Front of Los Angeles Times Has an NBC ‘Article’

News or newsworthy, the front page of the LA Times has an ad. So does the Wall Street Journal, the New York Times, and other publications. The difference is that the ad gave the appearance of being an article. In fact, the ad was designed to subtly confuse despite the fact that it was in a different font, had a typical style ad directly below it, and the NBC logo on top. Clearly it was not a hard news article.

So did it work. It certainly created pr buzz, generating discussion, blogs, and attention; but did it go over the line and harm the editorial side of the newspaper. In the long run, probably not, but it does push them further down a slippery slope. Profit over content; the LA Times might argue, without profit, there is no newspaper and thus no content.

Selling ads on the front page is certainly acceptable; the ad should be more clearly differentiated from what was done. Clearly labeled advertisement at the top of the column and not in font too small to read. Making ads more effective is not unusual, but not to fool the reader. Newspapers need more dollars to stay around. But it still doesn't solve newspapers biggest problem, the loss of readers to the internet. No front page ad/column will solve that problem.

Actors and studios said to be close to new contract

Could it be true. Could SAG and AMPTP be close to a new agreement. Nothing public yet, but the talk is that informal talks have been going on and collaboration is occurring. Good news for all!

NBC Threatens Over Affiliate's Plans To Lose Leno

Legal action is being threatened by corporate parent NBC to the Boston station, WHDH, and its owner Sunbeam Television Corp. Quick and to the point, you will carry Leno at 10 pm or else. And the Boston station response is that their agreement gives them the right.

Why such a public fight; because NBC doesn't want any other of it's affiliates to get the same idea. Nip it in the butt early, publicly and privately, too. "Industry experts said NBC's swift and very public crackdown suggests the network wants to ward off any dissent that may be brewing at its other affiliates, some of which are nervous about how Leno will perform as a lead-in to their late-night newscasts." NBC has not been doing to well in the ratings lately and the local nets fear that cheap and ill conceived programming, especially in the slot right before their news, will ultimately affect local ratings too. The general perception is that most viewers are lazy and don't change the channel from their 10p show to the news. Keep them entertained and they stay for the news that follows. Disappoint and they turn the channel.

"WHDH's Ansin (Ed Ansin, owner of WHDH parent Sunbeam Television Corp.) said a local newscast will draw better ratings than Leno and that airing five nights a week in that time slot would be a financial disaster for his station. The new Leno show will compete against popular scripted shows, such as CBS's 'CSI: Miami.'" How can NBC assure Ansin and their other affiliates that Leno at 10P will perform? And how soon till another affiliate follows suit and copies WHDH? I wouldn't be surprised if every affiliate is also reviewing their legal agreements. High drama indeed...hey, this could be a TV show!

Is This the Future of the Digital Book?

Are digital books more than just electronic ink on a screen? It seems that everything is multimedia, and books fall into that category too. More than just a good story, add music and video and stir together into an even fuller experience. Add to that an online book club and twitter to share your thoughts on a book, magazine, or article, and the written experience is now interactive, too. This is exciting stuff.

New startups, like Vook.tv, WEbook, Fourth Story Media, and others are emerging to enhance the move from written page to digital experience. That means that the Kindle and Sony e-reader are just the first baby steps to a brand new experience. "Ms. Nelson (Sara Nelson, former editor of Publishers Weekly) has seen the Vook prototype and says it is intriguing, but the challenge is to avoid feeling gimmicky. 'If you are going to put video in a book, it has to flow so naturally into the story that readers don’t even realize they are switching mediums,' she said."

Perhaps that is what Facebook and other social networks need to tie into next. Expanding the interactive experience with other types of content, but centralize the experience on your main social page. That partnership could quicken the acceptance of these new products.

New Jay Leno Show Rejected By NBC Affiliate In Boston

Wasn't it just a couple weeks ago that NBC reported that they were meeting with their affiliates to work together to make sure the new Jay Leno show met expectations. Well I guess the Boston affiliate, WHDH, couldn't work out an arrangement. They have now publicly stated that they will air a 10pm news hour rather than the national Jay Leno Show feed. And NBC is obviously mad as hell. "Ed Ansin, who owns WHDH's parent company, told The Boston Globe he did not believe Leno's new show would be successful. He said the station would do better financially with a news show that competes with Fox-affiliated WFXT-TV's highly rated 10 p.m. newscast." NBC says that WHDH is contractually required; WHDH says otherwise.

What the Boston affiliate hasn't said, is what they will air at 11pm. It doesn't seem more news so maybe will be a syndicated sitcom. WHDH believes they can make more money with news at 10p than with Jay. And as the Tonight Show starts at 11:35, WHDH could extend this news show from 10 - 11:05 to keep viewers from switching and then go right into a 30 minute sitcom. And if WHDH is obligated to run the show at some other time, they may choose to move it further into the early morning or weekend hours. Who says it has to be run at 10p.

Deadline Hollywood has more of a take on the story. They offer another interesting perspective. "NBC also trotted out Michael Fiorile, the NBC Affiliate Board Chairman (and Vice Chairman of the Dispatch Group) to give Jay a vote of confidence: 'The NBC affiliates are very excited about the new Leno show weeknights at 10 p.m. Jay is a true star with enormous appeal. We've been engaged in an open dialogue with NBC about the format of the show, and we’re looking forward to working with Jay and the entire team to make it a huge success.' But the sad truth is that the same Michael Fiorile was telling media outlets at the end of 2008 that NBC's beleaguered affiliates had asked the network last summer to give back time, and maybe even days, to them. And to give local content a shot. "

NBC could offer the block to another channel or to its Telemundo affiliate, although that suggestion seems less likely. When you start to cut costs, you sometimes cut more than just the fat, you cut the quality as well. Watch how more expensive news readers and TV reporters are being replaced with younger, less expensive talent. But when it comes to prime time, quality matters. "Estimates are that Leno 2.0 may only cost $2M a week and result in 46 weeks of original shows, compared to the average $3 million per episode pricetag of scripted primetime dramas that air on average 22 original weekly episodes. But the 58-year-old attracts only 4.8 million viewers now on The Tonight Show -- measly by primetime standards, especially in the advertiser-coveted 18-to-49 demographic. The affiliates know that expanded local news or local ballgames might hit a higher number than Leno or NBC's weaker nights -- which is no doubt why WHDH made the decision it did. "

A Jay Leno prime time variety type show could work...ONE day a week. But five nights will only chase viewers away to other channels. WHDH may be the first to announce, but may not be the last.

SAG, AFTRA Reach Tentative Commercial Accord

It can be done; SAG can complete an agreement. Done jointly with AFTRA, the new agreement seems to encompass web, cable, and broadcast issues, as well as Hispanic spots. "We have achieved a deal that brings significant improvements to these contracts," said SAG chief negotiator John. McGuire in a statement. 'Our gains include establishing the first-ever payment structure for made-for-the Internet and new media commercials and significant increases in wages during a very troubled global economy.'" Nicely done.

So now let's get a deal done with AMPTP. The truth is you have no leverage and you aren't going to strike. It is in no one's best interest. You've proved you can work jointly with AFTRA; perhaps, it is best to use their signed agreement to complete yours.

ABC and ESPN Coming to YouTube… But Short-Form Only

If You Tube does one thing well, it is as a destination site to look for videos. And once those videos are discovered, it allows the viewer to see what people are talking about. And as a promotional vehicle it is an ideal fit for ABC, teasing viewers with short form pieces and linking them back to the brand site to watch the full episode. Brilliant! But the article only talks about ABC and ESPN, will Disney Channel content also be included? I'm hoping the answer is yes.

So why is there buzz still about a Hulu and Disney possible partnership? What does Hulu bring to Disney that adds more value than You Tube. It certainly doesn't bring added value to the brand name, only to the content piece. Certainly additional distribution points are useful for reach, but it is at an added cost that would drive viewers AWAY from their own sites.

The question that continues to be asked of Hulu and other sites that do distribute full length episodes is why; why give for free what the customer buys in a cable subscription. The model that Comcast and Time Warner have proposed is to only authorize web access to this content to households that also have a cable subscription. Disney gets a healthy subscriber fee and the revenue from Hulu surely won't offset the loss of cable subs.

This You Tube partnership makes much more sense; bringing short form content online and encouraging consumers to watch full episodes on their TV or on the Disney branded sites. Limiting full length episodes to 'authorized" cable customers could bring added subscription revenue opportunities as well. ESPN has already demonstrated that they can sell web content to cable companies; ESPN360 is a perfect example of that and Verizon currently offers it to its broadband customers. The decision to not strike a Hulu Disney agreement seems the better choice.

Time For Cable Companies To Fix Their Awful User Interfaces

As they say on SNL, it is time for the cable companies to just "Fix It!". As I have been saying on my blog, the cable set top box is what is truly killing the relationship between cable and the viewer. And in my house, I actually prefer a standalone Tivo to a cable DVR, even without access to premium or VOD on my set. Search features, trick features, speed, even an internet connection (which the cable box still doesn't have), all make the Tivo the hands down winner.

And while cable still waits to deliver, other companies, Netflix, Hulu, Boxee, Apple TV, continue to beat cable to the punch. "We are surprised by how lousy today's set-top box software is. The user interface has barely changed in ten years. Searching through programs on hundreds of channels (and various on-demand listings) requires an immense amount of patience or muscle memory. And the set-top box shows no signs that it's connected to the same pipe as the Internet." So why hasn't cable been doing anything to change? Cable seems to remain in a defensive position, worrying how to compete with satellite and telco, rather than how to be proactive and in front of the curve. Because cable is so capital intensive, the companies may be trying to recoup their investments rather than spend on better hardware and software.

But it seems the best strategy for cable is to do nothing. "They still have the benefit of owning their own dedicated pipe, having set-top boxes in tens of millions of living rooms, and having the best content, live -- which Internet-based rivals don't." At the same time, do nothing, and eventually you will be overtaken by others. Need an example, look at the internet provider life cycle - the dominance of Prodigy lost out to AOL, and AOL's grip went quickly from solid to fringe as cable broadband emerged. Eventually web access could do the same to cable. "But eventually, it's possible that most people won't need to pay a cable company $80 per month to get a solid entertainment experience. We -- admittedly, not TV junkies -- cut the cord last year, any many of our friends have, too. It's possible that through iTunes, Netflix, Hulu, TV.com, and services like Major League Baseball's MLB.TV, we'll get enough stuff to watch. And with excellent video browsing software like Boxee to put it all together, the cable companies could actually face a real challenge."

Change is a coming and cable companies need to adapt their interface now to retain their leadership position.

Could Disney Join Hulu? Sources Say Talks Are Serious

Why is Disney thinking of joining Hulu? Is it the equity stake? And why join a group with your broadcast and cable competitors and share knowledge and revenue with them. If anything, Hulu should demonstrate to Disney that high quality content, professionally created, on a good player, with strong marketing can work. That Hulu grew from nothing to second place in a couple years is amazing. But why share?

Let me look at the pros. Hulu is an amazing distribution point and has fed the hunger of online starved consumers eager to consume videos online. Its meteoric growth, its advertising model, its stickiness, all encourage viewers to watch multiple videos and stay connected with it. And despite a silly name that many people still mistype as HULA, its a slick and well managed website, easily searched and navigated, offering top views as well as variety. "Why now? One source says, 'Hulu has more scale (than the networks), which is why I think they’re back at the table.'” So why isn't Disney also talking with CBS's TV.com?

And now the cons. The web is open with low barriers to entry and Disney has a great brand and the marketing savvy to build its online business. And where will Hulu be after the departure of people like George Kliavkoff of NBC and Peter Chernin of Fox. In addition, Disney has cable distribution partners eager to keep the subscription model alive; aligning with them and offering exclusivity to cable customers with a broadband connection, may be the added value that actually helps to increase license fees, not destroy them. Certainly, Fancast, Comcast's online portal, would love to have an exclusive window on some full length ABC, Disney, and ESPN content. Hulu may bring some advertising revenue, but it may also cause some viewers to disconnect from cable to only get their shows online.

Online video is also more than just watching online. The fun is in the social networking, the message boards, the casual gaming, the quizzes, the interactive elements that extend beyond simply watching a TV show online. Hulu may be one means of entry, and certainly today a popular one, but by no means the only one. My advice to Disney, look internal first; there may not be a need to enter into a partnership.