Alibaba, Disney team up for content services over Internet

A girl touches a Minnie Mouse cartoon at the Disney's flagship store in Shanghai. [YIN LIQIN/FOR CHINA DAILY]

Chinese e-commerce giant Alibaba Group Holding Ltd and the world's largest media company The Walt Disney Co have launched an over the top service through an Internet television setting that offers Disney entertainment content to local consumers as well as Disney resort ticket booking systems.

OTT refers to the delivery of audio, video and other media over the Internet without the involvement of a multiple-system operator in the control or distribution of the content.

The service, DisneyLife, is a TV box set resembling Mickey Mouse. It is priced at 799 yuan ($124) and was available at Tmall.com, the online retail unit of Alibaba, from Tuesday, inclusive of a one-year subscription to DisneyLife.

The multiyear license agreement between the two sides features a collection of Disney and Pixar's movies, animation series, games, e-books, songs, travel services and Disney theme park and resort information.

For example, consumers can plan their visit to Hong Kong Disneyland, and Shanghai Disney Resort when it opens in 2016, and they can access Disney merchandise through this service on Tmall. All content offered and served is through Wasu Media Network Co Ltd, an Internet TV provider backed by Alibaba Chairman Jack Ma.

Luke Kang, managing director of The Walt Disney Co in China, said: "Disney and Alibaba share an ambition to exceed our audience's expectations. DisneyLife directly connects us to China's digital population and provides millions of kids and families the ability to explore and engage with Disney."

The TV box, targeted mainly at children and families, can select content through settings based on children's age, with a time limit for watching TV.

Disney opened its Disney Store in Shanghai this May. Shanghai Disney Resort, a joint venture with Shanghai Shendi Group, is due to open in spring 2016.

In the 2015 fiscal year, Disney in China sold consumer products worth 1.2 billion yuan. Its film box office received 3.8 billion yuan.

Ma Shicong, an analyst at Analysys International, said families are the most important target for Internet content distribution as they generally spend more time watching television than using mobile terminals, and they have great consumption power. Alibaba will benefit from external collaboration and investment, particularly with Disney, a strong brand that adds more value when the theme parks open next year, Ma said.