s upcoming streaming service Peacock. During the UBS Global TMT Conference today, Mike Cavanagh, senior EVP and CFO of Comcast, reportedly told attendees that the streaming service will be free for Comcast customers.

Comcast CFO just said Peacock would be free for Comcast customers, unclear if it would be for other cable and satellite customers as originallys tated $CMCSA #ubstmt19

— Jessica Toonkel (@jtoonkel) December 9, 2019

In addition, Cavanagh revealed the company will invest $2 billion into Peacock and that he expects the service to break even in five years.

Peacock could be break-even in five years, says Comcast CFO. Says pricing is free to Comcast customers and tiered pricing for non-customers. Will carry ads. More details on Jan 16. #streamingwars #UBSTMT19

— Claire Atkinson (@claireatki) December 9, 2019

In November, news came out that Comcast was considering an ad-supported version for Peacock that would be free to everyone, sources told CNBC. This would be a first for the upcoming on-demand video services from the major U.S. players.

Peacock is slated to debut in April with more than 15,000 hours of programming, including NBC powerhouses “The Office,” which arrives in 2021, and “Parks and Recreation.” In addition, Mike Schur, the creator of “The Good Place” and Lorne Michaels of “Saturday Night Live” fame will contribute new shows.

Peacock will air between three and five minutes of ads per every hour of programming, according to NBCUniversal CEO Steve Burke. The company estimates earning $5 per month from every user on the service from advertising, he previously stated.