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Bandai Namco plans to shut down the streaming website Daisuki in October.
The streaming service failed to attract paid subscribers partly due to a lack in quality of content. Companies with strong anime lineups would prefer to chooseHulu or Netflix Funimation or Crunchyroll for a larger userbase.
Note: Revised for accuracy.
Japanese companies have failed to become as competitive as US companies with regards to online distribution services.
Anime accounts for 70% of Japan's content exports.
Bandai Namco plans to shut down the streaming website Daisuki in October.
Bandai Namco Holdings will soon shut down an online anime distribution service aimed at foreign audiences after struggling to secure content in the face of competition from more-established American peers.
The Japanese toy and entertainment company plans to close the Daisuki streaming website and mobile application operated by subsidiary Anime Consortium Japan in October. Fans in 191 countries and regions watch such popular shows as "Dragon Ball Super" and "Mobile Suit Gundam: Iron-Blooded Orphans" subtitled or dubbed in English.
The streaming service failed to attract paid subscribers partly due to a lack in quality of content. Companies with strong anime lineups would prefer to choose
Note: Revised for accuracy.
Anime Consortium was established in 2014 as a joint venture by Bandai, marketing company Asatsu-DK and Aniplex. The roster eventually grew to 15 shareholders, including the public-private Cool Japan Fund and publisher Kodansha.
But the service struggled to attract paid subscribers, a Bandai public relations representative said. Bandai bought out the other investors this past March, spending about 2 billion yen ($18.2 million) to turn Anime Consortium into a wholly owned subsidiary.
Asked why the venture foundered, industry insiders agreed that the problem lay with partners' reluctance to offer quality content.
Companies with strong lineups preferred to work with U.S.-based services with far more users, such as Hulu and Netflix. Daisuki was likely caught in a Catch-22: too few subscribers to attract good content, and too scanty a content library to draw subscribers.
Japanese companies have failed to become as competitive as US companies with regards to online distribution services.
Distribution of anime, music, movies and other creative content is shifting from such physical media as CDs and DVDs to online distribution. Japanese companies have failed to offer platforms with content and convenience to match the likes of Netflix, Hulu and fellow American player Amazon.com.
Anime accounts for 70% of Japan's content exports.
That said, some types of Japanese media are faring better than others. Though Japan's content exports as a whole swelled from 6.6 billion yen in fiscal 2010 to 28.8 billion yen in fiscal 2015, anime accounts for 70% of the total.