Fox Not The Only Story, Cablevision Pulls Off Scripps

So much press on the Time Warner Cable and Fox negotiations, that poor Scripps got little attention. And while a last minute deal closed to enable Fox to remain on air in Time Warner markets, HGTV and Food weren't as lucky. Cablevision pulled off the air all of Scripps' channels and viewers have been without going into a fourth day. For my family, fans of Food Challenge, House Hunters, and other shows, serious trouble. Luckily, we don't live in a Cablevision market.

"Since the signals were pulled, Cablevision has been continuously running a "customer" alert on the channel positions, featuring Scripps and the two networks' logos." At the same time, Time Warner is also out of contract with Scripps but has kept the networks on air during this same period. I am confident that in each case, Scripps will formalize a contract with each.

In the meantime, what does a customer do. For us, we would have been actively using our DVR to at least watch our shows. VOD would have dropped the network fare as well and left us out cold. Customers could contemplate switching providers; but note, eventually, networks will have to also renegotiate with telcos and dish and the same hardball tactics will be used again. The day of free over the air TV is gone. Networks want their subscription revenue and customers will either have to work through third party distributors until the day we simply buy our channels directly, a la carte, one at a time, over the web, for viewing in our home and on our approved devices.

Will Fox and Time Warner Cable Make A Deal

New Year's Eve is here and tomorrow a new years starts. But for customers of Time Warner Cable, tomorrow may mean no Fox broadcast or its sister cable channels like FX and others. That is because their carriage agreement expires today and has yet to be renewed. And so customers of Time Warner Cable have a few choices: 1. Wait and eventually they will settle, but till then miss Fox programming, most likely this weekend's fare of Bowl and NFL Games. 2. Switch providers to Telco or Dish, still unlikely to get switched by tomorrow so still out of luck short term. 3. Buy a digital antennae and at least get access to Fox Broadcast. 4. Go to a friend's house or local bar with a different provider to at least watch the games. 5. Complain to the FCC and your Senators and Representatives.

Who is right in this squabble between two mega companies? Neither. Both live in a world with obscene profits and ultimately the customer is in the middle. Could Time Warner swallow the extra buck to carry Fox? Of course. Does Fox need the whole dollar as an increase; probably not. Is there a middle ground; yes, the question in this and every negotiation is who blinks first. And because neither side especially likes the other, that negative relationship plays an unfortunate part too.

And so it will play out all day and night, taking people away from their families and friends most likely till 12:01 AM. Happy New Year!

Will Canoe Ever Work?

Will interactive advertising through the cable box become reality; at some point, yes. But will Canoe be the one to pull it off; well, let's just say that they are yet to meet a deadline. "Canoe earlier this summer abandoned plans for a targeted-ad service, which was to let advertisers run different spots in a national campaign by overlaying them on existing local cable ad zones." That essentially was meant to enable more ads to traffic inside a :30 second spot. Targeted to the household, each unique spot could be run inside one ad break, essentially quadrupling the number of ad positions to sell. Advertisers would pay the premium to get ads targeting their best customers, by household. Canoe failed to bring that opportunity to market.

"Instead, CEO David Verklin said in June, Canoe would turn its focus to launching the interactive RFI product in the fourth quarter." That means the opportunity for a consumer watching the ad to push a button on the remote and get more info on the ad; that could be a free sample, promotional information, a specific video, and perhaps even the chance to order a product. But now even that is delayed till Spring 2010. And while Canoe failed to hit the deadline, Cablevision has proven that an interactive model can be deployed. "Cablevision, independent of Canoe, this fall launched Optimum Select, an interactive advertising service that runs on the MSO's proprietary ITV platform." Can Canoe catch up or will they in fact latch on to Cablevision. For Canoe, the future remains cloudy.

TVs In Cars Forecast To Double By 2015

For us with kids, a TV screen in the car, especially for long trips, has been an easy way to entertain while driving. Thanks to a large selection of DVDs, some of which we never get tired of watching over and over, the TV has great value. But what if there is something live on TV or simply a show that is always enjoyed, even with commercials, how can linear TV be enjoyed in the car? Not Direct TV or Dish, but perhaps cellular phones can help.

"For broadcasters, the major mobile TV play is being led by the Open Mobile Video Coalition (OMVC), which represents more than 800 local TV stations that plan to use the ATSC's mobile digital TV broadcasting standard. The OMVC has lined up device manufacturers that plan to sell products that work with the DTV specification, and the group plans to launch a customer trial in Washington, D.C., in 2010." But how about connecting a FLO TV enabled device to a jack and connect to the TV screen. "FLO TV is currently available through AT&T Wireless and Verizon Wireless and via a Qualcomm-developed handheld device with a lineup of more than a dozen live channels, including CNBC, ABC Mobile, Disney Channel, Fox Mobile, MTV, NBC2go and Nickelodeon." Or even better, why not work with a satellite delivered device that is already in the car.

It is the time for Sirius to enter the video world for mobile entertainment. And to ease that transition, it is time for Direct TV to buy Sirius. The combination of the two entities could be the best synergy to enable mobile TV to work. Sirius will not survive on radio alone and Direct TV needs additional advantages to overtake cable. This could prove a win win to both companies and to the public as well.

Fox and Time Warner Cable Battle - Customers Will Ultimately Lose

Ahhhh, remember the simple life when all there was to watch was free, over the air, broadcast TV. Just adjust your antenna and watch. Then cable came along and offered a clearer transmission and ultimately more channels. Then technology brought video recording and ultimately on demand. And with each change, the price for watching TV rose and rose and rose.

Welcome to today where broadcasters own cable channels and leverage is used to assure that dollars get spent on carriage of both broadcast, general cable nets as well as niche ones. The allure of subscription fees to augment the revenue from advertising is too compelling to ignore. So broadcasters switched from "must carry" to "Retrans" to force contract negotiation. Fees go up and cable customers pay more.

So today you have Time Warner Cable fighting Fox and Mediacom fighting Sinclair. Timing for contracts always seem to expire New Years Eve causing great despair as the clock is used to force settlement before time runs out and a holiday is upon us. Just in time for folks to be huddled around the TV, set to watch a movie or a college bowl game. Ultimately, more money will be spent and those costs will be passed on in cable bills.

And as broadcast signals have become digital, antenna reception more problematic, customers have been forced to carry cable to watch their shows. Will customers switch to avoid losing their Fox or will they wait and watch the drama unfold. A deal will be reached, maybe by December 31, maybe not. But shortly thereafter and it will then be another cable network and another cable operator's turn to go through this same dance. It's happened before and it will happen again. And once the customer gets tired of this ongoing fight, they will switch to internet viewing and simply find an alternative choice to satisfy their TV addiction.

Entertainment Trends From Nielsenwire

According to Nielsen, here are the top trends in entertainment in 2010:

1. Digital media shows solid growth.
2. New functionality and price drops increase gaming usage.
3. Rehashed, replayed games risk saturating the gaming market.
4. Sports globalization offers a new range of opportunities.
5. Piracy is a major concern for artists, authors and publishers.


While I agree that digital media will grow, that trend has been present for years. Web surfing, e-mail, e-books, iPhones, and more have dominated the landscape. There use will continue to dominate other media.

And gaming is becoming more universal, not just on in home devices like Xbox and Wii, but on smart phones and other mobile devices too. Gaming though is an addiction, a drug, that takes time away from more useful ventures. It may be fun, it may be challenging, and it certainly is engrossing; but, gaming does not lead to productivity. It is a time suck that needs to be better managed or our youth, and perhaps us, too, will find her minds numbed from staring at gems popping, tiles moving, virtual soldiers shooting, and farmers plowing non-existent farms. It is one trend that is growing and becoming potentially more problematic, too. Unfortunately, I also encourage it in my home. The only solution, not to do away with it entirely, but to limit time spent so that it does not become a downward spiralling addiction.

And with competition for gaming, Game Stop has emerged as a key player for finding and purchasing games. Both new and used games are available for purchase. Replayed games are good for the pocketbook, tougher on new sales. Would you rather pay $19 for Madden '08 or $50 for Madden '10? Seems obvious which one is most appealing.

Sports globalization. In 2010 we get both the Winter Olympics and World Cup, 2 global competitions. Certainly of more world interest than the USA annual events known as the Bowl Games, Super Bowl, NCAA Basketball, World Series, etc. Two global competitions in one year, but a trend past 2010, I'm not so sure.

And lastly, Piracy. A trend that has been around since music went digital years ago. As long as content costs money, folks will look for ways to get that same content for less money or nothing at all. Before digital, people went into movie theaters and illegally filmed new releases just to resell them for less. Digital copies simply makes the process less cumbersome. A trend, no; a reality, yes.

Can Leno Be Saved? Let Me Program NBC!

The Jay Leno Show at 10 pm is a failure and NBC affiliates seems to agree. "'The handwriting is on the wall,' Alan Frank, who runs two NBC stations including the affiliate in Detroit, told the trade publication Broadcasting & Cable over the weekend." Affiliates have had enough and are dropping the show for local content. Heck David Letterman failed as a daytime talk show. It shows that success in one time period does not necessarily guarantee success in another time spot.

But there is a solution for NBC that brings affiliates back and saves Jay Leno. Move The Jay Leno Show to 10 PM on Saturday night, a night most recently used to showcase repeats from the week prior. As a one night a week variety show, Jay can focus on variety acts, comedy, and monologue. In fact, make it live to show that anything is possible. A greater lead in to news and perhaps to Saturday Night Live as well. Frankly, one show a week is enough for Jay. Think Ed Sullivan and Carol Burnett and design accordingly.

And what to do with 10 pm Monday through Friday? Well there is always Law and Order until new shows are ready to premiere. Other suggestions, bring back a good western and a good family drama, and a good guest filled episodic. Get back to the roots of good television. Otherwise, we can watch NBC continue to suffer.

Kindle Doing Great; Should E-Reader and Nook Worry?

Merry Christmas and Happy Hannukah, Kindle sales seem to be the stocking stuffer as other devices lose market share. "Kindle device and book sales will total $1.6 billion for 2010. That's 5% of Amazon's total sales." Sell the device and build a store to deliver content. Amazon is emulating the Apple App Store and taking advantage of changing trends. Can Barnes and Noble and Borders survive as they have been slower to adapt.

I currently don't own a Kindle and keep waiting for a device that provides color as well as black and white content, in an easy to hold, light, and nimble device. Perhaps my hesitancy reflects others that have not become early adopters. I do believe the company that delivers this device first will ultimately win the war. I expect the Kindle folks are working furiously to build such a device so the others better hurry.

Magazines Get Ready for Tablets

Take control of your distribution and perhaps the magazine business isn't too bad. Thanks to Benjamin Franklin and the printing press, newspapers and magazines have enjoyed a couple centuries of success. But new technology has threatened to derail it and the solution is painfully clear, adapt or die. Obviously, the switch over to a pure digital play is not realistic; rather, a measured approach, reaching new adopters and maintaining print subscription with current ones. Thus any subscription must give you both a digital and print copy of your content.

As we trend toward devices that best display printed content, current opportunities exist with iPhones, Blackberries, Kindles, and of course the computer. Newer devices are on the horizon. "Although publishers have not exactly been on the cutting edge of technology, two magazines — Esquire and GQ — have developed iPhone versions, while Wired and Sports Illustrated have made mockups of tablet versions of their print editions, months before any such tablets come to market. Publishers are using the opportunity to fix their business model, too."

And Apple is lurking in the background not ready yet to release their tablet design. I look forward to seeing what they have in store for us!