Postponed indefinitely from its original target launch of April 2012, the WWE Network has greatly fallen off the public radar.
It is still an internal priority for WWE, but WWE has effectively ceased all efforts to build public support for the network.
WWE remains committed to launching the network in the coming months, but clearance with cable companies remains a hurdle. All indications are that provider interest in paying rights fees to bundle WWE Network with its standard packages was limited, and without attaining significant clearance in that department, the network would lose considerable meaning.
If the WWE Network were not available in a significant number of homes, it would neither excel as a promotional tool for WWE’s pay-per-view and live event offerings nor attract vast investments from advertisers.
Given WWE’s struggle on that issue, PWInsider.com says the company is now looking at launching as a premium service, akin to networks like HBO and Showtime. That model would significantly limit its reach, but it would also improved the fixed revenue stream, since WWE would be able to charge far more per household as a premium channel than it would get in per-household rights fees as a standard channel.
Providers, knowing they would get revenue from each subscription, would also see value in adding the WWE Network as a premium option for customers.
The PWI story is careful to note, however, that the premium model, like many ideas for the network, has not been etched in stone.
