Each of the highlighted companies are technology companies — not content companies. In January, I published an article questioning the value of digital-only content. I concluded that digital content has little to no value, compared to traditional media properties.
Digital content producers fail to realize that content is only valuable if it’s unique. Most online-video shows are news shows and feature topics that are often covered by dozens of sites everyday. Furthermore, producing content that is easy to duplicate is the least valuable asset for a media company.
On the other hand, technology is innovative. It has value. And, more often than not, it has a far-reaching impact. For example, AP’s live coverage of the ‘Oscar’s Red Carpet’ reached more than 100,000 viewers. Building and sustaining this platform is not easy. However, the site successfully handled that traffic.
Another important insight from Ashkan’s article is that the acquirers are either in the technology space or the media/entertainment space. In an ideal situation, most of these platforms should be acquired by technology companies so that they continue to innovate and develop standards.
Reaching over 41 million viewers, last night’s Academy Awards was the highest rated awards show in the past 5 years. This was also the year where interactive and digital media played a significant role.
ABC’s www.oscars.com had more than 10 features surrounding the awards, ranging from games to behind-the-scenes access.
Associated Press, in partnership with Livestream, live-broadcast ‘Oscars Red Carpet,‘ reaching more than 100,000 viewers.
CNN also live-streamed the red-carpet on www.cnn.com.
Nearly all the trending topics on Twitter were related to the Academy Awards.
Even in a year where content companies and distributors are reeling from the economic downturn, the audience numbers have remained high across the board. Earlier this year, the Superbowl was the “most watched program in television history.”
As numbers continue to rise across media properties, it’s clear that digital media compliments traditional media properties and does not cannibalize it.
Update 1 – 9:03pm EST (March 7th) - Cablevision and ABC-7 have reached a tentative agreement to broadcast ABC-7 content while both parties continue negotiations.
ABC7 and Cablevision have made significant progress and have reached an agreement in principle that recognizes the fair value of ABC7, with deal points that we expect to finalize with Cablevision. Given this movement, we’re pleased to announce that ABC7 will return to Cablevision households while we work to complete our negotiations.
As anticipated, nearly 3 million Cablevision customers in the New York, New Jersey, and Connecticut area have lost access to WABC.
Cablevision and The Walt Disney Company failed to reach an agreement by Saturday midnight. Any Cablevision customer tuning into Channel 7 is being presented with the following message with a voiceover, including this statement “We apologize for the inconvenience caused by ABC’s action”
Cablevision and WABC/ABC7 in New York have been in disagreement regarding transmission fees for nearly 2 years. Unless they come to an agreement, starting March 7th, Cablevision will no longer carry ABC7.
Cablevision states that ABC7 is transmitted over-the-air for free and therefore, no money is owed to ABC7. On the other hand, ABC7 claims that Cablevision collects fees from subscribers and doesn’t pay ABC7 anything.
ABC7 recently started broadcasting PSAs regarding this issue. The PSA states that:
Cablevision customers should call or email Cablevision indicating that they don’t want ABC7 taken off the air and
If Cablevision doesn’t comply, they should switch to an alternative provider or consume ABC7 content over-the-air for free.
With New York being one of the major TV markets in the United States, the outcome could have a far-reaching impact.
Rebecca Campbell, President and General Manager of WABC-TV posted this on www.saveabc7.com:
Thank you for helping to make ABC7 New York’s favorite television station. We work hard to earn your support every day by bringing you the best in local news, community affairs and top-quality entertainment programming.
Unfortunately, as of March 7th, ABC7 may no longer be carried on Cablevision systems.
For the past two years we have tried, without success, to reach an agreement with Cablevision to carry ABC7. Why? Because Cablevision’s position is that ABC7 is worth little to nothing to its business and its proposed offers have been consistently unreasonable and unrealistic.
In fact, ABC7 delivers some of the most popular programming carried on Cablevision today, shows like LOST, Grey’s Anatomy,Jeopardy, Dancing with the Stars, Wheel of Fortune, Desperate Housewives, General Hospital, Regis and Kelly, Modern Family, The Academy Awards, The Oprah Winfrey Show and Eyewitness News.
We think these shows are valuable. And your bill shows that Cablevision must agree, since you already pay for ABC7 as part of yourBroadcast Basic Tier – a service for which, as a Cablevision customer, you pay as much as $18 each month.
What your bill doesn’t show is how much Cablevision pays us for these programs.
The answer: They Pay Nothing. That’s right…Cablevision charges you for ABC7 and then keeps ALL the money.
We will continue to work with Cablevision to reach a fair agreement, but regardless of the outcome, ABC7 is available to you through a variety of other providers, including Verizon FiOS, AT&T U-verse and DIRECTV, and, as always, FREE over-the-air.
Over the past year, this site has published over 100 articles. Starting this week, we’re starting syndication to The Huffington Post. Topics will span across Business, Innovation, and Technology.
