Hallmark Entertainment and The Jim Henson Company started a partnership in May 1998 to launch the Kermit Channel in Asia and Latin America expected to launch in September 1998 with distribution handled by Hallmark Entertainment Network.
[4] On August 31, 1998, the channel had a soft launch in Latin America and Asia with a revolving three-hour schedule.
The next markets the channel was planned to be launched in were Singapore and Malaysia,[3] while considering Japan and China.
[4] However by January 2000, Hallmark Entertainment Networks decided to instead to focus on existing markets, India, Malaysia and the Philippines, to build up capacity in distribution and brand awareness.
[9] Hallmark Entertainment and the Jim Henson Company were contributing their film libraries towards the channel.