FRANKFURT (Reuters) - European broadcaster RTL will invest 350 million euros ($396 million) in its paid streaming services over the next three years, as it meets the challenge of global streaming giants like Netflix.
The move came as RTL forecast that revenue would grow by up to 5 percent this year but core earnings decline by a similar amount as the Luxembourg-based broadcaster invests in programming and building its stable of video-on-demand services.
“We will focus on two clear priorities: building local streaming champions and strengthening our content creation,” CEO Bert Habets said in a statement.
RTL, controlled by German publisher Bertelsmann, has passed the million viewers mark with its streaming services in Germany and the Netherlands. Over the next three years, the company aims to increase that figure to at least three million.
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Reporting by Douglas Busvine; Editing by Tassilo Hummel