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5 hours ago
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The BBC is to begin charging US-based users for unlimited access to its news content and rolling televised coverage, as it searches for new ways to ease the pressure on its finances.
In the first scheme asking users outside the UK to pay a direct subscription for its news content, US users will be offered the chance to pay for a “premium experience”, including unlimited news and feature articles and a livestream of the BBC News channel.
Ad-free documentary series, films, early access to podcasts and exclusive newsletters will be tested as part of the deal, which launches on Thursday and will be targeted at those who are already heavy users of the BBC’s content.
It comes after the Guardian revealed earlier this month that BBC bosses were considering the idea. The initial phase of the launch will offer the premium package for $49.99 (£37) a year, or $8.99 (£6.60) a month.
Senior BBC figures believe there is a real opportunity to raise far more commercial income in the US. They believe there could be an appetite to pay for its brand of journalism, given the politically partisan reputation of some US television networks.
It will see the BBC compete directly with the likes of CNN, headed by the former BBC director general Mark Thompson, which is launching a streaming subscription service later this year.
Currently, users in the US can access BBC journalism for free through BBC.com, which is overseen by the corporation’s commercial arm, BBC Studios. Unlike in Britain, where users pay for content through the licence fee, BBC.com already carries advertising.
The search for subscribers in the US is a sign of the BBC’s desperation to boost its ailing coffers. Income from the licence fee has fallen significantly over the last 15 years, while it has also had to contend with the inflated costs of making television after the arrival of the big streamers.
The move also demonstrates the BBC’s willingness to explore new revenue streams to ministers as talks begin over the renewal of its royal charter – a process that will decide the immediate future of its funding model.
Rebecca Glashow, the chief executive of BBC global media and streaming, said: “We see the BBC as the world’s most trusted global news brand, and we have heard that time and time again. We provide incredibly distinctive global news reporting in this market and we have a distinct relationship with our audiences, where they trust us. And I don’t have to tell you how incredibly valuable and hard it is to create that relationship with consumers in this moment.”
While this is the furthest the corporation has gone in terms of charging overseas audiences for its news coverage, it does already charge for other content. In the US market, consumers pay to access the BBC Select documentary service via Prime Video, Apple TV and Roku. The BBC also owns the BritBox streaming service.
The corporation has been targeting the US for some time, recently relaunching its overseas website and app. BBC.com now reaches 139 million visitors globally, including nearly 60 million in the US.
US consumers who opt not to pay for the premium service will still have access to some free BBC content, including selected breaking news stories, podcasts, newsletters and radio livestreams. Licence fee payers travelling to the US will still have access to the BBC’s content through its updated app.
