Nine and Fairfax signal a closer relationship between the two companies through forming a $100 million video streaming service

Nine and Fairfax signal a closer relationship between the two companies through forming a $100 million video streaming service. For over three months, Fairfax has been in negotiations to invest in Nine's planned video on demand service Stream Co. The boards of both companies have agreed to invest $50 million into the new business, however, the deal is yet to be finalised. The joint $100 million venture represents a serious commitment by both companies, reflecting the high costs of acquiring exclusive content. It can also be seen as a response to the prospect of Netflix entering the Australian market in 2015, and the Presto serviced offered by Foxtel. The venture provides Fairfax with a greater presence in long-form video and allows Nine to capture advertising dollars from free-to-air television to digital platforms. Full article via the SMH here: (VIEW LINK)