Corus Entertainment Inc.: Should They Go Over-the-Top?

In 2019, Corus Entertainment Inc. (Corus), a Canadian television and media company, faced significant challenges from the rise of over-the-top (OTT) streaming platforms like Netflix and Amazon Prime Video. These services disrupted the traditional television value chain, leading to declining cable subscriptions, increased content costs, and reduced bargaining power with broadcast distribution undertakings (BDUs). Content owners further complicated Corus’s position by launching their own direct-to-consumer platforms, bypassing intermediaries.

This industry shift placed Corus in a precarious position as an independent content distributor. To adapt, Corus considered partnering with Amazon.com Inc. to launch STACKTV, an OTT service offering 12 of its premium channels via Amazon Prime Video. How might this decision have affected relationships with content owners, BDUs, and competing OTT platforms?

The Ivey Business School gratefully acknowledges the generous support of Pierre Lapointe, MBA ’83, in the development of this case.