Tuesday, November 30, 2004

Cable Rates Like Bad Moon: Rising

I'm sure that Credence Clearwater could do this story justice...once again, mostly linked to certain programming costs, MSOs announce annual rate hikes. As cited in the article, DBS will be creating some new advertising based on this news...if cable rates continue to advance ahead of inflation, service and perceived value (as always) need to be the focus or else the subscriber bleeding will continue, and with telcos looming, MSOs should be a little careful and concerned..

Sur's Up: Traditional TV Viewing Headed for Wipeout

Maybe too early to look for the riderless "surf-couch", but there are factors leading more viewers to mold network schedules to their own liking and needs...and the impacts of that continue to roll through the industry with the feel of dangerous surf...

Return of Military Channel

Ahh..but as the reborn and renamed former Discovery Wings...in an effort to refocus and re-brand this digital channel, Discovery will do what the former and differently owned Military Channel failed to do: create a network dedicated to all things military, and with any imagination that can be quite a broad field upon which strategic objectives of viewers and brand awareness can be achieved. With the supply and command resources of Discovery, I sense programming victory...

Bidding for Ad Time in China

Now, this is evidence that capitalism has fully entered the PRC...next year, someone will decide that creating a show around the Upfront Ad Sale season makes sense and a network will show ad agencies and planners bidding for ad slots..of course, with state owned tv controlling the market successful bidding is assured..much more exciting to see if there's any interest in a private network's show, all for the public to see...who has the stomach for it, I wonder...

Madison Avenue and DVRs

The continuing debate, concern and research into the impact of DVR technology and tv advertising..one certainty: somehow we will still be watching/encountering/experiencing ads/promos/pitches however we receive our entertainment and information.

SONY Looking at Repeat of BetaMax.VHS Battle?

With content owners/studios lining up behind competing HD DVD formats, is SONY's Blu-Ray format going to be too late to the retail marketplace? If Toshiba is right and it can make the standard by getting out there first, will SONY be able to still find its share either in retail, or like BetaMax, in pre-production. With a technology that is targeted at producing DVD's for sale, I don't know enough about how the varying technologies work to even guess, but with the problems SONY is having in other business sectors, this can't be good news..

Should Cities Offer WiFi?

Looks like Verizon is trying to save face in Philadelphia and still leave room to act in its own self-inteest;although as opined by an attorney, this is an area for legislatures and not Verizon to consider what municipalities can do...granting any single corporate player, especially where competition for broadband is real, the right to prevent anyone or any entity, public or private, from entering the market, makes no sense to me under any economic or coummincations policy..

Bidding for Ad Time in China

Now, this is evidence that capitalism has fully entered the PRC...next year, someone will decide that creating a show around the Upfront season makes sense and a network will show ad agencies and planners bidding for ad slots..of course, with state owned tv controlling the market successful bidding is assured..much more exciting to see if there's any interest in a private network's show, all for the public to see...who has the stomach for it, I wonder...

Advertising Video On Demand

No question if VOD is going to really develop its potential, subscribers have to know what and where it is...operators haven't done a great job and programmers have the better creative and marketing, and incentive, to make VOD known and attractive..

Monday, November 29, 2004

Licensing "American Chopper"

Article on the licensing possibilities generated by Discovery's "American Chopper"..with both Discovery and the show's talent having separate deals, there could be some backwash that forces the chopper down, but this does show how a hit show with some passionate followers can create new revenue streams for a while..

http://www.washingtonpost.com/wp-dyn/articles/A18879-2004Nov28.html

Wednesday, November 24, 2004

The 50+ Demo is Richer and Wired....A Wish For all Of Us

18-49 may still be demo sweet, but those over 50 are generating some serious spending and connected heat....

Tuesday, November 23, 2004

More Pressure on FCC Re Multicast Must Carry

As some of you may know, a petition by Paxson Communications resulted in a federal court ordering the FCC to explain within 30 days why it has failed to act on broadcaster requests to order must-carry for all "free" digital multicasts.

As FCC Chairman Powell cites, the FCC has already decided on the core issue and has, so far, elected not to revise that decision. However, with Congress and now a federal court pressing the FCC to act, I imagine that some kind of ruling will be coming down and then whatever it is it will swiftly be challenged in court by the sides(s) that are on the perceived losing side.

For new and emerging nets especially, this issue needs to be decided so questions of available bandwidth can be settled. While the constitutional, practical and real world precedent, support and evidence is all on the side of denying digital multi-cast must carry (as well as must carry itself), as long as this issue is open it serves a s a break to investment in and development of truly new independent voices.

Boston Is Hub of Wired Competition

Win the Series, and everyone wants in. Verizon will be battling RCN to be the alternate choice to Comcast in Boston. Verizon has the resources, but RCN has the scrappy culture. Each could share the strengths of the other and offer much more potential to challenge the biggest in cable. As one analyst cites, there is a window to offer price breaks but if that window closes and Comcast service improves, who will bet on the overbuilder. If there is going to be wired competition, Verizon will have to show it has learned from past mistakes and really gets the kind of marketing, creative and programming choices it takes to offer video.

ESPN Offer Unique Online Programming

Once experiments like this begin, with any positive results or feel, more will follow and the internet environment will see the development of unique and exclusive programming...


MediaPost's MediaDailyNews Monday, Nov 22, 2004

ESPN.com To Debut Original Animated Series by Tobi Elkin
"The Sports Guy" is getting his own show--on ESPN.com.

Bill Simmons--who pens "ESPN.com's The Sports Guy" on the popular online site, as well as a column in ESPN The Magazine--voices his own character for the animated series, which debuts on Nov. 24 on ESPN.com. The series consists of 11 one-minute episodes, and is produced in conjunction with Funny Garbage, the New York and Los Angeles-based production company behind Comedy Central's prime-time puppet show "Crank Yankers."
The animated comedy series marks ESPN.com's first foray into original entertainment programming for the Web. "The launch of 'ESPN.com's The Sports Guy' marks the beginning of a new way that ESPN.com can serve its fans with the best, most distinctive content and voice. We're excited about the prospects for original entertainment video content on ESPN.com, and all that we can do with the technology and the platform," said John Papanek, senior vice president and editorial director, ESPN New Media, in an e-mail message.
The Web shorts feature Simmons' sports fan character, and are peppered with Simmons' experiences as a fan and a writer. Simmons is a former writer for ABC's "Jimmy Kimmel Live." Promotions for the free series ran on ESPN Motion on Nov. 19. Ads flagging the series will also run on the ESPN.com home page and the site's "Page 2" section home page; ads on ESPN cable were also planned.

ESPN.com offered a sneak peak of two clips from the series on Nov. 18 during the "Battle for the Heart" online creative event in New York organized by Jaffe LLC, an online creative and media consultancy. ESPN.com said the series does not yet have a sponsor, but that it is in discussions with several potential sponsors in the auto and quick service restaurant categories, and existing advertisers that are considering extending their online ad buys. After its Nov. 24 debut, the animated series will run weekly on Thursdays.

Apart from ESPN.com, original content for the Web is beginning to sprout up elsewhere. AtomShockwave has been an innovator in offering short, original content online; Yahoo!, which recently hired Lloyd Braun, a former ABC TV executive, is quietly working to nail licensing deals for original content. Yahoo! has also looked to secure exclusive, never-before-seen footage of popular TV shows and specials; this fall the online network secured a deal with Mark Burnett's popular NBC show "The Apprentice" to air exclusive behind-the-scenes footage. Braun began his new gig as head of Yahoo!'s media and entertainment division on Nov. 15.

Monday, November 22, 2004

AOL Sees The Free Portal Light

Recognizing that getting folks to pay for info that is still free elsewhere, and that little is viewed as so special as to support subscription, AOL will offer a free portal supported by advertising along side its current subscription service...I give them credit for seeing other versions of market reality and experiementing with alternatives...

Inevitable Joining of Ads and VOD

The stories and news keep coming on how, seemingly inevitably, advertising will find a way to work with and within VOD/DVR services...

The early expectations of some kind of "pure ad-skipping" will likely evolve into some means to skip but not completely avoid pop-ups, banners, links...ads.

The simple and strong marketplace need to find a way to economically sustain programming creation and distribution to most tv homes will find such tests and experiments continuing and maturing...

Old Record Companies Try To Stay Relevant

At least the establishment is trying to remain viable and get a handle on how to participate in digital world and maintain relationships with new/untested artists..shows the power of new media delivery and that new media music companies need to focus on maintaining and building up relationhsips with new artists..

Some Slap FCC A La Carte Decision

Not surprpisingly, there are groups and politicians (Sen McCain) who are not happy with the FCC conclusion that a la carte creates more problems than it purportedly solves, especially on diversity of offerings and pricing..

And, others, wish the FCC had taken a harder look and stance on the issue of retrans consent..that issue remains to be fought by cable programmers and operators...

You can't please everyone if you're going to rule and legislate and the mark of any decision worth considering is that it makes some folks mad...

NY Times Palys Industry Catch-Up

As always, one way to measure how serious or real an industry business issue has become is to see when the NY Times does a story on it...here, the current and real potential of cable's competitors gets noticed by the Times...

In this way, the world outside of the trade mags and trade shows begin to think about how the marketplace is changing...

VOD As Premier Platform

In an example of how VOD may develop and be used as a platform for premiers of special programming before being available in the regular linear feed, Noggin will be premiering a movie with Comcast...such efforts won't help create a revenue base for pure VOD programming but it may help get selected shows noticed, especially for some linear networks that are not household names..

Friday, November 19, 2004

USA: Time For a Make Over

One of the first and now most widely distributed general entertainment cable channels, USA Network, announces a new branding effort. Every channel, from time to time, needs to look at the marketplace and competition, and decide if it should rethink itself, or at least its "look and feel" to the viewer. Now that its owned by NBC, USA Network has more resources to retool. Other widely distributed general entertainment nets like TNN and TNT have transformed themselves into places that know drama or comedy; in an increasingly crowded market, refining and sharpening your brand becomes more important.

http://www.hollywoodreporter.com/thr/television/article_display.jsp?vnu_content_id=1000723755

Return of Program Exclusivity?

With telcos returning to the video marketplace, DBS continuing to take cable subs, and new media like broadband to offer more video alternatives, TW's EVP of Programming, Fred Dressler, says program exclusivity may need to be a playing card in the new distribution game.

While current law prevents exclusivity with respect to channels with even a small level of ownership by a company with cable distribution, many channels could be open to exclusivity "demands". Given the competition among content suppliers for audience, exclusivity will not look attractive. Any diminution of potential reach, whether by DBS, telco or other means, limits ability to attract regional and national advertisers at the best possible rates.

Its understandable why cable wants to offer as distinct and differentiated a product as possible. Maybe the programmer can get license fee increases and carriage commitments to merit consideration of an exclusivity grant, but changing technology and economics makes that a difficult equation to figure.

http://www.multichannel.com/article/CA481581.html?display=Breaking+News&referral=SUPP

Money for Broadcast Signals

If retranmission consent is to remain law and not be used as by broadcasters a means to force carriage of untested new cable channels, then negotiating for money may be the the most appropriate and best means of valuing the right to carry copyrighted programming.

The impact for cable networks not affiliated with broadcasters may be that a financial squeeze from retrans will cause cable operators to press those non-affiliated cable channels for lower license fees and more launch fees.

Achieving balance here is a mix of Newtonian Laws and unintended consequences of regulations. The related article on program exclusivity in an increasingly competitive video marketplace also presents potential problems for some networks who need as many means of distribution as possible to build brand and achieve audience for advertisers.

A three or four dimensional chess game, indeed.


http://www.multichannel.com/article/CA481584.html?display=Breaking+News&referral=SUPP

FCC To Say "No" To A La Carte Programming

In very good news for new, emerging, niche and independent networks, the FCC will be issuing a report which dismisses a la carte as an effective or useful means to address questions of program choice and subscriber cable costs. Citing the economics that would harm the goal of diversity of ideas and cable voices, the report seems to track the arguments made by many networks (including one of my faves, Court TV). There apparently is also a discussion of how retransmission consent may be abused by broadcast nets and also have a negative impact on on the ability of new and niche cable nets to get started and grow. Unfortunately for cable networks, there is no definitive statement.


http://www.multichannel.com/article/CA481516.html?display=Breaking+News&referral=SUPP

Thursday, November 18, 2004

What if you're a born-again farmer?

Farmers, concerned about access to specialized broadcast services like the newly launched NBC local-weather digital channel, lobby against deadline for analog/digital spectrum trade deadline if it does not require real digital transition and digital multi-cast must carry.

Jerry Falwell group lobbies against a la carte because of potential harm to religious cable networks if loss of digital basic access occurs.

Like most issues, it all depends on whose ox is being gored and where the ox worships..

http://www.multichannel.com/article/CA481169.html?display=Breaking+News&referral=SUPP


http://www.broadcastingcable.com/article/CA481089.html?display=Breaking+News
The business of America is the sell, the pitch, the enticement, the promise..

TiVO finds a way to offer ad skipping while incorporating pop-ups of logos and links to brand sites and if viewer clicks on, that choice gets downloaded to advertiser and viewer gets DR mail and marketers add to database....

Some viewers will feel OK,some will see it as a betrayal of a skipping commercial-free experience..but it still takes money to produce and deliver content and until the communal utopia we all dream of comes to pass, that is a hard fact to get around...

http://www.latimes.com/business/la-et-tivo17nov17,0,3236496.story?coll=la-home-headlines

Wednesday, November 17, 2004

Video-On-Demand: A Long Way To Grow

Hearing from Rainbow's Josh Sapan (MagRack) on VOD is worth the time because he is one of the few who really knows and works this new programming model

The emphasis on the unknown and evolutionary possibilities and requirement of unique content and innovative marketing are all right on and key to making VOD become something other than a niftier technological way to record repurposed or time shifted content. If VOD is to grow and develop its own identity worth paying for, it needs to offer something worth paying for. Becasue someone has to pay for new content, and one way or another, its going to be the subscriber,


http://www.multichannel.com/article/CA480246.html?display=Opinion&referral=SUPP

Phone Companies Back in Video Business

SBC, showing determination to compete in the video marketplace, signs deal with Microsoft to have Microsoft provide the technology (servers, software) to enable the telco to send multiple video, including HD, over its lines.. SBS is also expandoing its relationship with Yahoo to provide broadband services.

Telephone companies, like SBC, have tried and failed before to enter the video market. But with traditional landline service eroding as a business, telcos have to succeed this time in expanding their business..or else, it will be one of the biggest business failures awaiting a book.

As noted, Microsft has also tried and failed for years to enter the video business, mostly through investments in cable companies. With the new effort at providing tv through the pc and deals like this, Microsoft shows its own determination to figure it out..





http://www.nytimes.com/2004/11/17/technology/17soft.html

Tuesday, November 16, 2004

Murdoch says he's happy with Liberty's ownership level but would like it to hold steadyand not increase...Malone and Murdoch continue to talk about opportunites for the two companies but Rupert downplays the idea of taking Discovery..

But never say never with these guys and in this business..


http://www.multichannel.com/article/CA480722.html?display=Breaking+News

American Airlines To Offer On-Demand Programming.

In an interesting move and twist from the JetBlue tv concept, American Airlines is trying a refreshed on-demand menu of films, tv and audio. Offers some new possibilities for special, off-air content from a variety of content providers.



http://www.nytimes.com/2004/11/16/business/16road.html

DVR's and Commericals

Some interesting speculation and views on how DVRs and changing tv-ad economics might be looked at and at possible ways for new distribution technologies to support content and reach viewers..no question, these questions are some of the most fun and challenging in the industry.



A media critique by Wayne Friedman, Tuesday, November 16, 2004
DIGITAL VIDEO RECORDERS ARE FAST becoming a headache for TV marketers as viewers have itchy fast-forwarding fingers. But there are remedies to these nervous digits -- including under-developed marketing technologies.

A new report from Magna Global confirms what is virtually now assumed as common knowledge - DVR users fast forward through commercials. The longer you use the DVRs, the greater the skipping of commercials. (One side benefit: DVR users generally watch more TV than non-DVR users).
The solution for those viewers missing advertising isn't with product placement -- as many press accounts suggest. You can't replace the 20 typical 30-second national TV messages in an average primetime hour network -- such as in NBC's "The West Wing" - with 20 different product placement deals. Even if you could, you have to do it again the next week -- and the week after that.

If TV viewers want commercial-free TV programming, TV networks best give it to them. But consumers have to pay for that experience. Perhaps networks should go to a pay-TV or video on demand model.

What's left for advertisers? The one media that should be considered more is the Internet. No matter how much consumers fast forward, they still need the primal intent of all advertising --- product information. The easiest place to get that is the Internet.

Commercial messages will survive. But there will be far less of them -- perhaps one or two per show. Already, in season premieres of shows such as Fox's "24" with Ford Motor Co., as well as other series premieres, such as on FX, one advertiser gets a two or three minute vignette or mini-movie message before or after a show.

Last year, NBC experimented with one-minute movies in an effort to keep viewers from switching programs. More recently ESPN's "SportsCenter" had Sears, and other advertisers, sponsoring 'serial' story vignettes, where a storyline stretched through two or three separate vignettes over the course of a week or more.

If this doesn't work, advertisers will no doubt find one more way to get their high-impact video messages out. Just think of Tom Cruise in the high-tech futurist, "Minority Report" running through a subway while voice-actuated print advertising calls out to him pitching products and services.

Take this one step further: Wireless holography.

Imagine the possibilities: You're driving down the highway when all of a sudden a Mobil gasoline ad pops up translucently on the bottom part of your windshield reminding you to fill up. Or a Hallmark message jogs your memory that your wife's birthday is coming up.

As a penance for commercial-free entertainment - and for all those years of going to the kitchen for a snack during commercials -- consumers will now really have to focus.
Sure there will be a few traffic accidents, but that's the price for fast-forwarding your DVR through "Extreme Makeover: Bidet Edition."

Wayne Friedman is a veteran media and advertising writer based in Los Angeles and a regular contributor to TelevisionWeek.
TV Watch for Tuesday, November 16, 2004: http://www.mediapost.com/dtls_dsp_TVwatch.cfm?fnl=041116



FCC Opens Up Development of IP Video

The VoIP ruling pre-empting state regulation of IP based telephony also includes Internet Protocol based video (as specifically proposed by SBC).

While apparently presenting questions as to full application to such a service provided by already regulated and franchised cable operators, it could be a measn to develop a full IP based full video servie which is free of initial regulatory constraints.

Overall, a positive move for this nascent video service.



http://www.multichannel.com/article/CA480544.html

Sunday, November 14, 2004

What Is "Local" Anymore

Broadcasters are said to be preparing to fight any new rules which may come out of current FCC study of how much real local news and content local stations are producing.

With most local broadcast stations owned by the existing Big 4 (NBC, CBS, ABC, Fox), Viacom's UPN, Time Warner's WB or a handful of other national broadcast groups, the traditional public interest notion of "localsim" has increasingly lost out to the owner's need to remain competitive on a national level. With syndicated programming long dominating daytime and early primetime (e.g., Oprah, Jeopardy, Judge Judy) and station owners looking to produce and/or license programming as efficiently as possible and support it through national ad sales, there is little except for early morning Sunday shows and news that is truly local anymore.

With many-to-most Americans receiving programming via cable or satellite, and the internet increasingly becoming the source of news and information, the traditional assumptions of the importance of local broadcast to the community of license probably does need to be looked at in a new media marketplace.

Here's a link to a brief article.

http://www.multichannel.com/article/CA477631.html