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Paving the Way for Russian Online Video Market

Published: January 31, 2014 (Issue # 1795)



  • Hit U.S. TV show like the AMC series “Breaking Bad” can now be streamed online on Russian video sites.
    Photo: AMC

While online video streaming in the U.S. has shown that the Internet can be effectively monetized by film and television, the fear of piracy in Russia has limited the spread of such services here.

Only now, a few companies are taking the plunge and offering online streaming services, and The St. Petersburg Times spoke to three of them to get a sense of the online video market in Russia today.

The first online cinema in Russia

Ivi.ru is considered to be the first Russian online cinema — and is the most popular. Founded in 2010, it has reached 30 million unique users with 200 million views per month in only four years. The catalogue consists of more than 70,000 videos, and the Ivi app on Smart TV is one of the most popular for Samsung, Philips and LG televisions around the world.

Related: Anti-Piracy Law Is Good, Tech Makes It Better

Not long ago, ivi.ru was in the middle of scandal between Cinema Park and Karo Prokat. Ivi started showing the Russian film "Geograf Globus Propil" at the same time as theater chains, and Cinema Park and Karo Prokat demanded that distributor "Nash Kino" take the film version off the web.

While Ivi was not breaking the law, they decided not to show the movie on the website in order to avoid confrontation and legal battles with big companies.

The founders of Ivi wanted to create the first legal online cinema with a commercial business model, and hoped to become a giant in Russia's burgeoning online video market.

The main rivals for Ivi are pirates, which is one of the reasons why the company decided to work with an advertising video on demand, or AVOD, business model. People can watch 97 percent of the site's content for free, while another 3 percent is in a premium-class package that users must pay for, either by subscription or for a single movie, but there is no advertising. The price is 299 rubles ($8.64) for a month's subscription or from 99 to 249 rubles per film.

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ALL ABOUT TOWN

Thursday, Apr. 24


Learn more about Denmark during the Danish Business Delegation’s visit to SPIBA this evening starting at 5:30 p.m. at the Danish Culture Institute. Danish Consul general Klaus Sorensen will be in attendance and the buffet following a presentation on Danish companies in Russia will be the perfect opportunity to network with the assembled businessmen.


AmCham’s Human Resources Committee Meeting is scheduled for 9 a.m. this morning in their St. Petersburg office. Check their website for more details.



Friday, Apr. 25


Light Music presents the main events for their Cultural Kitchen project at Loft-Project Etagi today. A B2B event that focuses on Finnish food, arts, travel, music and design, the evening will conclude with a dinner by chef Jyrki Tsutsunen and dancing to music by Aino Venna. The event, which began yesterday with presentations by tourism and cultural institutions, concludes today with a preview of Finland’s Flow festival and other musical events. Invitations are available from www.culturalkitchen.fi.



Saturday, Apr. 26


At 6 p.m. this evening, stylist Liliana Modigliani offers 50 simple ways to up your style quotient with beauty tips at the Galeria shopping center on Ligovsky Prospekt. The event is part of the final day of the shopping mall’s Fashion Saturday sales event, this week focusing on top brands located on the ground floor as well as presentation from fashion experts on sprucing up your spring look.



Sunday, Apr. 27


Families shouldn’t miss Childhood Planet 2014, the trade fair that started yesterday and concludes today at LenExpo. Not only will goods and services be provided for children and families but the event hopes to promote Russian brands and eco-friendly products using the latest technology available in the childcare industry.



Monday, Apr. 28


The Hotel Indigo will be the site of SPIBA’s Acting Skills for HR and Other Managers master class this morning starting at 9 a.m. The event will begin with coffee before moving on to the class itself and conclude with a tour of the recently opened hotel. Confirm attendance by Apr. 24.



Tuesday, Apr. 29


Improve your English at the British Book Center’s Interactive English Lesson tonight at 6 p.m. Students at pre-intermediate and intermediate levels are welcome discuss topics that are selected to help learners master the more difficult aspects of English grammar and vocabulary.