European broadcaster MFE-MediaForEurope is preparing to combine its streaming operations into a single unified platform across all the countries where it does business, according to the company’s chief executive.
MFE has operated television networks in Italy and Spain for many years and last year took over German broadcaster ProSiebenSat.1 in a bid to expand its footprint across Europe.
At a press conference held at the company’s headquarters near Milan on Wednesday, Chief Executive Pier Silvio Berlusconi outlined the plan to merge the best elements of MFE’s existing streaming technology into one platform.
“The front end will be the Italian one, while the supporting technology will be the German one,” Berlusconi said, noting that the platform launch is scheduled to begin in January.
ProSiebenSat.1 currently operates an ad-supported streaming service called Joyn, while MFE has built its Infinity platform for use in Italy and Spain.
Despite the technical unification, Berlusconi stressed that content would still be tailored to local audiences in each country rather than following a one-size-fits-all model.
“We are not an international fast-food chain,” he said.
“We cook up live programmes designed for individual countries. We have to do that with products that are born on television and then move on to digital platforms,” said Berlusconi, who is the son of the late Italian Prime Minister Silvio Berlusconi.
The acquisition of ProSiebenSat.1 also gave MFE a presence in the Austrian and Swiss markets. The company additionally expanded into Portugal by acquiring a stake in media firm Impresa.
On the financial side, Berlusconi reported that MFE has already realized €160 million in integration benefits this year from the ProSiebenSat.1 deal, well ahead of pace toward the company’s four-year target of €261 million to €315 million set in 2025.
However, the CEO sounded a cautious note regarding advertising revenue, saying that ad sales in Italy — the company’s strongest-performing market — actually declined during the first half of the year, though he expressed hope for a rebound in the months ahead.
Berlusconi also said ProSiebenSat.1 will continue trimming its portfolio of digital businesses, particularly in e-commerce. The company has already sold six businesses in that space, though it plans to hold onto perfume retailer Flaconi, which he described as profitable and cash-generating.
He acknowledged the ongoing portfolio reduction would put some pressure on revenue this year but said it should help strengthen profit margins over time. He also ruled out any new acquisitions in the near term, saying the priority right now is executing the current strategy and completing the integration process.
