Disney Tests 'Gated' Business Model for Soap Operas

Filed in archive Internet TV on November 16, 2006

Disney continues to learn about digital distribution. In another experiment, it is launching a gated broadband network called SOAPnetic. The operative word 'gated' means that SOAPnetic makes its money from licensing fees from high-speed providers, rather than advertising. Since its launch in April, SOAPnetic has only been open to Verizon's high-speed customers.

Since Disney has ad-supported Web sites, too, this move shows that they are testing alternative business models to see which works best.

SOAPnetic, its broadband video site for the SOAPnet cable channel, is making the previously restricted site available to any broadband customers through Nov. 30.

SOAPnetic's home page says "Take control of the ultimate broadband video experience for drama lovers! From November 10 to 30, we're rolling out the red carpet for YOU to catch exclusive original and behind-the-scenes video you can't find anywhere else." B&C adds that SOAPnetic offers clips of the soaps that SOAPNet runs - same-day episodes of daytime dramas - as well as full episodes of the channel's originals.