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After selling DreamWorks animation to NBCUniversal for $3.8 billion, executive Jeffrey Katzenberg's next move is to create a TV service for the mobile generation.
The proposed New TV, which Katzenberg told CNBC will cost about $2 billion to launch, will feature original shows. Episodes will be no longer than 10 minutes in length, but retain the high production values and quality people expect from traditional television.
Variety first reported that shows will not have ad breaks, but instead use title sponsors and brand integrations in episodes. There is no launch date as of yet.
Top producers J.J. Abrams, Ron Howard, Mark Burnett and Jerry Bruckheimer have been interested in working on projects, Katzenberg said. He also has deals to license custom content from Disney, FOX, CBS and Lionsgate.
The cost may seem high, but sources told CNBC that Katzenberg has met with Apple, Google, AT&T, Verizon, T-Mobile, Snapchat and Spotify executives for funding. Based on potential partners, there may be a free ad-supported model as well as a paid subscription service, sources added.
Additional reporting by Julia Boorstin.
NBCUniversal is the parent company of CNBC.