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THE BUSINESS JOURNAL OF FILM, , BROADBAND, PRODUCTION, DISTRIBUTION October 2009 VOL. 29 NO. 6 $9.75 In This Issue: Food Nets Fall Season MIPCOM ‘09 Economic Blues ® www.videoage.org

Endemol, Italy’s TV Found Benjamin’s Buttons. Disney’s a In Global Boss Hit the Right Keys

Pier enjamin (Ben) Pyne is the guitar (of which he’s an accomplished 49-year-old New York City player) in order to produce harmonious ideoAge conducted a no holds barred, 360-degree interview with the 40-year and Burbank, California- results. old Pier Silvio Berlusconi, vice-chairman of Italy’s (chairman is based president of Global But, before touching on any subject Fedele Confalonieri, CEO is Giuliano Adreani) and son of Italy’s prime Distribution for Disney with Pyne, one first has to understand the minister, Silvio. This is a critical moment for Mediaset, and for the Media Networks, the Italian television industry in “matrix” that rose (Continued on Page 44) general: The transition to from the “ashes” of the old digital , BBuena Vista. The latter competition with ’s Sky brand was retired in 2007, Forecasting is Hollywood’s ItaliaV (both in terms of premium TV just about the time that “Ultimates” Game channels and the development of a new Pyne took over. BY DOM SERAFINI satellite TV platform), the acquisition of , the creation of new production Considering Pyne’s varied companies and the goal of bringing daytime responsibilities, one might or the purpose of this story, “Ultimates” are not drama production costs down from the picture him sitting behind a characters in a Marvel comic, but rather a marvel current 70,000 euro (U.S. $100,000) per console, pushing a multitude of financial engineering adopted by Hollywood’s hour to a more manageable level of 15,000 of buttons. Another apt account executives to figure out how much metaphor is that of him F euro (on par with those of Argentina, revenue will be generated by each movie title or TV playing the divisions of his which manages to sell its low-cost shows Mediaset’s Pier Silvio Berlusconi series. Ultimates are updated monthly by the studios’ group like the strings of his financial people with fresh data from the sales, (Continued on Page 60) (Continued on Page 56)

WIN TV’s 30th Anniversary Salute IN Television is a privately owned regional television network that reaches over 5.2 million viewers W across six states of and the nation’s capital. The privately owned company has grown significantly since Bruce Gordon purchased a controlling interest in Television Transmission Ltd (WIN4) in 1979, known today as . The WIN Network reaches 42 percent of Australia’s 8.5 million homes and has over 1400 employees. Broadcasting throughout 27 markets, including its related companies Channel Nine in Adelaide and , WIN’s transmission spans the largest geographical area in the world. Today, WIN Corp. includes business operations in TV and radio broadcasting, pay-TV, film and TV production. WIN was the first regional broadcaster to transmit high definition digital services, 12 months ahead of government regulatory requirements, in Wollongong, , , , and the Southern market. WIN Television is also a founding member of Australia, which was formed by Australia’s free-to-view TV broadcasters to assist in the promotion of in Australia, and to enable access to the very best quality free- to-view digital programming. (Continued on Page 48) Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 2

ONTENTSVIDEO AGE • No.6 • Sept/Oct. 2009 Cover stories: 26. Are TV stations, Cable and Satellite Endemol and Italian television found a big brother in platforms preparing for IPTV? Pier Silvio Berlusconi

The Buttons of Disney’s Benjamin Pyne. Global boss hits the right keys 30. Economic Blues. Times Are Tough, Budgets Are Down: TV’s New Reality Show CSalute to a WINner. Australia’s WIN celebrates its 30th anniversary Promax report. TV role at Movie and TV “ultimates” score big at U.S. studios 32. promo trade had lost its focus but found some hope 4. World: U.S., , China, U.K., Italy

34. & Then: How the TV business has changed in Latin America 10. Cooking shows: Who made food on TV become more than TV dinner 36. Now & Then: How the TV business has changed in Canada

12. Book Review: A look at the history of food on TV 38. Roma Fiction Fest becomes a bubbling mess review. The Eternal City takes the MIFED mantle

40. New U.S. TV Season. Good shows, good 14. Little DISCOPs grow and multiply, license fees, great expectations but do not bother the mother hen

64. Conferences and event news. Less leg room for more 16. MIPCOM preview: Market upbeat after money. Plus your usual calendar of must-attend events being beaten up by economy

66. My 2¢: Digital mux are a must for U.S. TV FTA channels 22. Film Fests. Italy, Canada. Two Countries Split in Four: , , Venice, Rome

24. New media guru declares the Internet a destination, saying, “it ain’t television” Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 2

ONTENTSVIDEO AGE • No.6 • Sept/Oct. 2009 Cover stories: 26. Are TV stations, Cable and Satellite Endemol and Italian television found a big brother in platforms preparing for IPTV? Pier Silvio Berlusconi

The Buttons of Disney’s Benjamin Pyne. Global boss hits the right keys 30. Economic Blues. Times Are Tough, Budgets Are Down: TV’s New Reality Show CSalute to a WINner. Australia’s WIN celebrates its 30th anniversary Promax report. TV role at Movie and TV “ultimates” score big at U.S. studios 32. promo trade had lost its focus but found some hope 4. World: U.S., Canada, China, U.K., Italy

34. Now & Then: How the TV business has changed in Latin America 10. Cooking shows: Who made food on TV become more than TV dinner 36. Now & Then: How the TV business has changed in Canada

12. Book Review: A look at the history of food on TV 38. Roma Fiction Fest becomes a bubbling mess review. The Eternal City takes the MIFED mantle

40. New U.S. TV Season. Good shows, good 14. Little DISCOPs grow and multiply, license fees, great expectations but do not bother the mother hen

64. Conferences and event news. Less leg room for more 16. MIPCOM preview: Market upbeat after money. Plus your usual calendar of must-attend events being beaten up by economy

66. My 2¢: Digital mux are a must for U.S. TV FTA channels 22. Film Fests. Italy, Canada. Two Countries Split in Four: Montreal, Toronto, Venice, Rome

24. New media guru declares the Internet a destination, saying, “it ain’t television” Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 4

Media & Marketing’s digital billboards platform element “made strategic in over 500 nightclub locations in the sense,” and helped satisfy the audience’s U.S., ’s 13.56 meter digital strong desire to get involved. Thus, the screen in New York City’s Times Square, show’s interactive effort was also and through such social networking designed for brand building purposes. sites as Facebook and Twitter. Audience participation for the show LocaModa, which specializes in was impressive, with over 350,000 total “powering the Web outside,” developed messages generated, according to Steve an interactive platform that fused The King, v.p. of Sales for LocaModa. In Great Debate broadcast with social addition, one percent of the overall meant to reach its existing audience and networking features and digital messages were mobile, which King VH1 Wants other audiences in new environments billboards. deemed “extraordinary.” (such as nightclubs), while promoting Ur Txt Msgs VH1 devised a special promotion the network. VH1 is the Viacom-owned According to Wendy Weatherford, VH1’s v.p. of Consumer Marketing and strategy that matched the distinctiveness adult music channel. The program, U.S. cable TV network is casting Promotion, one of VH1’s principal aims of the show’s design in order to broaden which first aired last July, centered on a wider net for audiences with the multifaceted interactive its audience. A key phase of that through new digital media irreverent discussions of pop culture strategy was to “reach and engage” campaign involved placing program ads convergence strategies. Taking topics like Star Wars vs. Star Trek, VH1’s active audience “wherever they’re on digital screens at 380 gas stations A Rocky vs. Rambo, and Ginger vs. Mary this approach to a new level, VH1 located,” in light of the multitasking around the country. VH1 also ran a recently hatched a scheme fusing in- Ann. The Great Debate allowed the habits of its audience. She noted that promotion with Moviefone, an online home and out-of-home interactivity audience to express their views on those the nature of the show lent itself to this and phone-based movie guide and with The Great Debate, a program topics via text messaging through Zoom kind of interactivity. As such, the multi- ticketing service, inviting callers to watch the program, as well as promoting the program in 20 minor league ballparks. Company officials declined to reveal cost for the project, which include renting the billboards and TV screens and development of the interactive platform. It is also unclear as to whether the project can generate revenue stream on its own, beyond the brand promotion value. (Michael Mascioni)

CP Could Be Saved

os Angeles’ city councilmen have voted to approve the motion that would designate the Century Plaza L hotel in Century City a historic landmark. For over 40 years, the Century Plaza (CP) has been one of the favorite hotels for international distributors in town to exhibit at the L.A. Screenings. Early this year, the hotel’s owner revealed plans to tear down the curved structure and replace it with two high- rise towers. The vote by two councilmen (who make up two-thirds of the council’s Planning and Land Use Management Committee) is the first step in a months- long process that is hoped to result in the hotel’s designation as a city historic- cultural monument. The city’s planning staff has been directed to compile a list of the hotel’s significant features and present it to the full council. The hotel is owned by Next Century Associates, a partnership between -based real estate investor Michael Rosenfeld and the D.E. Shaw Group. Ken Bernstein, director of the city’s Office of Historic Resources, said his staff would be backing the recommendation that the hotel, designed by Minoru Yamasaki and opened in 1966, receive the protective designation.

(Continued on Page 6)

4 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

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CTVglobe will use the proceeds from L.A. ITV Fest independent television pilots, web this latest sale to pay down debt series, and mobile programming. associated with its C$1.4 billion Celebrated Web Panels included a “How to Pitch” session acquisition of CHUM Ltd. three years helmed by SyFy’s (formerly Sci-Fi) director ago. he Los Angeles’ Independent of Alternative Programming, Damona This is CTV’s second divestment. Television Festival (ITVF) has Resnick-Hoffman, and “Developing for the Web” with Fox’s digital arm 15 Gigs’ Last December, the company sold its discovered the Web. In its fourth director of Programming Ilsa Berg and first stake in MLSE for C$90 million. year, ITVF took place over seven (Continued from Page 4) T MyDamnChannel.com’s Warren Chao. CTVglobe’s investment had originally days in early August at Laemmle’s Actor Kevin Pollak screened his online talk CTV Exits been part of a media strategy to match Sunset 5 Theater, and was attended by a show Kevin Pollak’s Chat Show after sitting sports franchises with cable channels few thousand people. ITVF is organized for a podcast Q&A with the crowd. by ITV, a non-profit organization “with NHL For Cash like Leafs TV and TSN. However, the Merrime.com, produced by Red benefits of a media company owning the mission of providing opportunities Ladders Entertainment, won Best minority stake in a sports franchise to people with television industry TVglobe, the parent company of Comedy; Barry Gribble’s Dog won Best never materialized. aspirations.” TV Series and Darryl Carlton’s Oz Girl CTV, one of Canada’s largest TV MLSE is a sports conglomerate that ITVF received pilot submissions from won Best Web Series at the ITVF’s groups, sold its remaining 7.7 not only owns the Maple Leafs around the world. The official selections Awards Show. Past winners at ITVFest C percent stake of the National franchise, but the National Basketball were then screened in front of a live have gone on to secure development Hockey League’s Toronto Maple Leaves Association’s , the Air audience. deals with NBC and Starz and conglomerate (MLSE) for an estimated Canada Centre in Toronto, and some As in past editions, ITVF featured a representation from United Talent C$100 million. other smaller sports franchises as well. mix of panels and awards, focused on Agency and the management/production company, 3 Arts. (Sara Rinde)

China To Free Foreign Rights

he U.S. government successfully argued that certain Chinese laws and regulations were violations of T World Trade Organization (WTO) The Peppercorns trading rights obligations. The Chinese children‘s detective series laws, which reserved the rights to import films for theatrical release and audiovisual Now 91 episodes available home entertainment for wholly or (to be continued) / 27‘ each partially state-owned enterprises, have Please see us at Stand no. 20.01 now been revised to permit certain goods (such as DVDs) to be imported into China by foreign enterprises on the same basis as Chinese companies. China has confirmed that non-state controlled Chinese entities may also apply for permits to import and distribute non- Chinese theatrical films. “[This revision] is important progress in the effort by independent film and television producers and distributors to gain better access to the Chinese marketplace,” said Jean M. Prewitt, president and CEO of the Los Angeles, California-based Independent Film and Television Alliance (IFTA). “[The WTO panel’s] findings and the anticipated changes to Chinese law and practices will create new distribution opportunities for independent films and television programming. We also firmly believe that China will benefit from increased investment in its distribution infrastructure and enjoy a wider range of entertainment programming resulting from a more competitive and open marketplace.” Earlier this year, another WTO panel completed its work on a separate case brought by the U.S. against China, which involved intellectual property rights, and included a ruling that China must revise its copyright law to extend protection to pre-censored audio-visual works in order to comply with TRIPS (Agreement on Trade Related Aspects of Intellectual Property Rights). (Continued on Page 8)

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Four is expected to make cuts of up to CBeebies and CBBC, which share wider range of roles, from those 75 million pounds from its own £600 spectrum with BBC3 and BBC4. responsible for arranging financing to million (U.S.$991.7 million) program “I had a meeting about it this week,” an honorific without actual budget. Airey said, “The economics of it are management duties. The term “showrunner” has therefore been coined Following the collapse of merger talks quite compelling…. I suspect we will make a decision by the end of the year.” to identify the producer who actually between channels four and Five, the holds ultimate management and latter’s chief executive, Dawn Airey, creative authority. Notable U.S. hinted at a possible collaboration between (Continued from Page 6) showrunners include J.J. Abrams, Judd Five and BBC’s commercial arm, BBC Apatow, and Tina Fey. Worldwide. This comes on the heels of New TV Bosses Prime Cuts At similar talks between Worldwide and In Hollywood While in the U.S., showrunners are Channel 4. “We will not let Channel 4 usually the creative force behind a U.K TV Nets have a free run with Worldwide on a joint program and tend to come from venture,” Airey said. here’s a new buzzword circulating a writing background, in Canada, where the TV industry has traditionally been or 2009, the U.K.’s RTL-owned throughout the TV business: the It seems Channel Five is very keen on line-producer driven, it has become terrestrial TV Channel Five cut its showrunner. As the word implies, launching its own standalone pre-school increasingly difficult to determine who programming budget by 25 the title applies to the executive digital channel, but does not want to T has claim to the showrunner title. running the show, but who is that exactly? F percent (from 220 million to 140 pay for any more spectrum. Thus the Many Canadian writers refuse to million pounds), marking the biggest new service will presumably air during Historically, it was always the acknowledge non-writing showrunners, percentage reduction of any major U.K. the day on either the Fiver or Five USA executive producer calling the shots on a while producers are reluctant to give broadcaster in the face of declining digital channel slot, along the same lines TV show’s production, but in recent production credit to writers. It’s a advertising revenues. Similarly, Channel as the BBC children’s channels years, that title has been applied to a confusing debate, and as a result, the Writers Guild of Canada created the Showrunner Award in 2007 in an attempt to call attention to the role of writing in creative production. It should be noted that despite all confusion, “showrunners” are still credited as “executive producers” on most films and TV shows.

Sky Italia’s Official Statement

ideoAge asked Kathryn Fink, ’s programming director, to comment on the TivúSat situation V and the following three issues reported in the Pier Silvio Berlusconi front cover story: 1) How Nagravision encoding is going to affect RAI and Mediaset’s free channels on Sky. 2) What Sky will be doing to compensate for this Nagravision encoding. 3) What Sky’s plans are for growth in Italy. Sky Italia responded with the following note, sent from its -based Corporate Communications office: “Official statements issued by both operators confirm that Nagravision scrambling methods will be used to encrypt programs broadcast by free-to-air channels for which neither RAI nor Mediaset own international rights. So, for anyone receiving these channels with a Sky decoder at the moment, the impact on viewing will affect only a part of programs offered by respective general networks. The success of Sky and the extensive growth of its subscriber base – which is currently 4.8 million – have always been rooted in the quality of content and the option to enjoy state-of-the-art technology, as well as the ongoing enhancement of its TV schedules with new shows and new theme channels. For the future, Sky intends to pursue this same route, to increase its subscriber base, aiming mainly at high definition for 30 HD channels by the end of 2010.”

8 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 A new breed of blue.

At the police academy they trained, fought,

drank and slept together. Now they’re

on the job together. Dangerous pursuits.

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their personal lives that could use the back-up.

A new series from E1 Entertainment

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TV Dinners & Diners

ooking shows have certainly evolved from Julia Child’s first Cook Like A Chef featured chef Rene “extravaganza” on public television The Evolution of Rodriguez, with cameraman Ted Hart C and the scope of their reach and marketing appeal continues to grow. territories. The show broke new ground In the U.S., for example, Bravo, a Cooking Shows with its emphasis on technique rather division of NBC Universal, has inked than recipes, moving the presenter out from behind a static kitchen counter and deals with major retailers to create Top The 17 Top Chef: Las Vegas one of the first Knight Enterprises into position to teach viewers how, not Chef branded wines and floral chef’testants are whittled down week by cooking shows commissioned by just what, to cook. Knight’s founding arrangements. week as they compete to out-cook their CBC/Food Network Canada. From president Chris Knight saw the counter as Meanwhile, the 16th season of competition. The show itself serves as a 1997-2001, 65 episodes were produced. a barrier between audience and host, and Bravo’s popular cooking series bit of a showcase for the M Resort Spa From 2001 to 2003, Knight Enterprises thus Cook Like A Chef adopted an “in-the- (distributed internationally by NBC- & Casino in Las Vegas, which served as produced 165 episodes of Cook Like A round” style of shooting. Cameras and Universal), Top Chef: Las Vegas, the primary production location. Chef for Canada’s Food Network, which microphones were positioned all around debuted in August. In Canada, The Edible Roadshow is was then sold to over 90 international the kitchen studio as a means to successfully capture every sight and sound of cooking, whether it be the host’s commentary or the bubbling of a pot. Handheld cameras used extreme close-up techniques to bring the viewer right into the action, evolving the food from static prop into a character on the series. From 2003 to 2005, Knight Enterprises produced 104 episodes of Licence To Grill for Canada’s Food Network and Discovery Home in the U.S. The series was then sold to Australia’s Lifestyle Food, U.K.’s BET International, Finland’s Jim, Singapore’s Asian Food Channel and Germany’s Dmax. The series featured a visual technique known as a “Viz Essay.” It consisted of the quick-cut editing of rudimentary tasks (i.e., chopping an onion) set to music. This sped up the pace of the cooking, and has since been used on a number of other cooking shows. In 2005, 13 episodes of This Food That Wine were produced by Knight Enterprises for Canada’s Food Network and American Life TV in the U.S. It was subsequently sold to BBC Worldwide for Scandinavia and the Middle East and Africa, Finland’s Liv and Romania’s Euforia. This was one of (if not the first) series to deal with pairing food and wine. In order to make it appealing to a worldwide audience, the series never dealt with specific vintages or brands, but instead focused on the flavor profiles of various wines and why they worked with particular foods. It was unique because it was done in an approachable style that any novice wine lover or foodie could relate to. Furthermore, the show featured visual PROVEN QUALITY LIFESTYLE PROGRAMMING imagery to describe flavor profiles, Knight Enterprises delivers entertaining quality television to meet your Lifestyle programming needs. Our 400 half-hour thereby taking full advantage of inventory is designed for International audiences and features superior production values, engaging hosts and significant television’s capabilities. take away that will keep your audiences coming back for more. We also offer extensive merchandising to exploit ancillary revenue opportunities, as well as collateral materials that promote viewer loyalty and drives traffic Road Grill is Knight Enterprises’ latest to your website. Watch sample episodes at our online theatre or come see us at stand #00.01. series, with 39 episodes produced KNIGHT from 2007-2008 for Canada’s Food ENTERPRISES Call 1.613.730.1728 or email [email protected] to obtain your personalized access code. Network.

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Myhren charged his program production manager Joe Langhan with doing some research to determine which niche categories would work for a cable network. Book Review In his studies, Langhan discovered that interest in food and cooking was at a premium. “I didn’t know anything about food, but I understood … that it was an attractive business proposition. It costs very little to produce television cooking shows in comparison to other kinds of programs, and there’s an enormous Cooking On TV Makes For amount of advertising available.” It was originally called TVFN, or Television Food Network, and it was A Simmering Historical Stew slow to start, with shows like the Emeril Lagasse-fronted How To Boil Water and the MTV-style In Food Today starting off on shaky ground. It wasn’t until 1996 BY LAUREN GITLIN novelties. that the network started to settle into its o one will argue that a Child also engendered the rhythm. When Erica Gruen took over as study of the history of phenomenon of elevating chefs from president and CEO that year, the Food television is synonymous lowly service-people to artists and Network was being given away free to with the study of pop celebrities, emphasizing that their work cable operators, which was unheard of in culture over the last half- commanded respect and adulation. Her basic at the time. She century. In food and later program, Master Chefs, predated endeavored to “shift the programming television writer Kathleen the Food Network’s focus on character- Collins’ debut book Watching What emphasis from people who like to cook N driven cooking programs with chefs and to people who like to eat.” We Eat: The Evolution of Television personalities at the center of the action. Cooking Shows (2009, The That shift from programming for Continuum International Publishing The far-reaching fame and influence people who love to cook to programming Group, 278 pages, U.S.$24.95), the of Julia Child would never have been for people who love to eat has carried us scribe explores a specific genre of possible had she not found a home on into the modern era, in which food programming as it’s moved from its PBS, which afforded the freedom to programming takes every shape experiment and take risks without nascent stages on radio to its golden imaginable, from the travel-centric shows network heads or corporate sponsors era on public television to its current like Anthony Bourdain’s No Reservations saturation point, on niche cable voicing concerns over her looks, appeal or lack of commercial suavité. and Rachael Ray’s Tasty Travels, to network Food Network and primetime competitive cooking shows like Top Chef reality shows like The Restaurant and It was Graham Kerr’s 1970s hit and Hell’s Kitchen, to scholarly studies of Hell’s Kitchen. Galloping Gourmet which truly bridged the science of food like Alton Brown’s the gap between Child’s breed of Collins writes: “More than just a how- Good Eats. The profusion of shows edutainment and the Emeril Lagasse- reflects the infinitely specialized to or amusement, cooking shows are a was transformed by the magic of TV into esque character-driven shows of today. approach to entertainment that is unique social barometer. Their legacy a performer.” Kerr’s program, which originated in New corresponds to the transitioning of In 1954, NBC launched what is Zealand before being snapped up by currently at the fore with regard to TV women at home to women at work, from arguably the prototype for today’s CBS for American audiences in 1968, programming and media in general. eight- to 24-hour workdays, from modern talk show, Home, a show that was the first to use an in–studio audience For the media-savvy or the food cooking as domestic labor to enjoyable “addressed the traditional homemaking and “hidden cameras” that gauged enthusiast, the idea of discussing food in leisure, and from clearly defined to more segments — gardening, fashion, beauty, audience’s reaction to the food. By the television is a no-brainer, and indeed, fluid gender roles … We are ardent home decorating, child rearing….” end of 1969, the show was on 102 local much of what Collins covers in her consumers of food, of television, and of TV stations in the U.S. and had 100 tome is not revelatory. There are the products springing forth from both.” By the ‘60s, local cooking programs had all but disappeared in the U.S. as million viewers worldwide. Kerr credits certainly a handful of interesting Collins breaks her book into three primetime slots started getting clogged his wife Treena, who produced the show, anecdotes she relates that the average main sections: the advent of television, with national network content, and with pushing him to entertain and focus layperson would enjoy, specifically with the rise of TV chef Julia Child on public public television stepped in to handle on showmanship more than cooking. To regard to the very early days of cooking television and the development of the the fallout. Public TV (PBS) became the her, food and cooking were dull and shows and the all-but-forgotten reign of Food Network in 1993. She touches go-to hub for cooking shows like Julia needed livening up. “You know, people TV chef Dione Lucas, but much of briefly on the birth of cooking programs Child’s The French Chef. Begun as a have worries, but to make them laugh for what she writes is either repetitive or on the radio, as represented by Ida local public television program on a little so they can forget, that’s what I felt obvious, and at the end, one finds Bailey Allen’s show and Aunt Sammy’s Boston’s WGBH, The French Chef grew Graham needed to do. Especially with oneself craving a deeper look into the programs. These shows served the dual out of a chance promotional gambit for such a boring subject.” topics she just barely touches on. purposes of instructing housewives on one of classically-trained Child’s As interest in ethnic cooking grew in Ultimately, while exhaustive, Collins’ how to improve their culinary craft cookbooks and went on to become the the ‘80s, so did the demand for shows and shilling for sponsors like PET definitive cooking show of the modern like Cajun Chef Justin Wilson’s research suffers from a lack of Evaporated Milk and Crisco shortening. era. The pilot episode aired in 1962 and programs on PBS and Jeff Smith’s wildly perspective. What do all these disparate factoids tell us? What’s the whole What began as a radio phenomenon in was an almost instant hit. popular The Frugal Gourmet. The cult of the U.S. took naturally to the newly celebrity that surrounded chefs like picture? Why, as NY Times writer Dawn The meteoric success of Julia Child can Drzl points out in her review of the emerging television medium, appealing be at least partly explained by the Wolfgang Puck and Alice Waters kept to the stay-at-home wives itching for growing, setting the stage for the book, are we still so fascinated with simultaneous interest in French cooking, watching people cook, regardless of companionship and counsel on how to which was ushered in during the Kennedy creation of the Food Network in the whether we ourselves do so, or aspire to better tend their hearths. This was the era administration and also in part owed to an early part of the ‘90s. Smith became the of James Beard’s I Love To Eat on NBC American middle-class more interested in first true brand, attaching his name to do so? At its core, Collins’ book and the proto-Martha Stewart, Dione foreign travel than ever before. But a good lines of knives and signing on for provides an embarrassment of Lucas, a prim, Cordon Bleu-trained chef portion of Child’s appeal lay in her earthy product endorsements on a scale that information but does not bother to who struck fear and awe in the hearts of good humor. She charmed audiences with had not been seen before. Collins synthesize it to create a satisfying home cooks with her death-defying her warts-and-all approach, and took “the describes the phenomenon: “As conclusion. Perhaps, since she kitchen tricks on CBS. As the role of the bugaboo” out of cooking, especially television audiences grew savvier and ultimately seems to credit public show’s host became more central, the idea French cooking, which heretofore had more demanding, and competition grew television with the biggest and most that these shows were purely educational been viewed as complicated and reserved fiercer, producers had to craft a complete lasting influence on the TV cooking began to fade and the first glimmer of our for the upper classes. Her influence on package to ensure that they would come, genre, she might’ve stuck with that area modern concept of cooking as mainstream cooking extended to a deeper as The Frugal Gourmet did.” specifically, as this is indeed the richest entertainment was hinted at. Of Dione knowledge of ingredients that are now The germ of the idea for the Food and most detailed portion of the book Lucas, Collins wrote, “Though she was a taken for granted, and kitchen utensils Network was born when Providence and would likely have benefited from an real woman undertaking real tasks, she and equipment that, in the ‘60s, were still Journal Company president Trygve even more tailored treatment.

12 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 E-Entertainment CMYK Cycle 1 133 Line Screen

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 12

Myhren charged his program production manager Joe Langhan with doing some research to determine which niche categories would work for a cable network. Book Review In his studies, Langhan discovered that interest in food and cooking was at a premium. “I didn’t know anything about food, but I understood … that it was an attractive business proposition. It costs very little to produce television cooking shows in comparison to other kinds of programs, and there’s an enormous Cooking On TV Makes For amount of advertising available.” It was originally called TVFN, or Television Food Network, and it was A Simmering Historical Stew slow to start, with shows like the Emeril Lagasse-fronted How To Boil Water and They’re Sisters. the MTV-style In Food Today starting off on shaky ground. It wasn’t until 1996 BY LAUREN GITLIN novelties. that the network started to settle into its Not Saints. o one will argue that a Child also engendered the rhythm. When Erica Gruen took over as study of the history of phenomenon of elevating chefs from president and CEO that year, the Food television is synonymous lowly service-people to artists and Network was being given away free to with the study of pop celebrities, emphasizing that their work cable operators, which was unheard of in culture over the last half- commanded respect and adulation. Her basic cable television at the time. She century. In food and later program, Master Chefs, predated endeavored to “shift the programming television writer Kathleen the Food Network’s focus on character- Collins’ debut book Watching What emphasis from people who like to cook N driven cooking programs with chefs and to people who like to eat.” We Eat: The Evolution of Television personalities at the center of the action. Cooking Shows (2009, The That shift from programming for Continuum International Publishing The far-reaching fame and influence people who love to cook to programming Group, 278 pages, U.S.$24.95), the of Julia Child would never have been for people who love to eat has carried us scribe explores a specific genre of possible had she not found a home on into the modern era, in which food programming as it’s moved from its PBS, which afforded the freedom to programming takes every shape experiment and take risks without nascent stages on radio to its golden imaginable, from the travel-centric shows network heads or corporate sponsors era on public television to its current like Anthony Bourdain’s No Reservations saturation point, on niche cable voicing concerns over her looks, appeal or lack of commercial suavité. and Rachael Ray’s Tasty Travels, to network Food Network and primetime competitive cooking shows like Top Chef reality shows like The Restaurant and It was Graham Kerr’s 1970s hit and Hell’s Kitchen, to scholarly studies of Hell’s Kitchen. Galloping Gourmet which truly bridged the science of food like Alton Brown’s the gap between Child’s breed of Collins writes: “More than just a how- Good Eats. The profusion of shows edutainment and the Emeril Lagasse- reflects the infinitely specialized to or amusement, cooking shows are a was transformed by the magic of TV into esque character-driven shows of today. approach to entertainment that is unique social barometer. Their legacy a performer.” Kerr’s program, which originated in New corresponds to the transitioning of In 1954, NBC launched what is Zealand before being snapped up by currently at the fore with regard to TV women at home to women at work, from arguably the prototype for today’s CBS for American audiences in 1968, programming and media in general. eight- to 24-hour workdays, from modern talk show, Home, a show that was the first to use an in–studio audience For the media-savvy or the food cooking as domestic labor to enjoyable “addressed the traditional homemaking and “hidden cameras” that gauged enthusiast, the idea of discussing food in leisure, and from clearly defined to more segments — gardening, fashion, beauty, audience’s reaction to the food. By the television is a no-brainer, and indeed, fluid gender roles … We are ardent home decorating, child rearing….” end of 1969, the show was on 102 local much of what Collins covers in her consumers of food, of television, and of TV stations in the U.S. and had 100 tome is not revelatory. There are the products springing forth from both.” By the ‘60s, local cooking programs had all but disappeared in the U.S. as million viewers worldwide. Kerr credits certainly a handful of interesting Collins breaks her book into three primetime slots started getting clogged his wife Treena, who produced the show, anecdotes she relates that the average main sections: the advent of television, with national network content, and with pushing him to entertain and focus layperson would enjoy, specifically with the rise of TV chef Julia Child on public public television stepped in to handle on showmanship more than cooking. To regard to the very early days of cooking television and the development of the the fallout. Public TV (PBS) became the her, food and cooking were dull and shows and the all-but-forgotten reign of Food Network in 1993. She touches go-to hub for cooking shows like Julia needed livening up. “You know, people TV chef Dione Lucas, but much of briefly on the birth of cooking programs Child’s The French Chef. Begun as a have worries, but to make them laugh for what she writes is either repetitive or on the radio, as represented by Ida local public television program on a little so they can forget, that’s what I felt obvious, and at the end, one finds Bailey Allen’s show and Aunt Sammy’s Boston’s WGBH, The French Chef grew Graham needed to do. Especially with oneself craving a deeper look into the programs. These shows served the dual out of a chance promotional gambit for such a boring subject.” topics she just barely touches on. purposes of instructing housewives on one of classically-trained Child’s As interest in ethnic cooking grew in Ultimately, while exhaustive, Collins’ how to improve their culinary craft cookbooks and went on to become the the ‘80s, so did the demand for shows and shilling for sponsors like PET definitive cooking show of the modern like Cajun Chef Justin Wilson’s research suffers from a lack of Evaporated Milk and Crisco shortening. era. The pilot episode aired in 1962 and programs on PBS and Jeff Smith’s wildly perspective. What do all these disparate factoids tell us? What’s the whole What began as a radio phenomenon in was an almost instant hit. popular The Frugal Gourmet. The cult of the U.S. took naturally to the newly celebrity that surrounded chefs like picture? Why, as NY Times writer Dawn The meteoric success of Julia Child can Drzl points out in her review of the emerging television medium, appealing be at least partly explained by the Wolfgang Puck and Alice Waters kept to the stay-at-home wives itching for growing, setting the stage for the book, are we still so fascinated with simultaneous interest in French cooking, watching people cook, regardless of companionship and counsel on how to which was ushered in during the Kennedy creation of the Food Network in the whether we ourselves do so, or aspire to better tend their hearths. This was the era administration and also in part owed to an early part of the ‘90s. Smith became the of James Beard’s I Love To Eat on NBC American middle-class more interested in first true brand, attaching his name to do so? At its core, Collins’ book and the proto-Martha Stewart, Dione foreign travel than ever before. But a good lines of knives and signing on for provides an embarrassment of Lucas, a prim, Cordon Bleu-trained chef portion of Child’s appeal lay in her earthy product endorsements on a scale that information but does not bother to who struck fear and awe in the hearts of good humor. She charmed audiences with had not been seen before. Collins synthesize it to create a satisfying home cooks with her death-defying her warts-and-all approach, and took “the describes the phenomenon: “As conclusion. Perhaps, since she kitchen tricks on CBS. As the role of the bugaboo” out of cooking, especially television audiences grew savvier and ultimately seems to credit public show’s host became more central, the idea French cooking, which heretofore had more demanding, and competition grew television with the biggest and most that these shows were purely educational been viewed as complicated and reserved fiercer, producers had to craft a complete lasting influence on the TV cooking began to fade and the first glimmer of our for the upper classes. Her influence on package to ensure that they would come, genre, she might’ve stuck with that area modern concept of cooking as mainstream cooking extended to a deeper as The Frugal Gourmet did.” specifically, as this is indeed the richest entertainment was hinted at. Of Dione knowledge of ingredients that are now The germ of the idea for the Food and most detailed portion of the book (8 x 30’) Lucas, Collins wrote, “Though she was a taken for granted, and kitchen utensils Network was born when Providence and would likely have benefited from an real woman undertaking real tasks, she and equipment that, in the ‘60s, were still Journal Company president Trygve even more tailored treatment. VISIT US AT MIP STAND G3.14 Comcastintl.com ©2009 E! Entertainment Television, Inc. All Rights Reserved.

File Name / Job #: 5370-MIPCOM2009 Video Age/ 010-5370-09 Date: 09/11/09 E! NETWORKS Description: Full Page Four Color Ad with Bleed Issue Date: 10/09 5750 Wilshire Blvd. Publication: Video Age Trim [ 10.625 x 14.1875 ] Live [ 10 x 14 ] Bleed [ 10.75 x 14.3125 ] Los Angeles, CA 90036 Telephone: 323-954-2697

79684L2.e1_5370-MIPCOM2009 Video Age_pr 2 9/15/09 12:19 AM Second Page -Kourtney & Khloe - RHP Ad Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 14

Central & East Europe

DISCOP’s Offspring Did Bavaria Media’s Helge Kühnen and Oliver Kreuter

Not Affect Mother Ship The basement also housed the registration area and conference rooms. The conferences covered topics spanning from how to monetize blocks officially registered buyers recorded a 19 he mother ship, DISCOP of TV airtime to pitching for projects. East, started its 17th percent drop compared to 2008, though the number of those actually present was Another of DISCOP’s signatures is its annual event a bit slowly, traditionally large number of parties, but picked up steam during estimated at 30 percent fewer than those at last year’s event. cocktails and luncheons. With 12 of the market’s second day such official recreational activities (of three) in Budapest, Sellers were scattered throughout 120 scattered over a three-day period, Hungary, in mid June. suites on four floors of the Sofitel hotel, DISCOP is one of the international TMarket organizers attribute the slow as well as some 60 tables (most of them markets with the largest concentration start to “the fact that buyers and sellers shared) and 60 individual viewing boxes of celebrations, averaging four a day. were sizing each other up,” and not, as (not shared) located in the mezzanine In addition to official parties, there previously reported by VideoAge, Telefe International’s Guillermo Borensztein and basement areas. In terms of and Diana Coifman were a number of private, unlisted because of the organization’s recent contingents, the largest one, with 45 events, such as the one offered by the spawns: DISCOP Africa 1 (February As for current licensing fees in the companies, was from the U.S., followed Italian Trade Commission to the 13 25-27 in Dakar, Senegal), DISCOP Eastern European territories, Farina by the U.K. (40 companies), France Italian companies and their clients Africa 2 (Sept. 16-18 in Nairobi, commented that, unfortunately, they are (39) and Spain (21). participating at DISCOP. Kenya), DISCOP Africa 3 (February dropping dramatically. Much to his 17-19, 2010 again in Dakar), and the chagrin, some Ukrainian clients are newly tweaked DISCOP Middle East, offering as low as 60 euro per half-hour formerly DISCOP Gulf. The latter episode. market has been moved from Dubai to Istanbul, Turkey, and will take place Record TV’s Delmar Andrade also September 20-21, 2010. The original commented on the downward direction March dates were found to be “too of license fees in Central and Eastern early” in the calendar. Europe and indicated that some clients are now requesting multiple territories “[The slow start] is not in any way to be included in the same deal. Even so, related to the fact that we have been collection remains his main concern, so organizing several different markets,” much so that his company has commented Patrick Jucaud, DISCOP’s occasionally offered to pay the bank fees founder and general manager. involved in obtaining warrantees for Despite this proliferation of contracts. additional markets, Sonia Danieli of DISCOP East recorded the attendance Italy’s Mediaset and Delmar Andrade of of approximately 510 sellers from 40 Brazil’s Record TV expressed concern countries and 890 buyers, though market over the slow start of the market and the organizers complained of many buyers fact that some of their scheduled who, even after registering or being appointments were no shows. Ron invited to attend all expenses paid, Budapest Italian Trade Commission’s director Alessio Ponz de Leon Pisani greets Italian Alexander of the U.S.’ TPI also noted canceled at the last minute. Overall, executives and international buyers at a private dinner the quieter nature of this year’s edition, Despite the reduced number of though he seemed more reflective than worried. It should be noted, however, buyers, distributors reported brisk sales. that DISCOP has not been much Sabrina Eleuteri of Italy’s RaiTrade different than other international TV commented: “Even though the world’s trade shows held this year, with the financial crisis caused a drop of buyers possible exception of the L.A. compared to last year, results at this Screenings for the U.S. studios. There DISCOP were good. RaiTrade sold has been an overall trend of decreased series, comedies, documentaries and attendance due to economic woes. children animation to countries such as As far as the increasing number of Russia, Hungary, Bulgaria, Romania DISCOP offspring, Roberto Farina of Italy’s MondoTV said he doesn’t mind and Slovakia. We even made pre-sales to the proliferation of new trade shows, so Romania and Bulgaria for Frederick long as they bring in new business and Barbarossa, a new mini-series in make sense financially. MondoTV will production.” be attending the Nairobi edition of Finally, DISCOP’s Jucaud announced DISCOP Africa because the Dakar event was very successful for the that, “We have not yet decided whether company, and because African to hold one or two DISCOP AFRICA companies have thus far proven reliable events a year from 2010 on. This from the collection standpoint (a sore Televisa International’s Ricardo Ehrsam, Patricia Porto Pedrido, Claudia Sahab, decision will be made after the Nairobi issue for indie distributors these days). Jose Luis Romero event.”

14 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 E-Entertainment CMYK Cycle 1 133 Line Screen

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 14

Central & East Europe ALL NEW GIRLS. ALL NEW ADVENTURES.

DISCOP’s Offspring Did Bavaria Media’s Helge Kühnen and Oliver Kreuter

Not Affect Mother Ship The basement also housed the registration area and conference rooms. The conferences covered topics spanning from how to monetize blocks officially registered buyers recorded a 19 he mother ship, DISCOP of TV airtime to pitching for projects. East, started its 17th percent drop compared to 2008, though Introducing the number of those actually present was Another of DISCOP’s signatures is its annual event a bit slowly, traditionally large number of parties, but picked up steam during estimated at 30 percent fewer than those Kristina & Karissa at last year’s event. cocktails and luncheons. With 12 of the market’s second day such official recreational activities (of three) in Budapest, Sellers were scattered throughout 120 scattered over a three-day period, and Crystal. Hungary, in mid June. suites on four floors of the Sofitel hotel, DISCOP is one of the international TMarket organizers attribute the slow as well as some 60 tables (most of them markets with the largest concentration start to “the fact that buyers and sellers shared) and 60 individual viewing boxes of celebrations, averaging four a day. were sizing each other up,” and not, as (not shared) located in the mezzanine In addition to official parties, there previously reported by VideoAge, Telefe International’s Guillermo Borensztein and basement areas. In terms of and Diana Coifman were a number of private, unlisted because of the organization’s recent contingents, the largest one, with 45 events, such as the one offered by the spawns: DISCOP Africa 1 (February As for current licensing fees in the companies, was from the U.S., followed Italian Trade Commission to the 13 25-27 in Dakar, Senegal), DISCOP Eastern European territories, Farina by the U.K. (40 companies), France Italian companies and their clients Africa 2 (Sept. 16-18 in Nairobi, commented that, unfortunately, they are (39) and Spain (21). participating at DISCOP. Kenya), DISCOP Africa 3 (February dropping dramatically. Much to his 17-19, 2010 again in Dakar), and the chagrin, some Ukrainian clients are newly tweaked DISCOP Middle East, offering as low as 60 euro per half-hour formerly DISCOP Gulf. The latter episode. market has been moved from Dubai to Istanbul, Turkey, and will take place Record TV’s Delmar Andrade also September 20-21, 2010. The original commented on the downward direction March dates were found to be “too of license fees in Central and Eastern early” in the calendar. Europe and indicated that some clients are now requesting multiple territories “[The slow start] is not in any way to be included in the same deal. Even so, related to the fact that we have been collection remains his main concern, so organizing several different markets,” much so that his company has commented Patrick Jucaud, DISCOP’s occasionally offered to pay the bank fees founder and general manager. involved in obtaining warrantees for Despite this proliferation of contracts. additional markets, Sonia Danieli of DISCOP East recorded the attendance Italy’s Mediaset and Delmar Andrade of of approximately 510 sellers from 40 Brazil’s Record TV expressed concern countries and 890 buyers, though market over the slow start of the market and the organizers complained of many buyers fact that some of their scheduled who, even after registering or being appointments were no shows. Ron invited to attend all expenses paid, Budapest Italian Trade Commission’s director Alessio Ponz de Leon Pisani greets Italian Alexander of the U.S.’ TPI also noted canceled at the last minute. Overall, executives and international buyers at a private dinner the quieter nature of this year’s edition, Despite the reduced number of though he seemed more reflective than worried. It should be noted, however, buyers, distributors reported brisk sales. that DISCOP has not been much Sabrina Eleuteri of Italy’s RaiTrade different than other international TV commented: “Even though the world’s trade shows held this year, with the financial crisis caused a drop of buyers possible exception of the L.A. compared to last year, results at this Screenings for the U.S. studios. There DISCOP were good. RaiTrade sold has been an overall trend of decreased series, comedies, documentaries and attendance due to economic woes. children animation to countries such as As far as the increasing number of Russia, Hungary, Bulgaria, Romania DISCOP offspring, Roberto Farina of Italy’s MondoTV said he doesn’t mind and Slovakia. We even made pre-sales to the proliferation of new trade shows, so Romania and Bulgaria for Frederick long as they bring in new business and Barbarossa, a new mini-series in make sense financially. MondoTV will production.” be attending the Nairobi edition of Finally, DISCOP’s Jucaud announced DISCOP Africa because the Dakar event was very successful for the that, “We have not yet decided whether company, and because African to hold one or two DISCOP AFRICA companies have thus far proven reliable events a year from 2010 on. This (10 x 30’) from the collection standpoint (a sore Televisa International’s Ricardo Ehrsam, Patricia Porto Pedrido, Claudia Sahab, decision will be made after the Nairobi issue for indie distributors these days). Jose Luis Romero event.” VISIT US AT MIP STAND G3.14 Comcastintl.com ©2009 E! Entertainment Television, Inc. All Rights Reserved.

File Name / Job #: 5370-MIPCOM2009 Video Age/ 010-5370-09 Date: 09/11/09 E! NETWORKS Description: Full Page Four Color Ad with Bleed Issue Date: 10/09 5750 Wilshire Blvd. Publication: Video Age Trim [ 10.625 x 14.1875 ] Live [ 10 x 14 ] Bleed [ 10.75 x 14.3125 ] Los Angeles, CA 90036 E! Contact: Gwyn Phillips Telephone: 323-954-2697

79684L2.e1_5370-MIPCOM2009 Video Age_pr 3 9/15/09 12:19 AM Third Page - GOTPM - RHP Ad Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 16

MIPCOM Preview

Market Upbeat For Those With New, Exciting Content

BY KAREN RUTTNER the market organizer. Gaurade said that, MGM TV’s Gary Marenzi or those companies that “MIPCOM 2009 will be of particular don’t have a proven hit in importance in helping professionals new relationships with online gaming their arsenal, MIPCOM take stock of the key issues, identify new companies,” Gaurade said. “MIPCOM promises to be a subdued, business models, exchange with fellow is seeking to facilitate this by bringing no-frills affair. But for counterparts internationally and create together game developers with some, like Starz, Disney, new relationships and partnerships in international TV channels and FremantleMedia, RaiTrade, new areas.” production executives.” Furthermore, CCI, Comcast, and others the vibe F The theme of “rethinking” came up in terms of other technological seems to be “business as usual, if not multiple times. “’Rethinking Production’ developments, a stream of conferences better.” kicks off the conference program,” will focus on Internet-enabled TV sets It’s no question that all companies are Gaurade said, “which will focus on and other such innovations. “We will looking for ways to economize. Some, identifying new revenue streams, taking a look at how Pay TV can adapt to the threat from web video, and will also like Lightworks, have disappeared close look at co-production deals, focus on how the explosion of mobile altogether, while others, like Carsey commissioning, Internet distribution, apps will offer new sources of revenue Werner, are conducting an experiment: new formats and online content for the content industry.” attending a major market without a monetization.” She explained that the stand and seeing if it will ultimately FremantleMedia’s David Ellender and Tony Cohen MIPCOM team was extremely keen on MIPCOM isn’t all about make a difference in their success. engaging first time producers, going so brainstorming though; there’s still fun The Dallas, Texas-based Center for measure of an exhibition is in fact the far as to offer them a special rate for to be had. “We are delighted to be Exhibition Industry Research has quality of its attendees. attendance. “We have been working celebrating the 20th anniversary of The Simpsons, the longest running comedy calculated that on average, it costs $215 MIPCOM 2009 has scheduled over closely with a number of producers’ series on prime time TV,” Gaurade to make a face-to-face visit with a 45 conference sessions, with Monday associations worldwide in developing enthused. “We’re proud to welcome the potential customer at a trade show, and serving as heavy hitter with a keynote this program,” she said. “We want to series’ creator Matt Groening and $1,039 to obtain similar results without speech from Tony Cohen, CEO of make the initiative as accessible as executive producer Al Jean as keynote using the organized events. And, FremantleMedia, a “Cooking TV Case possible for new independent speakers, and we will be honoring Matt according to Forrester Consulting of Study,” and a session on “New Funding.” producers, who are so important to the Groening with our inaugural Creative Cambridge, Massachusetts, 61 percent Tuesday is also a good seminar day with creative process.” of marketers consider face-to-face Icon Award on October 7.” actor Jerry Seinfeld outlining his new From production to platforms, exhibiting the most effective means of Major players on the business front show, The Marriage Ref. MIPCOM hoped to cover all bases. building a brand image. are looking forward to the mix of “Online gaming is one of the fastest VideoAge had the opportunity to innovative business and entertainment In addition, the Norwalk, discuss MIPCOM 2009’s key features growing areas of entertainment, and Connecticut-based Event Marketing offerings. Gene George of Hollywood- with Laurine Gaurade, acting director there are new opportunities for based Starz Media commented, “We’re Institute found that 53 percent of sales of the TV Division at Reed MIDEM, producers and broadcasters to forge and marketing professionals consider very excited that MIPCOM is paying events to be the best vehicle for tribute to The Simpsons since our accelerating business relationships. animation studio, Film Roman, has produced the animation for the series, But, all businesses seem focused on the movie, the DVD releases and The numbers and MIPCOM exhibitors are Simpsons games for the past 15 years.” no exception, keeping a close eye on the George also expressed great interest number of attendees, even though this in the “Connected Entertainment” parameter is now considered inaccurate. seminar series, noting, “Starz Digital According to Doug Ducate of the Media has been successful in finding Center for Exhibition Industry ways to create new revenue streams in Research, for the past 20 years, the online and broadband platforms for our success story of trade shows was movies and series, whether it’s the measured by their rate of growth. If a Manga.com website or the animated trade show had 10 percent more Bunnies shorts movie parodies. Marc attendees each time, it was hailed a DeBevoise, who leads Starz Digital winner. “We sold that message,” Ducate Media, and his team have been highly told Meeting & Conventions magazine. successful in building alliances with key However, market organizers now realize outlets such as iTunes, Xbox, the weakness of that argument. A better MIPCOM is one of Latin American distributors’ favorite markets and the like. I’m sure they’ll be checking (Continued on Page 18) 16 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 E-Entertainment CMYK Cycle 1 133 Line Screen

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 16

It’s A Bitch Being Rich. MIPCOM Preview

Market Upbeat For Those With New, Exciting Content

BY KAREN RUTTNER the market organizer. Gaurade said that, MGM TV’s Gary Marenzi or those companies that “MIPCOM 2009 will be of particular don’t have a proven hit in importance in helping professionals new relationships with online gaming their arsenal, MIPCOM take stock of the key issues, identify new companies,” Gaurade said. “MIPCOM promises to be a subdued, business models, exchange with fellow is seeking to facilitate this by bringing no-frills affair. But for counterparts internationally and create together game developers with some, like Starz, Disney, new relationships and partnerships in international TV channels and FremantleMedia, RaiTrade, new areas.” production executives.” Furthermore, CCI, Comcast, and others the vibe F The theme of “rethinking” came up in terms of other technological seems to be “business as usual, if not multiple times. “’Rethinking Production’ developments, a stream of conferences better.” kicks off the conference program,” will focus on Internet-enabled TV sets It’s no question that all companies are Gaurade said, “which will focus on and other such innovations. “We will looking for ways to economize. Some, identifying new revenue streams, taking a look at how Pay TV can adapt to the threat from web video, and will also like Lightworks, have disappeared close look at co-production deals, focus on how the explosion of mobile altogether, while others, like Carsey commissioning, Internet distribution, apps will offer new sources of revenue Werner, are conducting an experiment: new formats and online content for the content industry.” attending a major market without a monetization.” She explained that the stand and seeing if it will ultimately FremantleMedia’s David Ellender and Tony Cohen MIPCOM team was extremely keen on MIPCOM isn’t all about make a difference in their success. engaging first time producers, going so brainstorming though; there’s still fun The Dallas, Texas-based Center for measure of an exhibition is in fact the far as to offer them a special rate for to be had. “We are delighted to be Exhibition Industry Research has quality of its attendees. attendance. “We have been working celebrating the 20th anniversary of The Simpsons, the longest running comedy calculated that on average, it costs $215 MIPCOM 2009 has scheduled over closely with a number of producers’ series on prime time TV,” Gaurade to make a face-to-face visit with a 45 conference sessions, with Monday associations worldwide in developing enthused. “We’re proud to welcome the potential customer at a trade show, and serving as heavy hitter with a keynote this program,” she said. “We want to series’ creator Matt Groening and $1,039 to obtain similar results without speech from Tony Cohen, CEO of make the initiative as accessible as executive producer Al Jean as keynote using the organized events. And, FremantleMedia, a “Cooking TV Case possible for new independent speakers, and we will be honoring Matt according to Forrester Consulting of Study,” and a session on “New Funding.” producers, who are so important to the Groening with our inaugural Creative Cambridge, Massachusetts, 61 percent Tuesday is also a good seminar day with creative process.” of marketers consider face-to-face Icon Award on October 7.” actor Jerry Seinfeld outlining his new From production to platforms, exhibiting the most effective means of Major players on the business front show, The Marriage Ref. MIPCOM hoped to cover all bases. building a brand image. are looking forward to the mix of “Online gaming is one of the fastest VideoAge had the opportunity to innovative business and entertainment In addition, the Norwalk, discuss MIPCOM 2009’s key features growing areas of entertainment, and Connecticut-based Event Marketing offerings. Gene George of Hollywood- with Laurine Gaurade, acting director there are new opportunities for based Starz Media commented, “We’re Institute found that 53 percent of sales of the TV Division at Reed MIDEM, producers and broadcasters to forge and marketing professionals consider very excited that MIPCOM is paying events to be the best vehicle for tribute to The Simpsons since our accelerating business relationships. animation studio, Film Roman, has produced the animation for the series, But, all businesses seem focused on the movie, the DVD releases and The numbers and MIPCOM exhibitors are Simpsons games for the past 15 years.” no exception, keeping a close eye on the George also expressed great interest number of attendees, even though this in the “Connected Entertainment” parameter is now considered inaccurate. seminar series, noting, “Starz Digital According to Doug Ducate of the Media has been successful in finding Center for Exhibition Industry ways to create new revenue streams in Research, for the past 20 years, the online and broadband platforms for our success story of trade shows was movies and series, whether it’s the measured by their rate of growth. If a Manga.com website or the animated trade show had 10 percent more Bunnies shorts movie parodies. Marc attendees each time, it was hailed a DeBevoise, who leads Starz Digital winner. “We sold that message,” Ducate Media, and his team have been highly told Meeting & Conventions magazine. successful in building alliances with key However, market organizers now realize outlets such as iTunes, Xbox, Netflix (8 x 30’) the weakness of that argument. A better MIPCOM is one of Latin American distributors’ favorite markets and the like. I’m sure they’ll be checking (Continued on Page 18) VISIT US AT MIP STAND G3.14 Comcastintl.com ©2009 E! Entertainment Television, Inc. All Rights Reserved.

File Name / Job #: 5370-MIPCOM2009 Video Age/ 010-5370-09 Date: 09/11/09 E! NETWORKS Description: Full Page Four Color Ad with Bleed Issue Date: 10/09 5750 Wilshire Blvd. Publication: Video Age Trim [ 10.625 x 14.1875 ] Live [ 10 x 14 ] Bleed [ 10.75 x 14.3125 ] Los Angeles, CA 90036 E! Contact: Gwyn Phillips Telephone: 323-954-2697 Email: [email protected]

79684L2.e1_5370-MIPCOM2009 Video Age_pr 4 9/15/09 12:19 AM Fourth Page - DDD - RHP Ad Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 18

There are some MIPCOM (CONTINUED) great co-production opportunities out (Continued from Page 16) there, more than ever before. We’re 12,000 of more participants.” Keenleyside should be pleased with seeing some those projections, as she had said, “CCI significant signs of always likes MIPCOM because of the kids’ buyers who attend JUNIOR. It recovery, which is also looks as if we’re seeing more people back who took a break from MIP the best news. Let’s because of the economy.” Gene George noted a similar trend, just hope it saying, “Our meeting schedules for our continues. sales team are filling up fast and already pacing way ahead of last MIPCOM.” Patrick Elmendorff echoed the CCI are focusing their energies, and their sentiment on behalf of Studio 100, dollars, on defining series that have great pointing out, “Since MIPCOM is playability. We are actually seeing a more connected to MIPJUNIOR, we expect aggressive and competitive environment to see more buyers related to the kids’ for these types of programs.” Venevision International announced a special venture in China at MIP segment [than there were at MIP].” Are there any particular territories VideoAge closed the various interviews out relevant conferences in this space.” a worldwide success are involved and by asking these industry participants that seem enticing to the MIPCOM crowd? “The key countries in Europe Patrick Elmendorff of Germany’s this series pretty much picks up where it how they view the buying/selling market are critical for us, and we have worked Studio 100 Media highlighted two left off. With digital technology, a whole overall. “Hmm, that’s an interesting hard to build strong alliances in many particular seminars of interest to his new world of possibilities have opened question,” Keenleyside mused. “We’ve territories including the UK, France and company. “Being involved with up.” Keenleyside also touched on the seen the challenges of the last year, but international co-productions, we are of adjustments CCI has been making in we’re also seeing more multi-territory Spain,” said George. “We also see course interested in all ways of the face of our current economy, saying, broadcasters starting up, broadcasters continued growth in Eastern Europe financing, which often is the most “We’re making local versions [of coming back for more episodes or“and Latin America while we still find delicate stage of a television series Artzooka] as well, which really plays into renewals of successful series. There are Japan to be a very challenging project, so we will be at the October 5 the economic struggles of the past year, some great co-production opportunities marketplace.” out there, more than ever before. We’re seminar, ‘New Funding for Producers as we can have [those versions] at a Italy’s Mondo TV has its sights set seeing some significant signs of recovery, from Around the World,’” he said. fraction of usual production costs.” elsewhere, as representative Matteo which is the best news. Let’s just hope it “Also, we appreciate that there is a Corradi explained, “We are looking into For all those involved, MIPCOM continues.” George expressed a similar seminar [‘What is the Impact of a future co-production with Al Jazeera holds a lot of promise, despite the bleak view, commenting, “There is no Connected Entertainment on the Children Channel in the Middle East attitude some have. “Attendance is question that we’re currently in a very Television Industry?’] that deals with region. This is a region that interests us looking good,” commented Laurine challenging economic climate. Many the relationship of television and cross- a lot at the moment, as it is truly Garaude of Reed MIDEM. “Currently broadcasters have slashed acquisition media platforms, which are also a vital growing fast.” we have 3,000 buyers signed up for budgets to adapt to declining ad part of our business activities.” Corradi then added, “The buying and MIPCOM and some 400 for revenue. We have seen broadcasters selling market nowadays is interesting. The distributors also have MIPJUNIOR. We should have close to digging deep into their current libraries The economic meltdown affected many memorable events of their own to 4,000 buyers at MIPCOM. The overall and recycling their content to a greater unexpected countries, but this will have contribute to the assembly. “We’re projected attendance is in the region or degree. Having said that, broadcasters an end very soon. We need to be excited to be bringing a truly original optimistic and work on producing series, Spartacus: Blood and Sand, to better titles to suit what all the channels MIPCOM,” said Gene George. “The are looking for.” series is set to premiere on our Starz Studio 100 Media’s Elmendorff premium channel in the U.S. in January 2010, but it will have its world summed it all up neatly by stating, “In premiere at a highly anticipated buyers- times of the global economic crisis, it’s a only screening [at MIPCOM]…. Starz buyers’ market. Of course the territories is also co-sponsor of the Opening which didn’t suffer as much from the Night cocktail party, where we’ll be crisis are more enticing than others, but giving many other MIPCOM attendees we keep our good business relationships their first real look at the show.” with all our clients and try to adapt to the possibilities they have.” Jill Keenleyside of Toronto’s CCI Entertainment added, “We have several That seems to be the story for special things planned for the launch of MIPCOM 2009 overall – working Artzooka, our very exciting new towards a positive outlook, adapting to Canada/German, multi-million dollar new possibilities, and, mainly, art series for kids. Many of the rethinking the television industry as we principals who helped make Art Attack all know it.

18 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 Meet Jake Doyle... A law unto himself

Drama Series: 12 x one hour A Take The Shot Production MIPCOM Stand RB.44, Riviera Beach Hall

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Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 22

Film Fests Feast Italy & Canada: Two Countries Divided by Four Festivals Cinemavault’s Caroline Stern under the Italian Trade Commission umbrella) at the American Film Market BY LUCY COHEN BLATTER few industry people go to Montreal, in Santa Monica. he fall season brings four major although it has a huge local consumer festivals in two countries. following. The market [side of the event] “The AFM is important because of Beginning in late August and is focusing on the new ‘carriers’ rather clients from Canada, the U.S., South running through October, than classic physical distribution. America and the Far East,” said Cifola, international film executives “we certainly don’t go to the AFM “Toronto is a business hub and the looking for the Europeans we met in attend the 33rd Montreal who’s who of the industry is present. TWorld Film Festival (Aug. 27-Sept. 7), Venice and Rome.” the 66th Venice Film Festival (Sept. 2-12), “Montreal is more where you discover The Business Street is the market side the 34th annual Toronto International films and film makers while Toronto is of IRFF and is held October 15-19 in Film Festival (Sept. 10-19), and the fourth where you make deals, meet the stars two locations around Via Veneto: Hotel annual International Rome Film Festival and enjoy big parties. Majestic and Hotel Bernini Bristol. The (Oct. 15-23). “Montreal World Film Festival is the latter venue also operates as the These come in addition to second-tier very personal vision of a film historian marketplace headquarters. while Toronto is a Film Festival with a festivals like the Cologne Film TV Arrow Entertainment’s Steve Arroyave “Venice has more value for producers,” Festival (Sept. 30-Oct.4) in Germany, mercantile and cultural bottom line.” commented a Rome-based Italian Antalya Golden Orange (Oct. 10-17) in business. We’re having a hard time Another Toronto insider, who, like the industry veteran. “Winning Venice’s Turkey and the Bucharest International selling films. The video market has other executives interviewed for this piece Golden Lion is on par with, if not more Film Festival, recently renamed the really gone down and in the past six preferred not to be named, added: prestigious than Cannes’ Golden Palm.” Romania International Film Festival, months TV stations have not been “Montreal is a small, part-time organization However, he continued, “Venice doesn’t held in Arad (Sept. 27-Oct. 4). And buying as much.” run by the difficult executive director Serge have a market and for this reason its main don’t forget the upcoming American But Arroyave pointed out that the Losique, who has alienated all of competitor is Toronto, which, with its Film Market (Nov. 4-11) in Santa slowing of sales could present an Hollywood and many people in the informal trade show, is in effect the Monica, California, which is associated opportunity for those looking to acquire Quebec film industry. Toronto is a massive number one fall event.” with the AFI Fest being held in Los more titles. “A lot of sales agents are in organization whose programmers and According to Paolo Di Maira, the management are respected the world over. Angeles (Oct. 30-Nov. 7). trouble, so there might be better deals editor of Italian film-TV trade Both organizations claim approximately the But in such a depleted economic this time around.” publication Cinema & Video, “Italians climate, the question remains: Is there a same attendance [roughly 350,000] but Cinemavault’s Stern explained that she always comment that Venice is an need for all of these? A survey of Montreal’s number includes nightly, free and her colleagues tend to use TIFF, important showcase. However, with the executives found that many are choosing outdoor screenings in a public square. which she described as “the first key exclusion of those producers who attend one or two of the festivals to attend, as “Broadly speaking, Montreal is more of market after the summer,” to follow up on Venice with public money, many people opposed to covering all ground. an ‘art film’ festival. These days it programs talks that began earlier in the year. “Our actually dislike Venice because of its high “We alternate,” said Caroline Stern, few, if any, studio films. Montreal has an costs and lack of business. Recently, strategy for sales has never been to official market, Toronto does not, but v.p. of International Distribution at compete with festival activity. Unlike in festival director Marco Muller made it instead operates a sales office to match clear that Venice doesn’t want to develop Canada’s Cinemavault. “We send our Cannes, Santa Monica’s AFM and Berlin, buyers and sellers on an as-needed basis. a market. For these reasons, many Italian acquisitions team to Montreal most we don’t set up screenings. We use it as a The volume of business done in Toronto producers and distributors prefer Rome years, and Rome is important in terms place to follow up from Cannes,” she said. of Italian sales. But we only send can exceed C$100 million.” where business is not only done and representatives if we have a film there,” Speaking of the year’s crowded calendar, VideoAge asked Sesto Cifola, head of encouraged, but the organization itself is she added. “We’ll always do Toronto, Stern pointed out that, “Every year, there Cinema and TV Drama International betting on the business side.” seem to be more and more events and and Venice if we have a film there, but Sales at Italy’s RaiTrade, to give an Finally, Ron Moore, CEO of Toronto festivals that are extremely significant otherwise we put a lot of time and assessment of the two competing Italian marketing firm SONARmediathink within their territories. It’s the same every money into Toronto.” film festivals. “This is the same question and executive producer of Los Angeles- season. We have to pick and choose based Steve Arroyave, founder of Canada- we’ve been hearing for the past four based, internationally syndicated Red on which will have the best attendance based Arrow Entertainment, attended years,” he quipped. “Venice means Carpet Diary, best summarized Canada’s and which will be most significant for the festivals in both Toronto and tradition and artistic values. Rome has two fests, commenting: “Toronto is a local marketing possibilities.” Montreal looking for acquisitions, and more of business nature, considering that colossus that just keeps growing in concurred that Toronto has become the According to a Toronto-based film and it has the budget to invite buyers all- scope and reputation. It’s not only one must-attend film event of the fall, TV financier, “Toronto is much more expenses paid. In addition, RaiTrade is of the most well-run film festivals on despite the fact that it has no formal important [than Montreal]. It is number one of International Rome Film Festival’s the planet but among the best-run market. “It’s arguably number two two in the world after Cannes. Montreal is [IRFF] major sponsors because Rome is cultural events. Montreal just isn’t in behind Cannes,” he said. “A lot more a niche event, and has had a volatile past.” where we’re based, so it’s like a home play that league any longer, but that’s not to distributors have been going there.” A Montreal-based filmmaker provided the for us.” He then explained that “for us, say it doesn’t provide a great experience But, he was somewhat skeptical that following assessment: “The Montreal they’re both important and for this reason for cinephiles. It simply does not put attendance would be high at the various World Film Festival is more or less the we take different new titles [to each].” Montreal on the map. But I would say fall festivals. “Things have been launching pad for new film makers as well In addition to Venice and IRFF, that hands-down, Montreal has the best incredibly slow the last six months or so. as a high brow, intellectual festival. It is RaiTrade has attended the Toronto Film posters. They’re always extremely well It’s probably been the worst I’ve seen it truly an international film fest as it Festival and will be participating designed, sometimes witty and very in the 20 years since I’ve been in the showcases films from everywhere. A select without a stand (but sharing a room collectible.”

22 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 ®

the hero who became a legend

Meet us! MIPCOM 2009, 5 – 9 Oct, Stand 24.01 Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 24

New Media

The Internet Is a Destination, It Ain’t Television

BY CHARLES ZAMARIA needs, it is now perceived as a destination work. Internet users have much greater ver the past several years, Charles Zamaria is a Professor at Ryerson in itself. Jeff Cole, Director of the Center expectations, and these expectations University, Toronto, Canada. He is Director we have witnessed for the Digital Future and the continue to grow. That is the nature of of the Canadian Internet Project, and serves unprecedented growth in headquarters for the WIP at University of the Internet. The web is unlike any as Financial Director for several Canadian Internet consumption and Southern California in Los Angeles said: other medium we have known. The key television and new media funding agencies. more recently, an escalation “Findings from research conducted over for success is understanding not just of video on the web. how it is used, but why it is used. Emmys. But retransmission of television the last decade indicate more and more programming online may overlook the Streamed or downloaded people venture online primarily for Seemingly, traditional media has been video content – both short and long full potential of the Internet. Moving O engagement and interaction with others. hit hard by the online revolution we are forward, television on the Internet may form – is the current craving of many They see the Internet as a location to visit now encountering. Who would have who use the Internet on a regular basis. not take into account what most people and experience, just as one would travel to thought the telegraph would cease to exist, expect when online. As broadband provides more a new place. Almost nine of 10 Internet or that the number of book sales it takes to opportunity for seamless and users report they browse online with no make the New York Times best sellers list Statistics and ratings indicate that uninterrupted distribution, the use of destination in mind, and most do so would be reduced to a mere fraction of youth and young adults use the Internet online video has increased exponentially. regularly. Non-specific surfing is the most what it used to be? Recently, newspaper significantly more than any other And at last, after many years of denial, the popular use of the Internet. Searching for subscription and readership have demographic, and they do so directly at television industry appears to finally “get information and entertainment may be plummeted greatly, and movie theater the expense of watching television. But it.” After watching the effects of digital the end result, but being online is more attendance has been decimated. now studies are beginning to see a relationship between media choices and distribution on the music and newspaper about exploration and discovery of place. However, the cries lamenting the industries, broadcasters are quickly life stage. In other words, as they grow The Internet is as much a place and ruination of traditional media due to the making programming accessible online. older, younger folks appear to increase destination as anything else.” want and demand of newer media are But do broadcasters really get it? Is the their use of more traditional media such Just like the transporter in Star Trek, the somewhat incorrect. To paraphrase Mark web the place to watch television after all? as television and newspapers. The Internet provides an opportunity to travel Twain, reports of its death have been greatly motivation for being online continues, Besides directly downloading and to destinations and encounter various exaggerated. The WIP study indicates that but its attraction is quite distinct programming online, levels of engagement. And the very consumption of traditional media has compared to other media. IPTV is another example of an attempt by journey or the opportunity to explore, diminished, but not to the extent broadcasters (and other corporate interact and engage without a specific previously believed. Nor has increased Results from the WIP study show interests) to port television to the Internet. purpose is what most drives online traffic. traffic online stemmed from a decrease in little difference in consumption levels of traditional media between those who Through Wi-Fi, Wi-Max, cable DSL, and The Internet is not just a distribution traditional media consumption. Jeff Cole use the Internet versus those who don’t satellite, IPTV essentially provides an conduit like so many other media, but an believes the answer more complex than one across all age groups (surprisingly, in opportunity for TV viewing via experience unto itself. While an endless media simply dominating and displacing North America there is still about 1/5 of broadband. Does this promise to gather a supply of video content online satisfies another: the population that is not online). In strong audience? Perhaps not. Internet many, the Internet is evolving beyond In the long history of , no Canada, for example, those who use the users don’t see themselves as an audience. just another distribution platform like medium has ever fully disappeared. Internet spend approximately 45.3 As digital consumers are repeatedly television. Online sampling of content Instead, most have adapted and changed. hours per week consuming a variety of surveyed, monitored and studied, the appears to be a more widespread activity Traditional media must adapt and find 13 common traditional media. more we begin to understand the than attending to full length new relationships with other media and Canadian Internet non-users use the overwhelming attraction of the Internet. programming. It is perhaps symptomatic provide value in its own right. Levels of same media for 46 hours per week. New research reveals Internet users are of the changing pattern of consumption television viewing, newspaper reading, seeking a unique experience when online. and behaviour brought about by the and radio listening have certainly These findings are quite extraordinary. From social networking to sampling Internet. The Internet just ain’t TV. fluctuated in the digital era, but they have The amount of time spent attending to content to aimlessly browsing, the web is Broadcasters are attempting to take not and will not disappear entirely. Each several traditional media including being used to seek out destinations as well advantage of the overwhelming lure of medium is unique and satisfies specific television, radio, books, newspapers, and as provide content and programming. the Internet. While they may have been niches. The Internet is unlike any other films is almost the same for both Internet The attraction of the Internet is found slow to adapt to the convergent realities, and will find its draw from its ability to users and non-users. Apparently, the in the experience of being part of a most broadcasters now see the Internet provide experiences, not just content. Internet is not drastically displacing the broader community. Online engagement as key to their business model. And an Even so, original platforms for traditional traditional media audience after all. is not an isolated activity as it is with absolute necessity for this new business media will continue to serve attractive and Moreover, the WIP study has found other traditional media. While using the model to work is making content useful purpose amidst this time of change. that those who use the Internet more Internet, it is common to listen to music, available online. If you can’t beat ‘em, In other words, the sky is not falling frequently than others seem to use all watch television or talk on the telephone join ‘em. Or better still, if you follow for broadcasters and there may be other media more. Media use begets more simultaneously. Internet users are more your audience as they trek by the opportunity for both the Internet and media use. People are supplementing participants than audience in a complex millions from television sets to computer television to co-exist together quite their traditional media diet with what and rapidly changing online world. Is screens, you may just be able to take amicably, actually complementing each they find online, though, there remains this a suitable place for television? advantage of this migration and further other. Convergent, re-purposed and tremendous loyalty and appetite for these Results from an ongoing international monetize your content… or, perhaps crossover content? Certainly. Take a look media on their original platforms. study conducted by member countries of just use the Internet to promote your at Canada and the success of the Bell Web sites references from this article: the World Internet Project (WIP), own core television product…heck, at Fund in sponsoring hundreds of www.canadaonline.ca; indicate that while the Internet may have the very least, survive. successful cross-platform projects, several www.worldinternetproject.net; begun as a conduit to satisfy specific This may be too simple a model to of which have won International www.digitalcenter.org; www.bellfund.ca

24 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 26

More than 158 IPTV Revolution million Americans, or 81 percent of the Cable, Telcos, Satellite, TV U.S. Internet Nets Are Geared Up For IPTV audience, watched videos on sites like

BY LEVI SHAPIRO complex proprietary network, which and the difficulties in getting TV and ill Geibler has a few simple has been engineered to ensure telco cultures to collaborate. “We Hulu, ABC.com rules. The 38-year-old father bandwidth efficient delivery of vast should never forget that TV is of two in Annapolis, amounts of multicast video traffic. The emotional. TV is an emotion that we Maryland learned his three higher network quality also enables easy can deliver to the client in their homes. and YouTube last rules to live by from Coach delivery of high quality SD or HD Now it has become a standard. I expect Bobby Finstock in the 1985 content. This makes IPTV a preferred that within 24 months, analog will be MGM/UA film Teen Wolf. delivery platform for premium video completely finished.” July. This was the B“Never get less than 12 hours sleep; content. According to Campbell, There is, of course, another type of never play cards with a guy who has the California-based Infonetics Research, Internet television, which is the same first name as a city; and never get the number of pure and hybrid IPTV traditional video on a computer. That is largest audience ever. involved with a woman with a tattoo of subscribers worldwide doubled last year the one using the open Internet and a dagger on her body. Now you stick to to 26 million and should surpass 150 therefore lacks guaranteed quality of that, and everything else is cream million in three years time. These service. The audience for the latter is cheese.” companies have grabbed market share exploding. According to ComScore, a And I have to say, when we talk to the Bill has added a fourth rule to that by introducing a variety of innovations market research company based in content makers, they really want to get list: “watch every football game on to benefit consumers, content owners Reston, Virginia, more than 158 involved. This basically shows that if Sundays.” In order to see more games and advertisers. million Americans, or 81 percent of the you tap into that energy and and have live chat, VoIP and other Stephen Kim is Managing Director of U.S. Internet audience, watched videos enthusiasm, and we give them the tools interactive features for his fantasy sports Content at Hanaromedia, the IPTV on sites like Hulu.com, ABC.com and to create new kinds of content and leagues, he switched to a hybrid division of SK Telecom in Korea. YouTube last July. This was the largest services, we can entice the audiences to IPTV/satellite package from AT&T U- “When we launched our service, we audience ever. use IPTV more and more”. verse, the IPTV service from the telco, definitely thought about differentiation. In an effort to protect cable Some of these popular services and DirecTV, the satellite TV platform. So we created and developed a new subscription revenue and combat“include place shifting from Echostar’s “God bless these internet wires,” said premium VoD window called Hana premium online video sites like Hulu, Sling division. Another innovative Bill. Box. It is not in the traditional window the two largest MSO’s recently offering is whole-home DVR from The true benefit of IPTV (or system at all, you could say that we launched TV Everywhere (Time Warner DirecTV. This represents a triumph for television via broadband) is two-way broke the window. If you miss the film Cable) and ODOL, or On Demand inertia. You can now view the DVR in data flow. The system learns viewer in the theater, you can watch it three Online (Comcast). This means that a one room, pause it, and then watch in preferences for greater customization weeks later on Hana Box, before the Comcast subscriber in Philadelphia can another room—a single DVR drives the and more accurate ad targeting. Most DVD release. You may pay a bit more input their own password protected entire house. importantly, viewers can enjoy other but we checked the customer’s reaction. authentication number (developed by Ideally, the rich ecosystem of advanced media services during their They are very satisfied with that price Buffalo, NY-based Synacor) and view applications currently available for the television experience, including VoIP for that service.” most of the content that is available on- iPhone (70,000 as of September 2009) (telephone services), messaging, air online. Time Warner’s trial is One of the earliest telcos to launch could just as easily flourish on other recommendations, voting and IM chat IPTV in Europe was Belgacom in 2004. available to 5,000 subscribers and capabilities. While the Fantasy Sports features content from TNT, TBS, hardware, including Internet connected Belgacom has been successful in televisions. This was the position taken Trade Association (www.fsta.org) increasing the ARPU (average revenue HBO, Discovery, CBS, NBC’s SyFy, by Google’s engineering vice-president estimates there are 20 million active per user) for its IPTV services by AMC, WEtv, Sundance, etc. Most Vic Gundotra at the MobileBeats fantasy football players in the U.S., increasing the uptake of video-on- importantly, content can be viewed conference. He called the Apple App there are many other groups that demand rentals. In the first quarter of through programmer-owned websites, Store trend a “fad.” It is exciting to additional interactivity. In fact, AT&T 2009, ARPU was 17.2 Euro/month. such as TV.com or Hulu. think about the functionalities that U-verse expanded its subscriber base in Belgacom has concentrated on the Internationally, broadcasters are software developers could bring to a the first quarter of 2009 to 1.3 million discovery process by making it easy for focusing on advanced services for an connected IPTV environment. people while FiOs from the telco customers to find the film they want. To Internet-based television viewing Verizon grew 84 percent to 2.22 million do this, there are three channels within experience. Rahul Chakkara, the The holy grail for an IP-based customers. its “Cinema at Home” section, making Controller of Future Media TV television platform in the living room is IPTV has generally been a television it very quick, for example, to locate a Platforms at the BBC in the U.K. better targeting for advertisers and more service from fixed line telecom family film. This helps overcome the explained: “People understand that personalization for viewers. Marketers operators like Deutsche Telekom, problem of customers becoming lost or bringing IP to the TV will enable new seeking a more targeted ad impression France Telecom and Hanaro (acquired overwhelmed by the amount of on- kinds of services, catch-up TV services, now know something about their by SK Telecom in Korea). These are demand content available, which is new kinds of applications from the web viewers that they never had before- digital TV services using technologies typically around 1,600 VoD movies at onto the television that gives them context. Next step will be the marketing for the computer network and offering any given time. Bernard Rapaille, head value. Through iPlayer, Canvas, Free Sat of an open Internet IPTV set-top box the “quality of service” expected from of TV at Belgacom, has been involved and other services, BBC is investing in where consumers can request television cable or . A telco with this effort for over five years and bringing together the richness of services a-la-carte by using their credit IPTV service is typically delivered over a emphasizes the role of targeted content, broadcast with the power of broadband. cards.

26 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 26

More than 158 IPTV Revolution million Americans, or 81 percent of the Cable, Telcos, Satellite, TV U.S. Internet Nets Are Geared Up For IPTV audience, watched videos on sites like

BY LEVI SHAPIRO complex proprietary network, which and the difficulties in getting TV and ill Geibler has a few simple has been engineered to ensure telco cultures to collaborate. “We Hulu, ABC.com rules. The 38-year-old father bandwidth efficient delivery of vast should never forget that TV is of two in Annapolis, amounts of multicast video traffic. The emotional. TV is an emotion that we Maryland learned his three higher network quality also enables easy can deliver to the client in their homes. and YouTube last rules to live by from Coach delivery of high quality SD or HD Now it has become a standard. I expect Bobby Finstock in the 1985 content. This makes IPTV a preferred that within 24 months, analog will be MGM/UA film Teen Wolf. delivery platform for premium video completely finished.” July. This was the B“Never get less than 12 hours sleep; content. According to Campbell, There is, of course, another type of never play cards with a guy who has the California-based Infonetics Research, Internet television, which is the same first name as a city; and never get the number of pure and hybrid IPTV traditional video on a computer. That is largest audience ever. involved with a woman with a tattoo of subscribers worldwide doubled last year the one using the open Internet and a dagger on her body. Now you stick to to 26 million and should surpass 150 therefore lacks guaranteed quality of that, and everything else is cream million in three years time. These service. The audience for the latter is cheese.” companies have grabbed market share exploding. According to ComScore, a And I have to say, when we talk to the Bill has added a fourth rule to that by introducing a variety of innovations market research company based in content makers, they really want to get list: “watch every football game on to benefit consumers, content owners Reston, Virginia, more than 158 involved. This basically shows that if Sundays.” In order to see more games and advertisers. million Americans, or 81 percent of the you tap into that energy and and have live chat, VoIP and other Stephen Kim is Managing Director of U.S. Internet audience, watched videos enthusiasm, and we give them the tools interactive features for his fantasy sports Content at Hanaromedia, the IPTV on sites like Hulu.com, ABC.com and to create new kinds of content and leagues, he switched to a hybrid division of SK Telecom in Korea. YouTube last July. This was the largest services, we can entice the audiences to IPTV/satellite package from AT&T U- “When we launched our service, we audience ever. use IPTV more and more”. verse, the IPTV service from the telco, definitely thought about differentiation. In an effort to protect cable Some of these popular services and DirecTV, the satellite TV platform. So we created and developed a new subscription revenue and combat“include place shifting from Echostar’s “God bless these internet wires,” said premium VoD window called Hana premium online video sites like Hulu, Sling division. Another innovative Bill. Box. It is not in the traditional window the two largest MSO’s recently offering is whole-home DVR from The true benefit of IPTV (or system at all, you could say that we launched TV Everywhere (Time Warner DirecTV. This represents a triumph for television via broadband) is two-way broke the window. If you miss the film Cable) and ODOL, or On Demand inertia. You can now view the DVR in data flow. The system learns viewer in the theater, you can watch it three Online (Comcast). This means that a one room, pause it, and then watch in preferences for greater customization weeks later on Hana Box, before the Comcast subscriber in Philadelphia can another room—a single DVR drives the and more accurate ad targeting. Most DVD release. You may pay a bit more input their own password protected entire house. importantly, viewers can enjoy other but we checked the customer’s reaction. authentication number (developed by Ideally, the rich ecosystem of advanced media services during their They are very satisfied with that price Buffalo, NY-based Synacor) and view applications currently available for the television experience, including VoIP for that service.” most of the content that is available on- iPhone (70,000 as of September 2009) (telephone services), messaging, air online. Time Warner’s trial is One of the earliest telcos to launch could just as easily flourish on other recommendations, voting and IM chat IPTV in Europe was Belgacom in 2004. available to 5,000 subscribers and capabilities. While the Fantasy Sports features content from TNT, TBS, hardware, including Internet connected Belgacom has been successful in televisions. This was the position taken Trade Association (www.fsta.org) increasing the ARPU (average revenue HBO, Discovery, CBS, NBC’s SyFy, by Google’s engineering vice-president estimates there are 20 million active per user) for its IPTV services by AMC, WEtv, Sundance, etc. Most Vic Gundotra at the MobileBeats fantasy football players in the U.S., increasing the uptake of video-on- importantly, content can be viewed conference. He called the Apple App there are many other groups that crave demand rentals. In the first quarter of through programmer-owned websites, Store trend a “fad.” It is exciting to additional interactivity. In fact, AT&T 2009, ARPU was 17.2 Euro/month. such as TV.com or Hulu. think about the functionalities that U-verse expanded its subscriber base in Belgacom has concentrated on the Internationally, broadcasters are software developers could bring to a the first quarter of 2009 to 1.3 million discovery process by making it easy for focusing on advanced services for an connected IPTV environment. people while FiOs from the telco customers to find the film they want. To Internet-based television viewing Verizon grew 84 percent to 2.22 million do this, there are three channels within experience. Rahul Chakkara, the The holy grail for an IP-based customers. its “Cinema at Home” section, making Controller of Future Media TV television platform in the living room is IPTV has generally been a television it very quick, for example, to locate a Platforms at the BBC in the U.K. better targeting for advertisers and more service from fixed line telecom family film. This helps overcome the explained: “People understand that personalization for viewers. Marketers operators like Deutsche Telekom, problem of customers becoming lost or bringing IP to the TV will enable new seeking a more targeted ad impression France Telecom and Hanaro (acquired overwhelmed by the amount of on- kinds of services, catch-up TV services, now know something about their by SK Telecom in Korea). These are demand content available, which is new kinds of applications from the web viewers that they never had before- digital TV services using technologies typically around 1,600 VoD movies at onto the television that gives them context. Next step will be the marketing for the computer network and offering any given time. Bernard Rapaille, head value. Through iPlayer, Canvas, Free Sat of an open Internet IPTV set-top box the “quality of service” expected from of TV at Belgacom, has been involved and other services, BBC is investing in where consumers can request television cable or satellite television. A telco with this effort for over five years and bringing together the richness of services a-la-carte by using their credit IPTV service is typically delivered over a emphasizes the role of targeted content, broadcast with the power of broadband. cards. Recycle

What will you Artzooka!A dynamic art today? series for kids 6 to 10 that inspires and entertains...

- Half hour episodes available as well as localized versions

Inspire - An exciting blend of live action and animation that unleashes the artist within!

[email protected] MIPCOM No 4 La Croisette 1st floor Cannes France 06400 +33 04 93 38 90 71 Stand 2.10 Recycle

What will you Artzooka!A dynamic art today? series for kids 6 to 10 that inspires and entertains...

- Half hour episodes available as well as localized versions

Inspire - An exciting blend of live action and animation that unleashes the artist within!

[email protected] MIPCOM No 4 La Croisette 1st floor Cannes France 06400 +33 04 93 38 90 71 Stand 2.10 Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 30

when the credit crunch is over,” she said. “Now that broadcasters have appreciated the cost at which content can be produced, they won’t want to go back to Economic Blues paying the old prices, even if they do have the money – why should they?” “In theory,” suggested Carter, “this is a good time for companies with big hat there is enormous pressure on catalogues, because schedules still need budgets for television production to be filled, and the cheapest way to do and acquisition is hardly news. Times Are Tough, that is buying programming from other But there are some very different sources. But, I am not sure how long T that can go on for. Sure, a broadcaster views as to whether the good times will ever roll again. can save money by acquisitions and Budgets Are Down increased repeats, but the danger of that “To me, this looks very much like the strategy is that you risk breaking the dawning of a new age.” Gary Carter, the bounce back, it is very unlikely that they smaller production houses will see losses link with your audience.” Spodsberg London-based president, Creative concurred. “Viewers will continue to Networks and CCO, FMX, will ever rise at the rate they once did.” and there will be some consolidation over the next 18 months or so.” demand high quality on television,” she FremantleMedia Enterprises, said with a If you think that sounds depressing, asserted. “They might be willing to touch of cynicism. “The research we wait — there’s more! Carter continued, Karoline Spodsberg, international tolerate lower quality on the Internet, have done suggests that advertising and “This recession is very different from director of Sweden’s Nordisk was no more but they won’t tolerate it on television.” budgets will take several years to return those that preceded it, in that previously, hopeful. “It is certainly true that at the London-based Tobi De Graaff, director, to the levels they were at pre-credit broadcasters spent their way out of moment budgets are being squeezed very Global TV Distribution at ITV Studios is crunch, if indeed they return to those recession. This time, the pain is being heavily, and I cannot see them recovering very upbeat in regard to the future of levels at all. If they do manage to passed on, and I am sure that some of the to anything like their previous levels, even budgets, predicting, “In the key programming areas for major broadcasters, budgets will not only recover, but they will actually increase.” The main reason for this optimism is the power of the brand. “We don’t sell programming,” De Graaff explained. “We sell brands. And these brands have a ‘reserved’ audience. Dedicated fans that will find these shows in any market, no matter how crowded. In the future, this [loyalty] will be vitally important to broadcasters, and so they will pay for it.” Although De Graaff concurred with Carter and Spodsberg that new funding will have to be found, he believes this will come through more direct commercial means as opposed to a realignment of relationships with advertisers. “One of the advantages a broadcaster gets from a big budget show is visibility,” he said. “And I am sure we will see major broadcasters looking to increase their earnings through ancillary revenue streams like licensing, greater brand extension on associated channels, and greater 360 degree exploitation.” Somewhere between these poles of caution and optimism sits Paul Heaney, managing director of the U.K.’s Cineflix International, which specializes in supplying content to smaller channels. “[Television] ad revenues have taken a battering this year,” he said, “But there will always be a need for acquired content, it is the modus operandi of the smaller channel business, thus programming budgets will likely stay the same.” But, he does caution, “The clever part is to find new ways to fund projects, other than the traditional commissioning structure, whether it be through consumer product deals, advertiser funding, or other ancillary rights. Rights management is also a key issue, and now is the time to ensure that only the rights needed are granted.” Saralo MacGregor, the Santa Monica, California-based executive vice-president of Fireworks International believes, “Whether it’s new or library programming, it still has to satisfy the networks’ ratings expectations, and with the amount of library material available to them, networks will be as selective now as they have always been.” Whatever the future holds, it is difficult to avoid the conclusion that whether it is a bright future or a cloudy one, it is definitely going to be very different from the past. BJ

30 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 32

PROMAX Report

TV Role At Promo Event

of factual biographies and British mystery Loses Focus But Finds Hope shows. He emphasized that in order to reinvent itself as a relevant channel over the last several years, A&E had to take a and marketers can embrace this “new gamble that essentially alienated its core he 2009 Promax|BDA audience of sixty-somethings, ushering in conference, which took place frugality” by addressing content’s overall value, quality, and longevity, saying that a slate of reality TV programming like last June at the Hilton Hotel Growing Up Gotti and Dog the Bounty in New York City, continued by and large, aspirational luxury won’t resonate with TV viewers any longer. Hunter that would court a newer, younger in its effort to get out audience. Researchers identified a target from under its diminishing Speakers at the Media Leaders Summit demographic that they dubbed the “Lean reputation as a television contradicted some of the messages that Forwards” and began developing content industry event past its prime, a curse it Vashi put forth in his discussion of the that elicited “a visceral reaction rather than Tsuffered during former chairman Glynn “new frugality,” harping on escapism in escapism.” Brailsford’s tenure. This time around, the programming as the key to weathering Slattery also discussed the need to event made every attempt to appeal to the financial turmoil of the current acquire original off-net shows like T attendees’ creative bones and address the Scenes from Promax 2009 recession. In speaking about USA’s new he all-media need for solutions to the show Royal Pains, set in the ritzy beach Sopranos, for which they hired British problem of changing business models, as that we keep a fresh perspective, which the community of the Hamptons in New creative consulting agency Devilfish to the “Leading the New Economy of move to the state-of-the-art LA LIVE York, NBCU Cable Entertainment and churn out a series of cinematic and darkly Marketing and Design” tagline indicated. venue will help accomplish.” Universal Cable Productions president funny promos. Richard Holman, creative With the help of Promax|BDA president Bonnie Hammer said, “Aspirational director of Devilfish, spoke more This year, presentations were a mix of specifically about the process by which Jonathan Block-Verk, who took over in straight-forward lecture-style panels, as escapism is working well. People don’t 2007, the event is trying to recapture want to watch bleak, dark, depressing A&E rebranded its image and the mission with the Media Leaders Summit, and statement that he and his colleagues some of its former glory. playful performance pieces, as with things … Shows like Dallas and Falconcrest thrived during an economic developed to create cohesion amongst the As with many international media recording artist Peanut Butter Wolf’s seemingly disparate shows on the channel. conferences, attendance was down this audio-visual DJ set and the well- downturn. It’s a guilty pleasure.” year. Despite this, Block-Verk remained attended Ralph Steadman seminar, The global marketplace was at the Other noteworthy elements of this sunny about the lineup. “While the during which the renowned illustrator forefront of the Media Leaders year’s conference included a talk given number of attendees has changed, the took the stage and smashed an iPhone Summit’s talk. Hammer emphasized the by UnitedSenses CEO and creative caliber of registered delegates is top- with a hammer. These more whimsical urgency of creating content that can director Markus Schmidt, who had the notch. In essence, the same major media interludes served less to inform or translate across borders and oceans. “It’s unique job of revamping Georgian companies are coming, but they’re instruct and more to remind attendees hugely important to expand globally. Public Television in the midst of a sending fewer people. Attendees are of the innovations and creative Everything we touch is with an eye to political conflict with Russia last generally v.p. level and higher.” possibilities at the root of any successful developing it internationally.” Rich summer, as well as a number of talks celebrating the 30th anniversary of Television executives were a quieter business. When asked what Steadman’s Ross, the president of Disney Channels work had to do directly with the subject Worldwide, echoed this sentiment, sports behemoth ESPN International presence than in years past, largely and one talk given by President Barack relegated to the various panels and matter at this year’s affair, Block-Verk and Comcast Programming Group said, “Promax|BDA is all about where president Jeff Shell added that global Obama’s chief political analyst, Jim seminars on offer as opposed to meet- Margolis. Of the ESPN-related content and-greet receptions and exhibitors’ marketing and creativity intersects.” awareness is an essential instructive at the conference, Block-Verk said, “It is booths. In the busy halls, one might For a conference that has for all intents measure. “We learn about how people a common opinion that ESPN has been bump into to Disney’s executive v.p. of and purposes undergone something of a receive their media by being aware of one of the most important, fastest- marketing for domestic syndication, Sal rebrand itself, it’s perhaps not surprising global trends,” he said, giving the rising, aggressive and creative brands in Sardo, or Warner Bros.’ Susan Kantor that many of the topics at the center of example of the mobile explosion in Asia. history.” Regarding Margolis’ talk, (who received a Brand Builder award), this year’s conference had to do with Over at the A&E rebrand panel, Block-Verk added, “The marketing and or drop in on Warner Bros’ TV rebranding, reinventing, and adapting in appropriately titled “Real life. Drama,” branding of Obama is the number one International’s hospitality suite. Fox the face of a changing audience, new s.v.p. of marketing Guy Slattery made no marketing story of the past 12 months.” Television was there in name, means of media consumption and an bones about the reputation A&E had sponsoring the PROMAX reception economy just now recovering from a back in 2004 as a cable channel geared For the statistically inclined, media area. Still, it was a far cry from the time catastrophic nose-dive. toward the silver-haired set, with its lineup strategist Lee Hunt presented his when television dominated the agenda During a talk about how the media findings from a study of DVR’s effects on and the exhibition floor. has suffered from the fiscal downturn, promotion and advertising, illuminating Perhaps Block-Verk’s announcement CNN’s chief business correspondent the behaviors of the TiVo generation and that the event would be moving to Los Ali Vashi discussed a term he coined, the its implications for advertisers. (For Angeles next year after six consecutive “new frugality,” which refers to a example, in broadcast, viewers fast- years in New York symbolizes a desire to new approach to capitalism wherein forward through promotions the least get back to the core of the conference’s consumers are re-evaluating what they during sports programming, and for television promotion roots. Explaining the can and can’t do without. “We’re moving cable, the same is true of animation.) decision for the 2010 move, Block-Verk from a society that buys a TV and pays And a little celebrity muscle was said, “Los Angeles is the television capital for it over two years to one that saves for flexed at this year’s conference as well, of the world, making it a natural location two years and then buys a TV.” And when Robert Redford accepted a for the Promax|BDA annual conference. after all that time’s elapsed, there’s no Lifetime Achievement award for his And as the leading organization for guarantee that the money will be spent visionary work developing the marketing and design professionals in the on the item it was originally allocated Sundance Film Festival brand on the entertainment industry, it is important for. He ended by saying that advertisers final night of the event.

32 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 34

Now & Then

The Times Are Changin’ In Latin America Too

BY JOHN CUDDIHY after the original Spanish-language existed for some time but their first he phrase “the times they are John Cuddihy served as SVP, Program version became a smash hit for the U.S. emergence as a force was during the early Distribution for Latin America at Sony a’changin’” is a cliché yes, but Hispanic network Telemundo). This was to mid-90s when major U.S networks Pictures Television International. At A&E particularly relevant to the absolutely groundbreaking. What the such as ESPN, A&E, MTV Networks, Television Networks John oversaw the television industry given the creation of joint venture partnerships makers of Bette La Fea did was take the Discovery, Turner Network Television around the world resulting in the launch of number of changes it has typical romantic theme of a poor but (TNT), Cartoon Network and others local versions of The History Channel in experienced over recent years. beautiful girl falling in love with a rich launched Latin versions of their more than 20 countries. Cuddihy also served Sure, many industries are as VP of Program Distribution at New World man, turn it on its head and add comedy. respective U.S. services in the region. Entertainment and at ESPN. Most recently transitioning now due to the shifting world Almost immediately, Latin producers These networks were joined by studio John served as President, Managing Director T of Lightworks Program Distribution. economy but, it seems that our industry in were creating novelas with more humor offerings such as The Warner Channel, particular has been experiencing more than and social relevance. This also upped the Sony Entertainment Television and the its fair share. Large companies have been game in terms of production values. Disney Channel, who teamed with Ole’ means is broadcasters have 48 hours in gobbled up by even larger ones, technology Sure the classic romantically themed Communications and HBO to launch which to rerun the Discovery premiere of breakthroughs are decimating well- novelas are still produced and popular, HBO Latin America, a premium movie each episode. This way, Discovery gets to conceived business models, and audience but this new creative approach has been service. Not to be outdone, Fox, keep its premiere status while The viewing patterns and tastes are not simply a big, permanent development. Paramount, Universal (now NBC Amazing Race is exposed to a larger changing, they are practically in revolution. II. Co-Productions/Re-Versioning: In Universal), and MGM also launched The fact is, we now live in a fractured audience via broadcast TV. the past, the major studios focused channels and formed a premium movie media environment. IV. Animation: Output agreements exclusively on licensing “in the can” service, LAP-TV. aside, the over-the-air broadcasters have VideoAge asked me to give my view product to Latin American broadcasters, At first, all of these networks on how these and other dynamics are but this is changing fast. Two studios in populated their respective schedules greatly reduced their animation slots affecting the Latin American television particular, Disney and Sony, have been with American exported programs precipitating an almost total migration of industry given my knowledge of the leaders in the areas of co-productions and dubbed into Spanish and Portuguese. children’s cartoons to the cable services. region and the perspective I have re-versioning in the region. Disney’s Recently, however, this picture has V. Executive Migration: Given the developed by working in other parts of innovation has come from taking current changed as indicated below. desire to get closer to their respective the world. U.S. hits and re-versioning them. An III. Local Cable Network Productions: audiences and to save money, there has Latin American television, like the rest early attempt by Disney was the re- The Sony Entertainment Network been a large executive migration from of the world, is going through changes, versioning of Desperate Housewives that launched as a service to provide Latin the U.S. locations to Latin America, but the industry in this region is more basically took the scripts as written and Americans with the latest top rated U.S. particularly Argentina. Turner, Disney changed them to Latin American settings. stable than others because of the on-going television series. Today, SET offers locally and MTV Networks are three cable A recent, more aggressive approach success of the “novela” genre. To grasp the produced fare including Latin American network providers who have made this region’s television landscape it must first involved Disney’s Grey’s Anatomy. In that Idol, Los Caballeros, Mexico’s Top Model, move recently. be understood that novelas remain regular case, Frenando Gaitan, the renowned and Brazilian Top Model. As for Fox, the Monday-Friday primetime mainstays Colombian scriptwriter who also created studio has teamed up with local These five changes have had a major anchoring most broadcasters’ schedules. Bette La Fea, was brought on-board to Colombian producer, Telecolombia, to impact on the Latin American television This is true from Mexico right on down to adapt the series for Latin sensibilities. The produce various programs for the Fox industry, but they are not exclusive. The Argentina, making Latin American idea was for Gaitan to convert 66 U.S. Network in Latin America. Beyond that, macroeconomic forces that are affecting television pretty unique. Locally produced episodes into approximately 80-85 daily the Fox/Telecolombia partnership has the rest of the world are also being faced programming continues to retain a shows; what Disney is calling a fostered a new series, Mental, that airs on in Latin America. The growth of cable relatively high percentage of broadcast “supraseria,” or, a hybrid between a U.S. Fox in the U.S., reversing a trend of and satellite has been spotty and lingers schedules with daily strips ranging series and a Latin novela. American product being exported to at around 15 percent over the entire anywhere from 65-195 episodes per title. In the case of Sony, the studio set up a Latin America. region, though certain territories are Normally, broadcasters air at least two team that works with local broadcasters In the documentary area, both the doing much better, such as Argentina novelas daily in primetime. and producers to create programs based A&E Television Networks and Discovery and Mexico. As for pricing, yearly So, how has Latin America changed? on past franchises such as The Nanny, have made major commitments to increases are in the low single levels with Below is a list of what I see as the recent which first aired very successfully as an populate their schedules with locally the strongest upticks being felt by the major developments affecting the region. “in the can” version dubbed into Spanish produced programming. In the case of premium cable services. and then later remade with local talent. I. Novela Content Shift: While novelas A&E, many of their biography programs The changes affecting the world of have remained a staple of broadcasters’ A co-production with the U.S. Hispanic now airing on their BIO channel are television globally will surely be felt in schedules, the storylines and themes of network Telemundo, Zorro, la espalda y produced in Latin America. Discovery Latin America, just not as severely. This the products themselves have morphed. la rosa took advantage of another Sony also has ramped up their local is due to the unique socio-economic Yo Soy Bette La Fea, the smash hit novela franchise, and based on its positive production capabilities. In one case, created in Colombia, took the world by outcome, Sony and Telemundo teamed Discovery teamed with Disney to forces and the cultural customary habit storm and almost single-handedly up once again to create another novela, develop The Amazing Race for the region. that will most likely keep novelas at the changed the genre forever. Program Doña Barbara, to much acclaim. What is especially interesting in this forefront of the business for a long time licenses and format rights were sold at Some of the biggest changes within the example is the innovative way in which to come. That does not mean that Latin record levels internationally including a Latin American television industry have Disney has expanded the reach of the America will not continue to change. It very successful remake, Ugly Betty, on come from the cable and satellite side of program by offering “catch-up” rights to will but at its own pace and in its own ABC in the U.S. (which began airing the business. Cable and satellite have over-the-air broadcasters. What this unique way.

34 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 34

Now & Then

The Times Are Changin’ In Latin America Too

BY JOHN CUDDIHY after the original Spanish-language existed for some time but their first he phrase “the times they are John Cuddihy served as SVP, Program version became a smash hit for the U.S. emergence as a force was during the early Distribution for Latin America at Sony a’changin’” is a cliché yes, but Hispanic network Telemundo). This was to mid-90s when major U.S networks Pictures Television International. At A&E particularly relevant to the absolutely groundbreaking. What the such as ESPN, A&E, MTV Networks, Television Networks John oversaw the television industry given the creation of joint venture partnerships makers of Bette La Fea did was take the Discovery, Turner Network Television around the world resulting in the launch of number of changes it has typical romantic theme of a poor but (TNT), Cartoon Network and others local versions of The History Channel in experienced over recent years. beautiful girl falling in love with a rich launched Latin versions of their more than 20 countries. Cuddihy also served Sure, many industries are as VP of Program Distribution at New World man, turn it on its head and add comedy. respective U.S. services in the region. Entertainment and at ESPN. Most recently transitioning now due to the shifting world Almost immediately, Latin producers These networks were joined by studio John served as President, Managing Director T of Lightworks Program Distribution. economy but, it seems that our industry in were creating novelas with more humor offerings such as The Warner Channel, particular has been experiencing more than and social relevance. This also upped the Sony Entertainment Television and the its fair share. Large companies have been game in terms of production values. Disney Channel, who teamed with Ole’ means is broadcasters have 48 hours in gobbled up by even larger ones, technology Sure the classic romantically themed Communications and HBO to launch which to rerun the Discovery premiere of breakthroughs are decimating well- novelas are still produced and popular, HBO Latin America, a premium movie each episode. This way, Discovery gets to conceived business models, and audience but this new creative approach has been service. Not to be outdone, Fox, keep its premiere status while The viewing patterns and tastes are not simply a big, permanent development. Paramount, Universal (now NBC Amazing Race is exposed to a larger changing, they are practically in revolution. II. Co-Productions/Re-Versioning: In Universal), and MGM also launched The fact is, we now live in a fractured audience via broadcast TV. the past, the major studios focused channels and formed a premium movie media environment. IV. Animation: Output agreements exclusively on licensing “in the can” service, LAP-TV. aside, the over-the-air broadcasters have VideoAge asked me to give my view product to Latin American broadcasters, At first, all of these networks on how these and other dynamics are but this is changing fast. Two studios in populated their respective schedules greatly reduced their animation slots affecting the Latin American television particular, Disney and Sony, have been with American exported programs precipitating an almost total migration of industry given my knowledge of the leaders in the areas of co-productions and dubbed into Spanish and Portuguese. children’s cartoons to the cable services. region and the perspective I have re-versioning in the region. Disney’s Recently, however, this picture has V. Executive Migration: Given the developed by working in other parts of innovation has come from taking current changed as indicated below. desire to get closer to their respective the world. U.S. hits and re-versioning them. An III. Local Cable Network Productions: audiences and to save money, there has Latin American television, like the rest early attempt by Disney was the re- The Sony Entertainment Network been a large executive migration from of the world, is going through changes, versioning of Desperate Housewives that launched as a service to provide Latin the U.S. locations to Latin America, but the industry in this region is more basically took the scripts as written and Americans with the latest top rated U.S. particularly Argentina. Turner, Disney changed them to Latin American settings. stable than others because of the on-going television series. Today, SET offers locally and MTV Networks are three cable A recent, more aggressive approach success of the “novela” genre. To grasp the produced fare including Latin American network providers who have made this region’s television landscape it must first involved Disney’s Grey’s Anatomy. In that Idol, Los Caballeros, Mexico’s Top Model, move recently. be understood that novelas remain regular case, Frenando Gaitan, the renowned and Brazilian Top Model. As for Fox, the Monday-Friday primetime mainstays Colombian scriptwriter who also created studio has teamed up with local These five changes have had a major anchoring most broadcasters’ schedules. Bette La Fea, was brought on-board to Colombian producer, Telecolombia, to impact on the Latin American television This is true from Mexico right on down to adapt the series for Latin sensibilities. The produce various programs for the Fox industry, but they are not exclusive. The Argentina, making Latin American idea was for Gaitan to convert 66 U.S. Network in Latin America. Beyond that, macroeconomic forces that are affecting television pretty unique. Locally produced episodes into approximately 80-85 daily the Fox/Telecolombia partnership has the rest of the world are also being faced programming continues to retain a shows; what Disney is calling a fostered a new series, Mental, that airs on in Latin America. The growth of cable relatively high percentage of broadcast “supraseria,” or, a hybrid between a U.S. Fox in the U.S., reversing a trend of and satellite has been spotty and lingers schedules with daily strips ranging series and a Latin novela. American product being exported to at around 15 percent over the entire anywhere from 65-195 episodes per title. In the case of Sony, the studio set up a Latin America. region, though certain territories are Normally, broadcasters air at least two team that works with local broadcasters In the documentary area, both the doing much better, such as Argentina novelas daily in primetime. and producers to create programs based A&E Television Networks and Discovery and Mexico. As for pricing, yearly So, how has Latin America changed? on past franchises such as The Nanny, have made major commitments to increases are in the low single levels with Below is a list of what I see as the recent which first aired very successfully as an populate their schedules with locally the strongest upticks being felt by the major developments affecting the region. “in the can” version dubbed into Spanish produced programming. In the case of premium cable services. and then later remade with local talent. I. Novela Content Shift: While novelas A&E, many of their biography programs The changes affecting the world of have remained a staple of broadcasters’ A co-production with the U.S. Hispanic now airing on their BIO channel are television globally will surely be felt in schedules, the storylines and themes of network Telemundo, Zorro, la espalda y produced in Latin America. Discovery Latin America, just not as severely. This the products themselves have morphed. la rosa took advantage of another Sony also has ramped up their local is due to the unique socio-economic Yo Soy Bette La Fea, the smash hit novela franchise, and based on its positive production capabilities. In one case, created in Colombia, took the world by outcome, Sony and Telemundo teamed Discovery teamed with Disney to forces and the cultural customary habit storm and almost single-handedly up once again to create another novela, develop The Amazing Race for the region. that will most likely keep novelas at the changed the genre forever. Program Doña Barbara, to much acclaim. What is especially interesting in this forefront of the business for a long time licenses and format rights were sold at Some of the biggest changes within the example is the innovative way in which to come. That does not mean that Latin record levels internationally including a Latin American television industry have Disney has expanded the reach of the America will not continue to change. It very successful remake, Ugly Betty, on come from the cable and satellite side of program by offering “catch-up” rights to will but at its own pace and in its own ABC in the U.S. (which began airing the business. Cable and satellite have over-the-air broadcasters. What this unique way. Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 36

Now & Then How The TV Business Has Changed In Canada A crisis snapshot and reasons for optimism by an industry veteran

BY JAY SWITZER explosion of Canadian choice comes in Standard Radio (51 stations) sold to o understand Canadian Jay Switzer is the former president, CEO and addition to every home receiving all Astral for more than C$1 billion. Board member of Canadian broadcaster media, you first have to American networks delivered as part of CTV was forced by the CRTC to CHUM Limited and a 25-year veteran of the understand a little bit about basic service in Canada. Canadian arts & media business community. divest the station group, quickly Switzer holds an MBA from Ivey School of Canadians: Journalists, Our Canadian broadcast regulator purchased by Rogers in 2007 for C$375 Business (Univ. of Western ). He politicians and comedians (the CRTC) tries hard to interpret our million. worked as a media research analyst at The have spent much of Canada’s Financial Post in the early ‘80’s and, through Broadcasting Act by balancing cultural This should have resulted in a smaller high school and university, as a cable brief history trying to answer television installer for Maclean Hunter goals against business imperatives. There number of stronger players. But the one question: What does it mean to be are checks and balances in place that Cable TV. T echo of the writers’ strike in the U.S., A champion of independent Canadian Canadian? Who are we? until recently worked well. Canadian the lack of a return to previous tuning feature film and TV production, Jay We are a people unable to escape our stations enjoy some privileges but not at levels, together with panicked supported over 200 Canadian feature films the expense of choice in the market. The in his role at CHUM over the past decades. identity crisis. We lack confidence in advertisers resulted in some of these Canadian system has prospered even Jay is a former Vice Chair of the Canadian our own success stories. And we have a newly beefed up broadcasters facing Association of Broadcasters, is a Governor of though it grew in the shadow of the self-defeating lack of confidence in our significant earnings and debt challenges. the Banff Television Foundation, and a two culture and our arts. most powerful broadcast system in the time former board member of NATPE. world. Canadian stations and networks In 2009 pay-TV operator Superchannel Currently, he’s a board member of Canadians don’t agree on very much, Canadian media companies Comweb Group compete every day against major announced they had filed for creditor Inc., Glassbox Television Inc., OUTtv and the but we care passionately about our American networks available in every protection. CTV sold their specialty Canadian Centre for Diversity. Jay is married hockey, our heroes, our beer, and our to actress Ellen Dubin. living room and bedroom in Canada. channels Canadian Learning Television, pride in not being American. Drive-In Classics and Sextv. , as We have been afraid as a nation to of this writing, “continues to pursue a brag about our successes: Canadian The Canadian reorganization of its capital structure.” hockey outscores NFL football. CTV announced the closing of a small Degrassi Street is a ratings champ and system has Ontario station and the likely closing of eventual economic turn comes. Assuming actually comes from a Degrassi Street in another. Canwest sold pieces of its once capital structure and debt issues can be Toronto. Rick Mercer’s weekly rants prospered even mighty CHCH station group, and the resolved, there is great potential for generate not only laughs but serious pending closing of their local , reaching Canadians and building value. national debate on our public though it grew in British Columbia television station. Cable is well positioned with a growing broadcaster CBC. Entertainment The Canadian Television Fund — a VOD/SVOD offering that should be Tonight Canada is an access hit for the shadow of the major source of funding in Canadian able to be commercialized separately. The Global Television. The same applies to television — was relaunched as the future of Google as a TV platform partner So You Think You Can Dance Canada most powerful Canadian Media Fund (more than for Canadian broadcasters, as well as the on CTV. Canadians enjoy Flashpoint on C$250 million annually) with no much anticipated partnership structure of CTV not only because it is further board representation from broadcast system in an eventual Hulu.com launch in Canada exceptionally well made, but because it Canadian producers or broadcasters and could be a catalyst for future tuning and is visibly set in Canada. Same for the world. with changed rules that allow Canadian Roger’s Citytv hit Murdoch Mysteries, set broadcasters to apply directly for in- revenue growth if broadcasters are smart. in Victorian era Toronto. And E1’s The house funding for Canadian series. Cable’s anticipated Canadian web portal Bridge, Copper and others are yet to How could the worldwide perfect play could be another positive factor A crisis snapshot: It is Fall 2009. premiere. storm of deep recession and ahead. simultaneous explosion of broadband Canadian advertisers remain locked in But the last 18 months has seen a The CRTC has to do a better job at leave the Canadian media space so cutback mode and broadcasters’ Canadian media industry meltdown. regulation to improve structurally deeply damaged? earnings have fallen to record low levels. Billions of dollars written off. Latest available numbers are for the year challenged industries. A minor fix won’t Thousands laid off. The year 2007 saw ownership ending August 31, 2008 and show work. A fresh firm start with all transition for three large Canadian How did we get here? Canadian profit levels for Canadian conventional stakeholders is required. production companies and broadcasters media companies: CTVglobemedia TV at a 30 year low, less than one I see much better days ahead. The are in trouble. Stations are going dark. bought CHUM Ltd. (and its 30+ percent margin before interest and Budgets are being cut. Viewership is television networks and stations taxes. Canadian producers are business will evolve in exciting new down. Advertising revenue for many is and 30+ radio stations including scrambling to find clients, and cable ways connecting audiences with stories. down. Cable and satellite companies are Citytv, MuchMusic, Bravo!, Space, and satellite operators are extremely I remain very optimistic about the challenged with new regulated fees CHUMFM, etc.) for C$1.7 billion frustrated at the apparent new direction potential for conventional and specialty directed at helping local production and including debt. That same year, by the CRTC requiring them to begin TV in Canada in the years ahead. But small market stations. CanWest, together with Goldman paying for local over-the-air signals for then, I’m optimistic by nature – I’ve Canadians enjoy hundreds of Sachs, bought Canadian specialty the first time. been waiting since 1967 for my innovative, original Canadian national,“broadcaster Alliance Atlantis for more Reasons for optimism: Broadcasters Toronto Maple Leafs to another regional and local television choices. This than C$2 billion. And Canada’s are lean and will be stronger when the Stanley Cup.

36 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

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Roma Fiction Fest Review

Rome Tries To Regain Mediaset’s Sonia Danieli, Rai Trade’s Sabrina Eleuteri and Mediaset’s Manuela TV Spotlight for Italy Caputi. “Colorful Mysteries in Black-and- White,” a special retrospective organized in collaboration with RaiTeche (RAI’s espite its history as the archives division), took a look back at “Hollywood of Italy,” Rome itself has never served as a the history of television drama. venue for film and television Overall, RFF organizers did a good festivals and markets. With job of staging the event in a difficult its money, movies, star city. Rome was at the height of the power and talents, the city tourist season and was also housing Dwas instrumental in creating several of delegates from over 25 nations on hand the world’s first film festivals (Venice to attend the G8 World Leaders’ 1932), television festivals (Prix Italia, Mediaset’s Clare McArdle, HRT’s Ranka Summit being held in L’Aquila, in the 1948) and even the first audiovisual Horvat, TLN’s Aldo Di Felice, Mediaset’s nearby Abruzzo Region. market (Milan’s MIFED, 1960). Until Manuela Caputi. now, however, Rome had never been Venues selected were within walking able to take the industry’s spotlight itself. significance of the event. “We decided to distance of each other, with Multisala add the Screenings because Italian fiction Basically, it had been great at helping Adriano and the larger Auditorium other cities, but not itself. needs to be a significant part of the international market and it should be Concilazione mostly used for the This is why the Roma Fiction Fest Pictured at one of the screenings are TLN’s competition program, and the University seen by the largest number of people Aldo Di Felice and Comarex’s Marcel Vinay (RFF), whose third annual edition took possible,” said Carlo Macchitella, director LUMSA facility reserved for business. place in early July at the Conciliazione of the new Screenings section. He added: accolades as opposed to rewards. The LUMSA facilities housed the market Auditorium, Adriano Multiplex Cinema “We want to be like the Los Angeles [TV] The competition had three additional side with 15 exhibition booths, including and LUMSA University in Rome, strove Screenings, and not in competition with those of RaiTrade and Mediaset, and a to become a destination event for the features: Special events, Parallel events [Cannes’] MIP-TV and MIPCOM. We and a Retrospective. large screening room that showcased new international and Italian television hope to serve as a venue where TV drama-producing industries. The Business aspect attracted over programs from Italian TV networks, executives can screen our fiction and including Sky Italia. Essentially, Rome is reclaiming the title weigh its value for their TV schedules.” 1,000 professionals from 20 countries, including Germany, France, Hungary, If there was one problem encountered at as Italy’s main venue for international In three short years, the Festival has show business, what with the demise of Argentina and Mexico. The “Business” the RFF, it was the overwhelming become a significant marketplace for consisted of Screenings, TV Pitching MIFED, the Milan Fair’s audiovisual Italian drama, and its growth is bureaucracy created by the competition market that was officially closed down in and conferences (including “Master aspect of the event. For the much smaller indisputable. This year’s edition, which Classes” with leading producers, writers 2005 (but in effect ceased to be viable in group of “business” participants, it would screened 75 titles from 26 countries and directors). 1986 after the retirement of its founder, (including 27 world premieres), drew have been better to have dealt with a Michele Guido Franci). A true Roman, 38,000 attendees, of which 3,000 were In addition to providing 40 pitching separate (and much smaller) entity. In Franci, who presided over the Milan’s from the press. “Italian fiction needs to and “Speed Dating” sessions aimed at terms of efficiency, business participants pairing up creatives and producers Fair from 1978 until 1984, would become more aggressive on the would have been better served with a commute weekly from Milan to his itching to wheel and deal, this year international arena,” said Macchitella, “business” badge that also extended native Rome (where his wife resided). “and we are hopeful that this will happen boasted appearances by Lost creator, writer and executive producer Damon privileges to the competition side. For the For RFF organizers, it seems as though with new stories, new actors and more trade press, it would have been easier to because Franci died in Rome in 1991, the competitive production values. We hope Lindelof and his colleague, Carlton have its own press office at the LUMSA, spirit of MIFED never truly left the that the TV executives who attended the Cuse, who serves as a writer and rather than a shared one with the Eternal City. Indeed, the organizers tried Screenings will begin to appreciate executive producer on the hit show. The to buy the MIFED brand name from [Italian drama] and start thinking of how duo were awarded with the “2009 Roma consumer press at the Multisala Adriano Milan Fair, only to be answered with an it can work for their TV networks.” Fiction Fest Special Award,” a prize facility. For exhibitors, it would have been unreasonable request for lots of money. bestowed upon them because of the much simpler to deal with a small market The RFF event was divided into two series’ “new and compelling narrative The RFF — one of the first major parts: Competition and Business. The organization than with the larger festival style.” Brazilian director Fernando structure, where at times people were initiatives from the newly established “Competition” segment was further Meirelles (City of God) was also on hand not familiar with program distributors’ Lazio Foundation for Audiovisual divided into three groups: International to speak about television production. Development that is being promoted competition for TV movies (winner, requirements, inquiries and support internationally by Piero Marrazzo, the Bavaria Film’s Buddenbrooks), miniseries mechanism. governor of the Lazio Region (of which (winner, BBC’s Burn Up) and continuing In order for the RFF to become a Rome is part) — is all about bringing in series (winner, Londynczycy from Poland’s viable international marketplace that new TV business to Rome. Marrazzo TVP); International competition factual could eventually replace MIFED, the explained that 75 percent of Italy’s cinema (winner, Poland’s Three Buddies), and television enterprises (some 1,100 documentaries and docudrama; and business aspect must become more companies) are based in Rome and Italian Competition for drama (divided appealing in terms of both organization elsewhere throughout the region. These into Fiction, soap and sitcom). and atmosphere. For example, the trade-only party jointly sponsored by employ 27 percent of Italy’s professionals The 35 awards were a bit overwhelming, (of which 150,000 are in Rome). with honors also bestowed for best actor RaiTrade and Mediaset on the garden This year marked the first-ever Roma and actress in leading and supportive roles, roof of the Visconti Palace Hotel, near TV Screenings, a new initiative that best director and best music, in what the Multisala Adriano, was much served to underscore the growing seemed a mishmash of recognitions and RAI Trade’s Sesto Cifola, Michele Lo Foco, appreciated by many participants. Carlo Nardello, RFF’s Carlo Machitella.

38 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 tvsaint_videoage_ing.indd 1 9/4/09 9:48 PM Sept_Oct_2009_Issue 21-09-2009 11:12 Pagina 40

mid-season replacements, and excluding cable networks). The CW officially kicked off the Fall programming season on September 8 with the second season U.S. Television of 90210. On October 23, NBC will close the launching pad with the premiere of the second season of Southland. It should also be noted that there is one hour less of primetime programming with the addition of NBC’s Jay Leno Show, which began on Networks Look Forward To a September 14 and airs five nights a week in the 10 PM slot. Let’s take a look at each of the major Good, Prosperous New Season networks’ new programs: ABC ABC has an aggressive slate of new BY JOCELYN BRANDEIS about $8 billion, mostly lowered by a Another trend Horan observed is the scripted series, including sitcoms and he new U.S. TV season is cheaper CPM at the upfronts that on proliferation of teen shows, like Fox’s dramas, as well as changes to the daily looming large. “Large” as in: average was five percent lower than in Glee (distributed by 20th Century Fox), lineup, primarily on Tuesdays and 1) The number of new series 2008 (to an average of $30 for a 30 and ABC’s Make It or Break It Wednesdays. With seven new shows announced. 2) The number second primetime spot). (distributed by Disney). “The CW of new shows with high- slotted, it’s already an improvement over On the international programming network is back to the WB days, ratings potential. 3) The last year’s two new shows. Stephen side, one word used to describe the new targeting teenaged girls,” he said, amount of commercial time McPherson, President of ABC U.S. TV season was “great,” as in great referencing new shows The Beautiful inventory held back by the broadcast Entertainment Group, recently stated at quantity of new shows and great quality. Life, the new Melrose Place, Life Tnetworks. 4) The praises heaped on the summer TV Critics Association Unexpected (all distributed by CBS More than 1,100 international program Press Tour (TCA) in Pasadena, CA, “We prospects by all the top network brass. Studios), and others. 5) The amount of money paid by buyers attended the L.A Screenings last have to remain ambitious. We have only international broadcasters to secure May. Some TV outlets sent fewer The third major trend in Horan’s view succeeded when we’ve been ambitious some of the new U.S. series. acquisition executives than usual, others is the “high-concept show, like ABC’s and taken chances and really pushed the (particularly those from Italy) sent more. Flash Forward (distributed by Disney) and limits….And there’s no question that Last August, CBS’ Leslie Moonves NBC’s Day One (distributed by NBC- production cost is a major issue given all told financial analysts that for the 2009- One of the buyers in attendance, Dermot Universal). Those are good for drawing in of the other economic pressures we 10 season, his network kept 35 percent Horan from Ireland’s RTE, offered the male audience.” Even though Horan have.” Even with sky-rocketing costs to of its commercial time, compared with VideoAge a few comments on trends, “focuses on drama” because he has had produce scripted shows, McPherson the 25 percent that was held back from mini-trends and predictions for the 2009- 2010 U.S. TV season. Horan was ecstatic little success of late with U.S. comedies, he believes “…you have to be looking at the upfront market during the previous each show differently, because there are about the full network slate, saying, “It’s was pleased that several of this year’s season. The last time CBS kept so much certain shows…that absolutely demand great. U.S. television is back in force.” In comedies have gone back to the multi- inventory was in 2002. that kind of cinematic feel and terms of genre trends, he noted that “the camera production model that, in his The commercial time that is withheld production value. There are other shows biggest genre, the one with the most view, adds the positive factor of a live is then sold on a short-term basis in that can be absolutely as successful or volume, is medical.” audience. “Laughter is contagious,” what is known as the “scatter market.” Horan said, “and if there is an audience in more so, but on a much larger scale “Actually,” he added, “there are When network executives believe that the studio, the actor will perform better because the creative doesn’t demand it.” probably too many medical shows. Three economic conditions will improve in and the laughter becomes natural.” Most of ABC’s new shows premiered the future, they sell less advance time of these new shows are all about nurses. beginning September 22, starting at 10 PM during the May upfront market (when Of those, the dark comedy drama, Nurse Horan’s final comment was about The with The Forgotten (Warner Bros the new season is announced). Jackie is my personal favorite. It has Jay Leno Show, which has been moved to prime time from its traditional late International TV), a Jerry Bruckheimer- According to Moonves, there has become a big hit for Showtime, and we night slot. “It will offer a certain produced, Christian Slater-starring drama been some improvement in the scatter have picked it up for a primetime slot amount of competition,” he said, “but which centers on a group of amateur market for the third quarter with sales this autumn, secure in the knowledge will be hugely dependent on securing detectives who solve cases of unidentified increasing by 30 percent from last year. that it has already been picked up for a victims. On September 23, beginning at 9 second season. E.R. has been laid to rest top guests, which is difficult to do five FOX boss Rupert Murdoch told nights a week.” PM, Modern Family (Twentieth Century analysts he is “quite happy” with FOX’s after a very long and successful run, so Fox TV Distribution) premiered, starring results and announced that his network there is definitely room for a new This year the main U.S. networks Ed O’Neill, Julie Bowen and Jesse Tyler was also holding more inventory back to medical drama but not six.” have added 36 new shows (including Ferguson in the multi-generational, single sell later in the season. camera sitcom about three very different Similarly, Disney-ABC’s Thomas families. At 9:30 PM, Cougar Town Staggs said that ABC is “well positioned (Disney-ABC-ESPN Television), stars for the scatter market,” having sold an Courteney Cox Arquette as Jules Cobb, a estimated 75 percent of the inventory at divorced 40-something woman attempting the upfronts versus 83 percent last year. to date a man 14 years younger than she. GE chief financial officer Keith Sherin Bill Lawrence of Scrubs fame produces the told investors that GE’s NBC would show. In the 10 PM slot came the new follow a similar track by retaining more series, Eastwick (Warner Bros International of its inventory for the 2010 season. TV), starring Rebecca Romijn, Lindsay Naturally, by reducing inventory, the Price and Sara Rue as three single women network brass hoped to create scarcity at living in Eastwick, a town in New England, the upfronts in order to increase their who discover they have magical powers. cost per thousand viewers (CPM) and, Eastwick is based on the John Updike novel at the same time, save more inventory and the 1987 feature film, The Witches of for the expected financial recovery. By Eastwick. On September 24, the new embracing this strategy the brass claimed drama FlashForward premiered at 8 PM. to be happy with less, about 13 percent Based on the novel by Robert J. Sawyer, the less, than the 2008-2009 advertising show stars Joseph Fiennes, Dominic revenues. This year, revenues reached NBC Universal’s new drama series Mercy Monaghan and Courtney B. Vance as hack (Continued on Page 42) 40 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

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U.S. TV (CONTINUED)

(Continued from Page 40)

Flashpoint will return for at least nine obviously is getting a Fall that mirrors more episodes, probably following the second season with So You Think Medium’s seasonal run. You Can Dance. If we can lock that in so we don’t have to completely re-jigger the CW schedule and throw everything up in the This Fall, the CW has revived an old- air, that will create a lot of stability.” classic, Melrose Place, with a whole new Glee, the dark high school dramedy cast of tenants, and brought vampires which Fox previewed earlier this Spring, and beautiful people to the forefront. premiered on September 9 at 9 PM, RTE’s Dermot Horan at the L.A. Screenings Skewing primarily young and female starring Matthew Morrison, Lea during all five nights of programming, Michele and Jayma Mays. Morrison Dawn Ostroff, the CW’s President of plays a 30-something new teacher Entertainment, said at the TCA, “In attempting to take his misfit musical three short years, we have carved out a students to compete at regionals. The Joel McHale, premiered on September niche in the marketplace programming Cleveland Show (Twentieth Century Fox 17 at 9:30 PM (for six weeks, then at to young women, and we feel that this TV Distribution), the spin-off of Thursdays at 8 PM) and is about a network is starting to resonate across all Family Guy, premiered on September group of community college misfits platforms.” Having eliminated Sunday 25 at 8:30 PM. Series creators Seth trying to get by. Aimee Garcia, star of NBC’s Trauma at the night’s programming, returning it to McFarlane and Mike Henry, Sanaa NBC Uni Int’l TV Distribution Latin luncheon As for mid-season replacements, NBC during the L.A. Screenings affiliates, the network is focusing on Lathan and Kevin Michael Richardson dramas during the weeknights, where provide the voices for the Brown family, has quite a few. The sitcom Chuck “our bread and butter is and where we recently moved to sunny California. returns on Mondays to replace Heroes at scientists who create an experiment where know we can migrate all of our viewers Fox has Human Target (Warner Bros 8 PM, Day One replaces Trauma millions of people briefly see visions of their across the schedule….I just don’t know if International TV), the new drama based (originals) in the Spring, and Parenthood future 20 years later for two minutes and we can do sitcoms that are loud enough on the DC Comics property, waiting in (NBC Universal International Television 17 seconds and it changes them forever. or noisy enough to get the attention that the wings as a mid-season replacement to Distribution) replaces Mercy on we’re able to get with the dramas and ABC currently has no new shows Glee. Chi McBride, Mark Valley and Wednesdays at 8 PM also in the Spring. with some of the reality shows.” listed as mid-season replacements nor Jackie Earle Haley co-star, and McG, On Thursdays, Community moves to 8 do they have current plans to re-enter On September 8 at 9 PM, the new Jonathan Steinberg and Brad Kern are PM and 30 Rock will air at 9:30 PM the movie or miniseries business. The Melrose Place premiered, starring an executive producers. On Tuesdays at 9 once SNL Weekend Update Thursday Bachelor will replace Dancing with the ensemble cast of 20-somethings, PM, Past Life (Warner Bros International ends. Southland repeats will replace Stars on Mondays mid-season, and a including veterans Laura Leighton and TV) will fill in for So You Think You Can Trauma repeats in the Spring on Scrubs/Better Off Ted combo will be a Thomas Calabro. Antics and melodrama Dance, when its season ends. Saturdays, and once football ends on mid-season replacement for Dancing ensue at the trendy Melrose Place Sundays, Marriage Ref (International apartment complex in this soapy ‘90s NBC with the Stars: The Results on Tuesdays. Distributor TBA) will air at 8 PM, with remake. The much talked about The NBC is debuting four new shows this a two-hour Celebrity Apprentice airing at Vampire Diaries (Warner Bros CBS Fall: The Jay Leno Show, Community, 9 PM. International TV), based on the book CBS has one of the strongest Mercy (NBC Universal International series, premiered on September 10 at 8 Overall, comedies like Accidentally on primetime line-ups for this Fall, Television Distribution) and Trauma PM, starring Paul Wesley, Nina Dobrev Purpose (CBS Studios International, including dramas, comedies and reality (NBC Universal International and Ian Somerhalder, as two vampire airing on CBS), Hank (Warner Bros shows. According to Nina Tassler, CBS Television Distribution). Even with brothers who desire the same female International TV, airing on ABC), Network President, at the TCA, “We are benchmarks to mark the progress, NBC classmate. And on September 16, the new poised, ready to grow. We’ve got the new has taken a big chance, with The Jay Brothers (Sony Pictures Television, drama about teen models, The Beautiful shows coming in at 10 PM, between Leno Show airing five nights a week for airing on Fox) and The Middle (Warner Life premiered at 9 PM. Produced by 52 weeks (with 46 original weeks) a year Bros International TV, airing on ABC) The Good Wife and The Mentalist….It’s Ashton Kutcher, Sara Paxton, Corbin going to do well. It generates billions of at 10 PM beginning September 14. It appear to be similar to what viewers Blue and Elle MacPherson co-star. takes an hour away from additional dollars for us in revenue between foreign have seen in the past, only refurbished. primetime programming each week sales and syndication.” CW will premiere Life Unexpected, the Same with Mercy and Trauma. Cougar story of a 15-year old girl who has night, will skew older, and ABC and CBS began the premiere of its new Town and FlashForward have potential. resided in several foster homes and is CBS have lined up some of their top Modern Family, screened in full at the shows on September 21 at 9 PM, CBS shows to air against it. If Jay Leno is then accidentally reunited with her birth May upfront is promising as well if it premiered the spin-off NCIS: Los Angeles going to survive, it’s going to be a tough parents as a mid-season replacement. No can gather viewers seeking comedy and (CBS Studios International), starring LL confirmed time period is known. choice for viewers. At TCA, Angela Cool J and Chris O’Donnell as Bromstad, President, Primetime not drama in its timeslot. Will a second undercover Special Agents in the high- FOX Entertainment at NBC and Universal dose of NCIS directly following the first tech Office of Special Projects. The same be enough to hold on to viewers, even Fox has two new shows premiering Studios Entertainment stated, “Based evening at 10 PM, Julianna Margulies and with a great ensemble cast? With this Fall, Brothers starring former NFL on our information, based on the competition from Desperate Housewives Chris Noth starred in the new drama, The star Michael Strahan, and the much- research and based on the numbers that Good Wife (CBS Studios International). hyped, musical drama, Glee. At the we see, this is going to be a long-term and Family Guy, how many times can Margulies plays a former attorney who TCA, Kevin Reilly, President of commitment for us. We feel really good one hear about dying patients and organ must go back to work to support her Entertainment at Fox, said, “It’s been a because for the viewers, it does give transplants in Three Rivers (CBS Studios family when her Chicago District long-term evolution of the network, them an alternative at 10 o’clock.” International, airing on CBS)? The Fall Attorney husband is caught cheating, and I feel that we’ve actually come to a Community (Sony Pictures lineup looks to be most promising with resigns from his job and is sent to prison. very mature place with how to construct International Television), the new Community, The Vampire Diaries and As for mid-season replacements, it….This year’s big step forward sitcom co-starring Chevy Chase and Melrose Place.

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falls under the DAET moniker, for which the world has been divided into four areas: EMEA-Canada-Russia Disney’s (Europe-Middle East-Africa), Latin Ben Pyne America, Asia-Pacific and Japan. For distribution, Pyne reports to Anne Sweeney, co-chair, Disney Media Networks and president, Disney-ABC (Continued from Cover) Television Group, and Alan Bergman, president, The Walt Disney Studios. complex structure of his group (which internally is referred to as the “matrix.” Being in charge of both Domestic You can navigate it only if you’re an Distribution (overseen by Janice insider). Marinelli) and Disney’s broadcast TV network’s (ABC) affiliate relations Having gotten past that hurdle, (under John Rouse), Pyne is in the best VideoAge was able to proceed with position to evaluate the opportunities topics as varied as Pyne’s long list of offered by the extra digital channels that responsibilities (including domestic came with the switch over from analog (U.S.) distribution, U.S. TV network’s (see “My2¢” on pg. 66). However, Pyne affiliate relations, local international would not be specific on the subject, productions and channels, and simply saying that the network is Ben Pyne and Courtney B. Vance of Flashforward international distribution), as well as looking at all options and that for the other subjects like broadband markets, moment, ABC and its own 10 stations broadcast TV and HD on cable. Considering the World Trade whether one or more U.S. broadcast are focusing on a new health and Organization’s (WTO) demand that network will eventually become cable In effect, ABC is using multiplex 7.1 lifestyle channel launched last April China open up its market to foreign- nets, and the future of TV trade shows and 7.4 in NYC and LA for its flagship called “Live Well,” which is on SD on made content, Disney’s Asia-Pacific area such as MIP and NATPE. station (in HD), mux 7.2 (or DT2) for “Live Well,” and 7.3 for a weather is expected to grow. Recently, WTO Now, let’s attempt to describe the channel. called on China to stop requiring “matrix.” According to various reports, The format foreign media suppliers to go through this operational structure was originally Because of Pyne’s success with local the costly process of distributing a creation of former head of Miami, format production through Disney’s content through Chinese state-owned Florida-based Disney Latin America, business really took Media Network Latin America division, entities. Disney has amassed a large amount of Diego Lerner (now London-based Currently, the Chinese government original Spanish-language content, president of Disney Europe, Middle off in Latin has a monopoly on the distribution of which, together with its Spanish- East and Africa under the Walt Disney media content. Foreign movies, for dubbed programs, could surely be used International group), created in order to example, have to go through the China America. The to fill a second-language digital channel. facilitate intercommunications across Film Group, which takes a large cut of ABC competitor NBC, for example, various Latin American divisions which the box office, charges content owners owns Telemundo, the U.S.’s second were initially vertically structured and model has been so high fees for prints and other largest Spanish-language broadcast TV therefore rather insulated from one distribution costs and limits the number network. To Pyne, this added another. Lerner’s “matrix” proved to be successful for of foreign films in theaters to 20 per opportunity is another of the many successful in Latin America and was year. The WTO rule, however, leaves options available to them, but the thus implemented at a company-wide Disney, that it is the Chinese government with the right level. company is for now focusing on to exclude movies that are objectionable licensing original Spanish-language for political or social reasons. This is Disney ABC-ESPN Television now looking to shows to U.S. Spanish networks such as (DAET) falls under Pyne’s auspices, something that, considering the family Univision, for series like Amas de Casa nature of Disney’s films, could further who reports to Sean Bratches, executive Desesperadas (Desperate Housewives), vp ESPN and ABC Sports, for domestic broaden into benefit Pyne’s company in China. For which Disney later sold to Mexico’s TV example, Warner Bros.’ blockbuster The responsibilities concerning ESPN. Azteca. Pyne’s international TV distribution Europe and India. Dark Knight wasn’t allowed to be shown In Pyne’s view, “the format business in China, basically shattering all WB’s really took off in Latin America.” This is ancillary opportunities. While in China true for two main reasons: the retail is the country’s main audiovisual availability of the right kind of product market, in India television offers the key and strong business relationships. The outlet. model has been so successful for Disney In terms of revenues per geographical that it is now “looking to broaden into area, Pyne would not divulge their other territories, like Europe and India.” allocation for competitive reasons, Pyne explained that India represents a saying only that Europe is their largest significant challenge because of the four market outside the U.S. Former and languages spoken in the country, but current executives with other studios the experience acquired with the Latin reported that, in general, including pay American local productions will serve and excluding the U.S., EMEA could the company well (Disney has licensed generate anything from 50 to 65 local versions in four different percent for studios, while in Latin countries: Argentina, Brazil, Colombia America it could vary from seven to 12 “and U.S. Hispanic). Just recently, percent (with the higher figures being Disney Media Network Latin America generated by Warner Bros. and Disney). announced the launch of a local version Canada could represent anything from of ABC Studios’ Grey’s Anatomy (A five to 10 percent and Asia Pacific 15 to Corazón Abierto) in Colombia. The 20 percent, with Japan generating the international distribution of all local lions share. Video-Age’s Dom Serafini interviewing Pyne at his Burbank office Spanish and other language versions of Recently, DAET scored another big Disney’s shows rests with the company. win with the sale of ABC Studios’ (Continued on Page 46) 44 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

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space, it will be critical for them to think this through and make sure that Disney’s their value proposition is equal to or better than the current distributors.” Ben Pyne Finally, Pyne broached the touchy subject of TV trade shows, prefacing that for Disney, MIPCOM “is the key (Continued from Page 44) selling opportunity for the international TV market, where a lot of business is drama FlashForward to U.K.’s Five done. However, as we do with our network (while ABC Studios produces business, markets such as MIP need to for television, Disney Studios is for be continually re-evaluated by the theatrical releases). Perhaps because of organizations.” the series’ British stars Joseph Fiennes and Jack Davenport, Five reportedly Pyne concurred that by simply outbid BSkyB by paying £16.5 million changing hotels in Las Vegas and (U.S.$27.3 million) for 13-episodes, making cosmetic changes, NATPE will which comes to $2.1 million per not solve its problems. He then episode, much more than the $1.5 proceeded to give the example of Cable Connection, which coordinates a million per episode reportedly paid by Ben Pyne hosting Disney’s International Upfronts during the L.A. Screenings Channel 4 for Disney’s Desperate market that revived the cable TV Housewives in 2006. Five’s license fee market sector by combining some 11 was estimated based on its £165 million Up to 90 percent of consumers, and we have always taken a dying events (including CTAM, CAB, (U.S.$273 million) annual program position of remaining platform agnostic Kaitz Foundation dinner and NCTA budget and Five’s CEO Dawn Airey’s when it comes to how we license and itself) into one big spring and one big comment to C21 Media that the distribute our content, provided that fall market (the latter, will be held network spent 10 percent of its budget American viewers the quality of the experience is always at October 25-30, 2009 in Denver, on the acquisition of . FlashForward a high caliber and that we reach Colorado). Reportedly, the Five deal for exclusive agreement on business terms. Here in Ben Pyne, who joined Disney in 1992, U.K. terrestrial (Five) and digital rights still watch the U.S., we not only support is president, Global Distribution, Disney for Fiver and Five USA also includes a traditional cable, but also were early new run of Grey’s Anatomy and some supporters of the satellite companies, Media Networks. Promoted to this role in movies. broadcast networks DirecTV and Echostar, when they first 2007, he is responsible for the Pyne attributes this success with launched and more recently the telcos, international distribution of content international distribution to the Verizon and AT&T, and with each new produced by The Walt Disney Company to “Disney difference,” something that “we regularly. entrant, the overall multichannel all platforms, including VoD and work hard at,” and that can be universe has increased. And indeed they broadband markets. He also oversees U.S. summarized in four points for all offer some form of triple play or in distribution of the company’s television programming distribution: Content, and . some cases quadruple play. Quality of content (handled by Disney-ABC Domestic managing windows, new media and the consumer experience remains a Television), international content This latter brand was comprised of a support. critical component, I can’t stress that distribution (through Disney-ABC-ESPN group of channels that had its own set enough. The distribution partners In regard to the statements by other of complexities. Formerly Fox Kids Television) and Disney-ABC International network’s officials that suggest at least [highlighted above] have invested Television, and is responsible for the ABC Europe, Jetix was acquired by Disney, heavily to make sure their consumer one U.S. TV terrestrial network will which operated other Jetix channels in Television Network’s Affiliate Relations eventually migrate exclusively to offering is the best it can be. For any department as well as the Disney & ESPN Latin America. Jetix’s programming new entrant into the video distribution cable/satellite, Pyne said that up to 90 blocks also aired in the U.S., India and Media Networks Affiliate Sales and percent of American viewers still watch Japan on Toon Disney channels. Marketing team. broadcast networks regularly, and that Furthermore, there is ABC Kids, a four- Pyne reports to Anne Sweeney, co-chair, even though 82 percent of the U.S. hour block broadcast on Saturdays on Disney Media Networks and president, TVHH watch television through some the ABC TV network. Last February, Disney-ABC Television Group, and Alan form of subscription, the remaining 18 the Jetix block was rebranded as Disney percent that receive broadcast TV XD in the U.S.. By last September, Bergman, president, The Walt Disney through aerials still represents a large Disney had retired the Jetix and Toon Studios. For domestic responsibilities portion of viewers that need to be Disney brands and replaced them with concerning ESPN, Pyne reports to Sean served. Disney XD or the Disney Channel. Bratches, executive vice president, Sales Pyne also touched on the subject of However, in some markets, such as the and Marketing, ESPN and ABC Sports. the Disney channels, which, with the“Arab world, the company is not He also works closely with Burbank-based advent of digital terrestrial television, eliminating the Toon Disney brand. Andy Bird, president, Walt Disney are multiplying like rabbits… sorry, In terms of broadband, Pyne International, because the latter is mice. mentioned the success of ABC.com, responsible for targeting new businesses Pyne and his international team which managed to not only gain internationally (outside the U.S.). works closely with Disney Channels eyeballs without cannibalizing Disney’s Prior to this role, Pyne served as broadcasts, but lower the demographics Worldwide, led by Burbank-based Rich president, Disney & ESPN Networks for its shows to the 20s on average Ross, on the company’s owned portfolio Affiliate Sales and Marketing, a role he (down from the ABC primetime of 98 channels/feed available on was promoted to in 2005. terrestrial digital, cable and satellite in broadcast’s median age of 49). 163 countries and 32 languages. Pyne In regard to IPTV serving as a Pyne has an MBA from Harvard handles the distribution for the broadband-based (Wi-Fi, Wi-Max, Business School. He was also Orchestra channels, while Ross oversees their cable, DSL and satellite) TV-viewing Manager of the New Jersey Symphony operations and content. The platform experience, Pyne had this to say: from 1985-90 (he plays classical guitar). brands are: Disney Channel, Disney “Delivering TV content using IPTV He currently resides in New York City XD, Playhouse Disney, Disney opens up another alternative and very with his wife and two sons. Cinemagic, Hungama, Radio Disney interesting distribution outlet to reach Joseph Fiennes in FlashForward

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Australia’s WIN Television Celebrate Its 30th Anniversary

ustralian network, WIN Television, celebrated 30 years as the largest TV operator in Australia under the leadership of Bruce Gordon. For its 30th birthday, WIN CorporationA threw its TV division an elaborate black-tie dinner in its Wollongong home-base on August 27, where among the 300 attendees were Lachlan Murdoch, David Gyngell and Glen Kinging. A second, more private dinner celebration for some 60 invitees was held on September 9 in . Based in Wollongong, just South of Sydney in , WIN Television originally launched on Bruce Gordon with Silvio Berlusconi March 18, 1962 as WIN-4, a single in 1997 station owned by a group of local businessmen under the auspices of Australia and purports a 17.1 audience Television Wollongong Transmission share nationally, making it third in the Limited (TWT/WIN-4). ratings. All three networks produce and Today, WIN Television owns and import their shows, allowing WIN operates 28 stations, broadcasting to Television to fill its schedule with shows more than 42 percent of Australia’s 8.5 that are not part of their normal million TV viewers across six states, business deals. including Wollongong, Canberra, Bruce Gordon by Al Hirschfeld WIN Television is involved in several Ballarat, Tasmania, Mildura, Perth, joint partnerships, including Tasmanian Adelaide and the Southern Queensland Digital Television with Southern Cross markets, spanning the largest currently produces and licenses several also an affiliate of Broadcasting since 2003, and Mildura geographical area in the world. dozen shows, including sports, drama, (Channel Seven), owned by Sydney- current affairs, comedy, reality, game Digital Television with Prime Television As the only 100 percent Australian based Seven Media group, broadcasting show, family, lifestyle, documentary and Limited since 2006. WIN is part owner owned commercial network, WIN to and holding an of both joint venture broadcast licenses Television produces the most talk genres. Titles licensed include Two audience share of 23.9 percent and a Half Men, The Ellen Degeneres where Channel Ten is offering free-to- comprehensive news service in Australia, nationally, making it the leading air digital programming. with 18 individual 30-minute local Show, Cold Case, 60 Minutes, Today, network in Australia. In addition, WIN WIN, which refers to its original WIN News bulletins each weekday and THIS Afternoon, Susie, Australia’s Television, an affiliate of Network Ten WIN-4 station and is an acronym for one 60-minute newscast seven days a Funniest Home Videos, Getaway, Alive (Channel Ten), which is owned by Ten Wollongong New South week pooling information from 28 and Cooking, The Saddle, Millionaire Network holdings, serves Western Wales, was purchased in 1979 from newsrooms and bureaus across the Hot Seat, The Apprentice, Missing Persons country. In addition, WIN Television Unit, Trouble in Paradise, Random Acts of Kindness, Fishing Australia, Postcards Australia, The Footy Show and Wide World of Sports. Self-produced titles include Susie, The Saddle Club, Fishing Australia, Alive and Cooking ACA Perth and Adelaide, Postcard Australia. WIN Television is an affiliate of three major commercial television networks in Australia: , Seven Network and Network Ten. WIN Television is a Nine Network (Channel Nine) affiliate in Queensland, New South Wales, Victoria, Capital Territory and Tasmania. Nine Network, which is based in Willoughby and has been broadcasting for more than 40 years, is owned by PBL Media and holds an audience share of 22.6 percent nationally. WIN Television is Gordon delivering the commemoratve speech Bruce Gordon at a gala event

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Rupert Murdoch by then-head of exhibition and land development. By the time he was 50 and decided to ’ international Employing more than 1,400 staff in purchase WIN, Gordon had already distribution arm, Bruce Gordon, and Australia, WIN Television was the first spent 23 of his 35 years at Paramount renamed WIN Corporation. WIN regional broadcaster to transmit in high Pictures as head of its international sales Corporation, which is privately held by definition digital service (SD Digital division and knew how to create and Gordon’s Oberon Broadcasters, is now Channel 8 and HD Digital Channel schedule programming for a network, comprised of several successful and 80), one year in advance of Government not to mention his plethora of diverse business operations, including regulatory requirements. Along with its programming contacts. (Continued from Page 48) television and radio broadcasting, pay local programming, WIN-4 had Under Gordon’s leadership, WIN television, film and television increased its viewership to 63 percent of expanded, and in 1984, became the first production, telecommunications, the coverage area, only to be sold in regional television station to transmit in transmission services, media sales, film 1979 to Bruce Gordon. stereophonic sound. In 1989, WIN

BRUCE GORDON, THE LEADER A self-made man, Bruce Gordon had very humble beginnings from the time he was born in 1929 as the only child of Madge and Ted Gordon. Leaving the Cleveland Boys High School in Surry Hills, Sydney,Australia at age 14 to join the Gang Show, a group of artistically gifted Boy Scouts who traveled around Australia, Gordon performed the magic tricks he’d learned, perfected and improved upon as a child.Years later, upon landing a gig at Sydney’s Tivoli Circuit theater (“Bruce Gordon’s Magical Moments” in Gaieties of 1952), he soon moved on to handling the advertising and promotion, and later stage, house and business management, for the theater.At the time, Gordon was friends with several soon-to-be moguls, including Kerry and Clyde Packer, sons of Sir Frank Packer (owner of Channel Nine), and Rupert Murdoch, who then owned the Adelaide News and was instrumental in helping Gordon Bruce at two years old promote his shows in Adelaide. From managing a theater to having one named after him took a few years, but in 1988, the “Bruce Gordon Theatre” was introduced at the Illawarra Perforning Arts Centre in Wollongong by the Prince and Princess of Wales. However,his career might have ended there at age 26 were it not for a budding friendship between Gordon and Bruce Gyngell, who worked at Channel Nine and persuaded Sir Frank Packer to recommend Gordon for a position at Desilu Studios in California. In 1962, Richard Dinsmore, v.p. of Desilu Studios (which produced I Love Lucy), was looking to hire a regional sales executive in Australia, and hired Gordon because of Sir Frank Packer’s recommendation. Knowing little about the burgeoning television era, Gordon took the job and Gyngell coached him on the television business. When Desilu was sold to Paramount in 1968 (then under Gulf & Western’s parent company), Gordon stayed on, becoming the studio’s managing director for the Far East. Having been elected to the board of the TV corporation a year later, Gordon was working for the same company that ran the Channel 9 TV stations and the company’s theaters in Sydney and Melbourne. In addition, Gordon also served as director for the Board of Academy Investments, which controlled a Perth theater chain and was in charge of building the Perth Entertainment Centre. By 1972, Gordon had been promoted to v.p. of International TV Sales for Paramount Studios, where, in 1974, he became president of International TV Sales and re-located his family to New York under Barry Diller’s ownership until 1985, when Gordon’s office was moved to Bermuda. Gordon remained with Paramount until 1997, after Sumner Redstone had purchased Paramount from Diller. Now let’s take a look back at how Gordon came to own the WIN Corporation. In the mid-1960’s, Gordon began purchasing shares of Channel Ten as a family investment. With his father Ted at With his mother Madge in Coogee Beach When Rupert Murdoch decided to divest his company of the WIN-4 TV station in 1979 their garden at Surry Hills in favor of taking full control of Channel Ten,Gordon traded his stock in Channel Ten to Murdoch for WIN-4. From its base in Wollongong and using the knowledge he’d gained over the past years, Gordon built the WIN Corporation empire. WIN Corporation holds a 24 percent stake in the football club, the St. George Illawarra Dragons, and a 50 percent stake in the Australian Poker League. Carrying on the family legacy, Gordon’s son Andrew was hired as the manager of i98 FM in the mid-1990’s, an adult contemporary station in Wollongong, and has now progressed to become chairman of WIN Corporation. When he’s not traveling around the world or managing his business properties, Gordon enjoys being an accomplished sailor and attending Dragons’ games when in Australia. Gordon is married to Judith Bland, owner of Eaton Films London.Their daughter Genevieve begins her first year at university in England in October. One anecdote that exemplifies Bruce Gordon’s leadership comes from VideoAge’s editor Dom Serafini:“During the L.A. Screenings — which years ago were more relaxed and leisurely than the hectic event that is today —I’d invite Bruce to Italian restaurants in Westwood. I’d make sure that the restaurant had a few good Australian red wine labels, knowing how fond he is of such wines. Upon looking at the bottle he’d invariably send it back, saying that it was too expensive and, instead, he’d order a more affordable one, with a great relief for my budget.”

With Queen Elizabeth II With Lady Diana

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introduced digital television to its 2008 and comprised of all channels affiliates, including its partnerships with from Australia’s free-to-view Tasmanian Digital Television and broadcasters, including ABC, SBS, Mildura Digital Television. Seven, Nine, Ten, Prime, and Southern On May 30, 2007, Southern Cross Cross. More than half of Australian Broadcasting sold its NWS station to homes now watch digital TV with the WIN Corporation for AU$105 better picture and sound and more million. Two weeks later, on June 8, (Continued from Page 50) 2007, Sunraysia Television sold WIN channels, including the new Freeview Corporation its STW Perth (a Nine channels and WIN Television’s new expanded into southern New South Network affiliate) for AU$163.1 GO! Channel. The digital television Wales, where it had an affiliation with million. Originally, STW Perth was switch over is to be completed by the Nine Network, and purchased new going to be sold to PBL Media, owner end of 2013, and Freeview is helping offices in Orange, Wagga and Canberra, of Nine Network, for AU$136.4 educate consumers by explaining the where additional stations were also million, but Sunraysia’s directors and process that consumers will need to shareholders favored WIN because they launched. In 1990, WIN acquired Star follow in order to continue receiving TV in Queensland and created a owned 48.34 percent of Sunraysia. free commercial television. In addition, Network Nine affiliate. In 1994, Vic As part of Australia’s switch from Freeview is working with the Digital Television and TasTV, both divisions of analog to digital television, WIN Switchover Taskforce to advise ENT Limited, a Launceston-based Television is a founding member of company, were incorporated into WIN’s Freeview Australia, the not-for-profit Government on policy settings, network and ultimately renamed WIN organization supporting free-to-air implementation and issues connected with the digital switchover. Television. In 1998, WIN made WIN Television became Western digital television service launched in another purchase to further its Australia’s second commercial television expansion, of MTN-9 Griffith and its network with a combination of Nine AMN-31 station. On March 26, 1999, Network and Network Ten programming. Golden West Network (GWN), a Seven Network affiliate, had previously held a monopoly in the area and remains the area’s most watched network with approximately 65 percent of the prime time audience. Also in 1999, WIN purchased SES-8 in Mount Gambier and RTS-5a in , both in South Australia. Known as WIN South Australia and featuring news bulletins, supplementary licenses were granted under Section 38A of the Broadcasting Services Act to allow the network to launch additional channels in 2002: MGS (Mount Gambier) and LRS (Riverland), known as WIN Ten. At the turn of the millennium, WIN Television Bruce Gordon with HSH Prince Albert of Monaco

WINNERS TO CELEBRATE There were two celebration dinners, one in Wollongong for 300 people and one in Sydney for 60, including business and media guests and clients. Esteemed guests included David Gyngell and Leila McKinnon, Lachlan Murdoch, Len Sampson, Jeffrey Browne, Glen Kinging, Harry Miller, David Aspinall, John Atanascovic with wife Felicity, and Andrew Loveridge with wife Alex. From the WIN board, Max Cowley and his wife Robin, and from the Dragons, chairman Warren Lockwood, CEO Peter Doust, coach Wayne Bennett and player Wendall Sailor. It was a heartfelt thank you to all clients and business colleagues from the WIN family and key staff, so all major businesses and media were represented. WIN’s news anchors Geoff Phillips and Kerryn Johnston and sports presenter Amy Taylor hosted the evenings, and the WIN Wollongong Orchestra played throughout with Sarah Moir on solo violin. Bruce Gordon is the chief sponsor for the orchestra and it is one of his passions to support the local arts. The Gordons are also fond of their rugby league team, the St.George Illawarra Dragons, which won this year’s Minor Premiership Shield and Club Championship. WIN Stadium, Wollongong

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WIN’s 30 year celebration of Bruce Gordon purchasing WIN Television in 1979 • In 1974, it became the first orn in Sydney, Bruce Gordon’s links to Wollongong company in Australia to make a go back to his childhood, videotaped drama series in color when his family spent with Silent Number for the Nine summers holidaying at Network Australia. Stanwell Park. Later, the • On March 1, 1975, it became one family bought a weekend of the first stations in Australia to home at Corrimal. When he visited B broadcast in color. Wollongong to perform his magic act with the “Gang Show,” he was billeted • It was the first commercial with a family at Unanderra. television station to produce In 1962, the Hollywood based Desilu national and international music Studios offered Bruce Gordon the job of video clips for Festival Records with running its new offices in Sydney, artists such as Olivia Newton-John. responsible for Australia and South East Asia. Gordon went on to become vice- • First regional station in Australia to president of International Television co-produce a telemovie with a Sales for Paramount Pictures. Canadian production company. The Gordons: Genevieve, Bruce, Judith In 1979, Gordon was working for • First regional station to produce live Paramount Studios when he came variety tonight shows in Australia. broadcasting giant. Today, WIN has 28 across an opportunity he couldn’t resist. on the radio industry, taking charge of • Aired the first aggregated services in He had been selling programs to stations around Australia including Wollongong’s two double 0 in 1987, Australia on March 2, 1989. independent station WIN-4 in Channel 9 in Perth and Adelaide, which was later rebranded to and Wollongong for four years, and on one forming Australia’s largest terrestrial is the Illawarra’s number one station. • WIN Television is one of the only particular visit 30 years ago, his friend Television network, reaching 8.5 Later, the Gordons established the state networks that continues to produce Rupert Murdoch, who was the owner of million viewers in all six states and four of the art radio station C91.3FM in programs from studios in its the station at the time, agreed to sell capital cities including the nation’s Sydney’s South West suburb, regional headquarters: Top Rated Bruce a controlling interest in WIN TV capital, Canberra. Campbelltown. programs include Fishing Australia Channel 4. WIN has further expanded by seizing The latest development in the WIN hosted by Rob Paxevanos, Postcards For WIN, the 80’s and 90’s brought opportunities in areas offering synergies media empire is the new digital channel Australia hosted by Scott McRae quick and expansive growth. with the core television broadcasting GO! Marketed to a younger viewing and Alive and Cooking hosted by Government-imposed television aggre- business including satellite Pay-TV audience, GO! has been the most James Reeson. gation delivered metro station operator Selectv, telecommunications successful multi-channel ever to launch, programming to regional centres and and transmission providers Digital breaking records in all markets and • Providing the most comprehensive enforced the change from VHF to UHF Distributions Australia, Broadcast playing a major part in the success of news service in Australia, WIN frequencies. All of this change was a Transmission service provider BTS and digital . Television produces 18 individual massive gamble, but the hard work Award winning Film and Television Bruce is proud of his two children, 30 minute WIN News bulletins fortunately paid off. production company, Crawford Andrew and Genevieve, who have every weekday and one 60-minute Productions. The WIN network grew across the inherited a passion for the media bulletin seven days a week making country and established itself as a Locally, the Gordon family also took industry. Andrew has risen through the use of its 28 newsrooms and ranks of the company and is currently bureaus across the country. chairman of WIN Corporation, while Genevieve has recently graduated as Dux of her Bermuda high school and will study film and media in the U.K. while also working at WIN Television during holidays. Gordon holds a unique position of influence within the global media industry and remains Australia’s most successful television salesman, known as the “dean” of international sales.

WIN’S FIRSTS

WIN Television network has always been an innovator in the broadcasting industry and continues this trend with constant development. WIN Television has a proud tradition of firsts with a Bruce Gordon (standing center) in the record of achievements. The Gordons: Judith, Bruce, Genevieve, Andrew VideoAge’s February 1985 issue featuring the heads of the U.S. Studios’ international divisions

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actually viewed. The rental business has its own sets of generics. For example, revenue sharing arrangements (which “Ultimates” could account for 85 percent of total Game U.S. movie rental fees) offer lower DVD costs to rental stores (something like $8 per disc) but studios share up to 45 percent of rental fees from customers, (Continued from Cover) while stores benefit from day-and-date release. Another generic is to charge marketing and prduction executives rental stores up to $65 per DVD and providing for more incisive forecasts. then have them wait for 28, 30 or even The accounting departments develop 45 days after the DVD release before the matrix with generics for over- they can rent them. Usually, in terms of indexing and under-indexing estimates, forecasting, the rental business represents while sales people supply the sales 20 percent of the DVD sales business. projections. These types of “ultimates” After the DVD release, studios’ are also referred to as “income forecast” accountants fill the pay window entry by independent film companies, and are Today’s ultimate forecast is sunny and clear with no chance of rain. and here the conversion rate from the unique to Hollywood, thus indicating BO could be lowered to 15 percent. This the high level of sophistication that window has several generics: T-VoD (for show business has reached in the U.S. transaction) and A-VoD (for advertising- rate can reach anywhere from 50 percent Looking at movies budgeted at $150 To understand the set of difficulties supported), which come up 30 days after to over 100 percent. For example, the million and above like The Dark Knight that accountants face in meeting this the DVD release but can also be day- movie Sex and the City grossed $152 ($185 million), for instance, the U.S. challenge, consider that ultimates are and-date with DVD. Plus, PPP followed million in the U.S. and Canada’s BO and Canada BO was $533 million, initially prepared when a movie is still in by premium pay and subscription TV, and sold $80 million worth of DVDs while the DVD release generated $253 the project stage and then used to about 90 days after DVD. For example, (53 percent) in the “domestic” territory. million, with 12 million units sold. One evaluate whether or not the project considering that Sex and the City was sold The Universal Pictures-distributed The might assume that Warner Bros. should be “greenlit.” They’re used to to subscription pay (to E!) for a reported Fast and the Furious (with Vin Diesel) accountants had assigned this movie a estimate the returns for potential $7 million (the premium rights went to generated $145 million in the U.S. and conversion rate of around 50 percent investors and to determine talents’ Warner Bros’ HBO), one could see how Canada and sold $132 million worth of from BO gross and 18 percent from the profit participation. Based on the initial the $23 million (15 percent of BO) DVDs (91 percent) domestically. On number of BO tickets sold. ultimates, a studio can decide whether it estimate is not too far off. the other hand, movies like Old School On the subject of ultimates, a studio wants to buy the “opening insurance,” Free television, most commonly (with Will Ferrell), grossed $75 million executive was only prepared to and pay the stars’ large amounts of called free-to-air or FTA, also has a 15 at the U.S. and Canada BO and sold comment that the ballpark estimate for money (the concept behind this percent BO conversion rate and two $83 million worth of DVDs (110 a $200 million BO movie is that it will “insurance” is that stars help draw the generics: network (18 months after pay- audience in for the crucial opening percent) domestically. sell five million DVDs at $20 each, and that 40 percent of that will go to the TV) and syndication. Then there are weekend, and after that, the movie can For the DVD release of the original international rights with generics that depend on word-of-mouth). The Fast and the Furious, Universal studios. Theatrically, studios average 50 percent of the BO (with higher duplicate the domestic ultimates’ matrix Not that the ultimates updates get initially shipped four million units. The with BO total grosses usually estimated studios reached that figure either by percentages during the first weeks). A any easier — estimates have to be $50 million BO could represent close to at double the domestic counterpart prepared even before a movie is released pricing the “suggested retail price” at (e.g., domestic BO gross of $100 $20 (the majority of DVD releases are one million DVD units sold with theatrically in order to program the 50,000 returns. Unsold DVDs go back million for international gross of $200 DVD sale, which for studios occurs priced between $15 and $20. What a million). However to benchmark DVD title may actually sell for at retail level is to the studios and are then recycled. anywhere from 100 to 200 days before According to American DVD business sales are used BO grosses on a territory entirely up to the retailer), estimating the film is first released in movie houses expert Tom Devlin, the low-cost DVDs gross sales at $70 million, or by (Continued on Page 58) (in technical parlance, this length of seen at discount stores don’t come from assuming that the forecast 20 million time is referred to as ARR or, Asset studios, but rather are previously viewed BO tickets sold in the U.S. and Canada Rollover Rate). For the independent discs from rental stores and overstocks Eight countries (the average BO ticket price is $8) would DVD release, the ARR can be as short from retail stores (above from the have a DVD conversion rate of 18 as 45 days after theatrical release, but allowed returns) resold via brokers. provide up to 80 the standard is between 60 and 90 days. percent (about 3.5 million DVDs sold). Together with those assumptions came a Nowadays, the matrix for BO grosses The basis for the ultimates is the film’s to DVD sales conversion rates are made percent of budget and other generics, such as star set of generics including the “return rate.” In the past, studios assumed 50 more complex by the fact that there are power (actors are “graded”), general three types of DVD sales: retail (sell- International TV budget and movie genre (e.g., comedy, percent return and usually got around 20 percent. Nowadays, studios set the through, from which studios assume a action, drama, teen, etc.). From those conversion rate of at least 50 percent from revenues (Canada, “allowed” returns much lower. For generics the studios can begin forecasting BO grosses and 18 to 20 percent of BO example, Universal allows only 15 the gross take at the U.S. and Canadian tickets sold), electronic rental (via the U.K., Germany, percent returns, while Warner Bros. and Box Offices (BO) and, subsequently, the Internet) and physical disc rental (e.g., Disney go as high as 20 percent. In revenues from various windows. stores like Blockbuster, mail services like Italy, France, addition, Universal studios’ accountants Conversion rates from gross BO Netflix and kiosk dispensers like Redbox). took into consideration that up to 85 Australia, Japan intakes to DVD sales vary from studio to As for the electronic rentals, studio and are fervently guarded to the percent of DVD sales occur in the first six weeks after their release. participating stores are being fitted with point where former studios’ account kiosks from which customers can and Spain). Some executives are reluctant to even broach For Sex and the City, Warner download new release DVD titles to the subject. Reportedly, Lionsgate has the Bros/New Line shipped four million portable hard disk devices (such as commercial series highest conversion rate of all. Conversion DVDs, thus, as generics, they could memory sticks or the Apple iPod). From rates of DVD sales in relation to BO can have used a conversion rate of 53 their devices, consumers transfer the could fetch as much have generics either in terms of dollar percent from gross BO and 18 percent movies along with security encryption amounts or number of tickets sold. from number of BO tickets sold. As in, onto a set-top box that stores their as $3 million per For movies with budgets between $25 the same generics used by Universal personal account information; no million and $60 million, the conversion Studios’ accountants. payment is required until the title is hour worldwide

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studios, theatrical ultimates are good for known entity both in terms of revenue approximately four years, then they and deficit carried. “Ultimates” switch to a cash basis in U.S. syndication. At the international level, each Classic Media’s Doug Schwalbe noted territory has its own set of rules for the Game that calculations at his company are based pay window (such as Sky), online rights, on the life of the copyright, or three full FTA sales, DVD-box, and ancillary cycles –– something around 20 years. rights. For example, while most For a TV series, the most important (Continued from Page 56) territories use BO grosses to set pay-TV (and complex) income forecast comes fees, France uses admissions. from the international sales. There are by territory basis. Worldwide grosses are According to Irv Holender of Los times, however, when shows such as to be considered when residuals and Angeles-based The Fremantle Corp., for M*A*S*H and The Cosby Show, comedies bank interests are factored in. the past three years, international TV sales that generally do not do well in the have been the most predictable forecasts. The final entries are the generics for international marketplace, have each ancillary rights, such as hotels, colleges, generated $1 billion in U.S. sales. In these Eight countries provide up to 80 airlines, ships, merchandising and music cases, domestic sales were the driving force percent of International TV revenues publishing (e.g., Hannah Montana). of their ultimates. At the U.S. level, (Canada, U.K., Germany, Italy, France, However, the utimates don’t end with income estimates come from secondary Australia, Japan and Spain). In the past, Classic Media’s Doug Schwalbe the first life cycle of a movie (which could TV licensing (syndication), online limited each hour of a commercial drama series last from three to five years), but continue rights, DVD-box set, and ancillary rights. was valued at $1 million worldwide (non Nowadays, however, some commercial forecasting subsequent sales cycles and Naturally, the initial sale is to the commercial, PBS-style TV series could series (such as Disney’s FlashForward) finally a film life as library material. For commissioning TV outlet, which is a go as low as to $300,000 per episode). could fetch as much as $3 million per hour worldwide (see story on pg.46). In addition to conducting interviews with six executives, the story was supervised by Tony Friscia, an entertainment industry VideoAge’s December executive and consultant, who has created th and maintained ultimates at Twentieth Miracle on 75 Street Issue. Century Fox (both theatrical and television), Columbia Pictures Television and Lorimar Home Video. Friscia has overseen the ultimates of such classic shows as Star Wars, M*A*S*H, Barney Miller, and Covering the German and Singapore markets the Jane Fonda workout videos. with a single issue is nothing short of a miracle, After reviewing the story Friscia but VideoAge pulls it off by being at both the: summarized: “The individual film forecast computation method or ultimates, amortizes film costs (production costs, participations, residuals, prints and other German Screenings in Munich exploitation costs) in the same ratio that current gross revenues bear on anticipated or ultimate total gross revenues. That Asia TV Forum in Singapore method requires the determination of a fraction. The numerator being gross & revenues from the film for the current period and the denominator being the Plus: ultimate total gross revenues from exploitation in all media and all markets. We check-in with the key buyers in Latin America. Due to the uncertainties in the estimating process, ultimates are reviewed periodically and are revised when necessary to reflect VideoAge’s December Issue will make all your dreams come true more current information. Unamortized and prepares you for a prosperous 2010! film costs are compared with Net Realizable Value (NRV) each reporting period on a film-by-film basis. NRV is ultimate revenue less ultimate costs. If estimated ultimate revenues are not sufficient to recover the unamortized film costs, the unamortized film costs are written down to NRV. In other words, you are required to take a write-off and recognize the loss. A write-down may be required even before the film is released.” Now, one can appreciate the importance of forecasting, but it is not an art limited to Hollywood’s film and television production. Other industries, such as fashion and textiles, use forecasting extensively since they have to predict, often five years in advance, which color will eventually be popular VideoAge, 216 E. 75 St., NY, NY, 10021 - Tel. +1-212-288-3933 www.videoage.org so that fabric manufactures can gear up for the new colors that designers will be utilizing.

58 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 Sept_Oct_2009_Issue 21-09-2009 13:01 Pagina 58

studios, theatrical ultimates are good for known entity both in terms of revenue approximately four years, then they and deficit carried. “Ultimates” switch to a cash basis in U.S. syndication. At the international level, each Classic Media’s Doug Schwalbe noted territory has its own set of rules for the Game that calculations at his company are based pay window (such as Sky), online rights, on the life of the copyright, or three full FTA sales, DVD-box, and ancillary cycles –– something around 20 years. rights. For example, while most For a TV series, the most important (Continued from Page 56) territories use BO grosses to set pay-TV (and complex) income forecast comes fees, France uses admissions. from the international sales. There are by territory basis. Worldwide grosses are According to Irv Holender of Los times, however, when shows such as to be considered when residuals and Angeles-based The Fremantle Corp., for M*A*S*H and The Cosby Show, comedies bank interests are factored in. the past three years, international TV sales that generally do not do well in the have been the most predictable forecasts. The final entries are the generics for international marketplace, have each ancillary rights, such as hotels, colleges, generated $1 billion in U.S. sales. In these Eight countries provide up to 80 airlines, ships, merchandising and music cases, domestic sales were the driving force percent of International TV revenues publishing (e.g., Hannah Montana). of their ultimates. At the U.S. level, (Canada, U.K., Germany, Italy, France, However, the utimates don’t end with income estimates come from secondary Australia, Japan and Spain). In the past, Classic Media’s Doug Schwalbe the first life cycle of a movie (which could TV licensing (syndication), online limited each hour of a commercial drama series last from three to five years), but continue rights, DVD-box set, and ancillary rights. was valued at $1 million worldwide (non Nowadays, however, some commercial forecasting subsequent sales cycles and Naturally, the initial sale is to the commercial, PBS-style TV series could series (such as Disney’s FlashForward) finally a film life as library material. For commissioning TV outlet, which is a go as low as to $300,000 per episode). could fetch as much as $3 million per hour worldwide (see story on pg.46). In addition to conducting interviews with six executives, the story was supervised by Tony Friscia, an entertainment industry executive and consultant, who has created and maintained ultimates at Twentieth Century Fox (both theatrical and television), Columbia Pictures Television and Lorimar Home Video. Friscia has overseen the ultimates of such classic shows as Star Wars, M*A*S*H, Barney Miller, and the Jane Fonda workout videos. After reviewing the story Friscia summarized: “The individual film forecast computation method or ultimates, amortizes film costs (production costs, participations, residuals, prints and other exploitation costs) in the same ratio that current gross revenues bear on anticipated or ultimate total gross revenues. That method requires the determination of a fraction. The numerator being gross revenues from the film for the current period and the denominator being the ultimate total gross revenues from exploitation in all media and all markets. Due to the uncertainties in the estimating process, ultimates are reviewed periodically and are revised when necessary to reflect more current information. Unamortized film costs are compared with Net Realizable Value (NRV) each reporting period on a film-by-film basis. NRV is ultimate revenue less ultimate costs. If estimated ultimate revenues are not sufficient to recover the unamortized film costs, the unamortized film costs are written down to NRV. In other words, you are required to take a write-off and recognize the loss. A write-down may be required even before the film is released.” Now, one can appreciate the importance of forecasting, but it is not an art limited to Hollywood’s film and television production. Other industries, such as fashion and textiles, use forecasting extensively since they have to predict, often five years in advance, which color will eventually be popular so that fabric manufactures can gear up for the new colors that designers will be utilizing. Sept_Oct_2009_Issue 21-09-2009 13:01 Pagina 60

networks out of Rupert Murdoch’s Sky (children’s programming), in addition Italia satellite platform? to its three general-interest flagship PSB: Our signals, even on satellite, stations (, and ). Pier Silvio have always been free. Whether or not Plus, starting in early 2010, it will Berlusconi to be in the Sky [Italia] bouquet has include , a teen version of its never been our choice. What we Italia 1. planned is a way to make sure that, with RAI’s free TV channels are its three the advent of digital television, our free general-interest flagship stations: Rai-1, (Continued from Cover) terrestrial TV channels can be watched Rai-2 and Rai-3, plus Rai New 24, by all, particularly by viewers in areas in RaiSport, , (for all over the world). All this which the digital terrestrial TV signal children) and the newly launched Rai-4. compounded by an international is missing for technical reasons. Telecom Italia Media’s channels are financial crisis that is affecting For this purpose, a consortium was and MTV. The rest of the free channels advertising revenues, as well as increased formed among Mediaset, RAI and La7 on Tivú Sat are provided by BBC World competition, sure make for interesting to create Tivú Sat, a new satellite TV News, and other Italian and times. platform that [carries] all the members’ international operators, such as K2-Kids free TV channels. It has a service TV from the San Marino-based Digital VideoAge International: More purpose, not a commercial one. TV Channels Italy. than 80 percent of Endemol’s revenues are As soon as Tivú Sat became operational At the end of last July, all satellite- Pier Silvio Berlusconi with VideoAge’s generated from unscripted content. Is this [in August 2009], the partners delivered free terrestrial channels from Dom Serafini during the interview a negative factor? scrambled their free TV channels. This Tivú Sat partners were scrambled at was in order to assure that our territorial Pier Silvio Berlusconi: Not at all. certain times (at the discretion of the frequencies for his own digital network rights were protected. To those viewers On the contrary, it is a sign of strength. channels) with the Nagravision system. (D-Free) and sold Mediaset the analog in the Italian territory who wish to For a free-to-air TV network, unscripted This meant that viewers who received ones (which Mediaset then digitalized receive all free channels, Tivú Sat programming represents a convenient these channels through Sky Italia’s NDS for DVB-H). Since Mediaset cannot provides descramblers [smart-cards] at way to balance costs and results. encoding could no longer watch them own more than three analog networks, no charge. without a Tivú Sat converter (even those frequencies acquired from Ben VAI: Considering that Mediaset is one Ammar had to be digitalized. of Endemol’s main clients (investing about VAI: How many digital TV channels though they can use the same dish Mediaset’s two DVB-T networks 150 million euro per year), would you say do you envision for the future? antenna). (DVB-T1, DVB-T2) were created by it represents the partner of record? PSB: Difficult to say at this stage. We It is expected that in the future, the acquiring various frequencies on the PSB: In terms of industry focus, we’d believe that no more than 30 to 35 Tivú Sat platform will also carry all of channels totally funded by advertising Mediaset’s premium TV channels, open market (including frequencies like Mediaset to become the partner of from ReteMia). record in the future. At the moment, can survive. As far as “pay” is concerned, which are now only available on Therefore, currently, Mediaset operates though, a key partner doesn’t exist for the market will say. terrestrial digital television (and thus with two DVB-T networks and one Endemol. received with a regular aerial and a Tivú Sat digital decoder if not in possession of a DVB-H. VAI: Strategically speaking, it’s digital TV set). After the analog switch off in 2012, Tivú Sat (www.tivu.tv) is a Rome- understandable to try and recoup some of Mediaset will have (in the view of based consortium formed by Mediaset Mediaset’s own premium channels the program investments with Endemol in Italian trade publication Millecanali (48.25 percent ownership), Italian state are: Cinema, Calcio 24 (football), Joi, the form of a profit sharing arrangement. Joi+1, Mya, Mya+1, Steel+1 and Hiro. that VideoAge consulted for this story): However, as far as synergy is concerned, broadcaster RAI (48.25 percent) and This year, Mediaset’s premium channels Two new DVB-T networks converted the advantages are not yet clear. Italy’s telephone operator Telecom Italia (3.5 percent through its Telecom Italia are expected to generate sales of 500 from two of its three analog networks PSB: For us, synergy comes from the Media division). The chairman is RAI’s million euro (up from 400 million euro (Canale 5, Rete-4 and Italia-1). fact that Mediaset will develop and in 2008) from its 3.5 million Luca Balestrieri and CEO is Mediaset’s The two already existing DVB-T launch new formats that Endemol subscribers and is estimated to break Alberto Sigismondi. networks (DVB-T1 and DVB-T2). can subsequently sell internationally. even in 2010. It became operational on July 31, One existing DVB-H network from Basically, Mediaset can become a RAI’s premium channels are those programming source for Endemol. 2009 at the technical cost of one million the ex-TelePiú analog frequencies euro, with each channel renting (and under the RAI Sat banner (Extra, (acquired from Ben Ammar). VAI: How would you describe the individually paying) for transponder Premium, Cinema World, Yo-Yo and It is also possible that Mediaset and future of Endemol? space from the same Eutelsat’s satellite Smash Girls), which are now only RAI could make a bid for digitalizing that carries Rupert Murdoch’s Sky Italia available on terrestrial digital television, PSB: Great. Content is key at the their third analog network (both TV services. Tivú Sat is not a money- since being pulled out of Rupert world level and Endemol represents a organizations operate three analog making operation and is billed as a Murdoch’s Sky Italia. strategic investment that is perfect for networks). These frequencies have to be public service for Italian viewers who, Mediaset. Even though it is a difficult used for DVB-T by 2012. If that for various reasons, cannot receive the world, this was a challenge we eagerly Digital Terrestrial occurs, Mediaset (and RAI as well) will digital terrestrial TV signal (about three undertook. end up owning six digital frequencies. million TVHH). Furthermore, it is Television Each DVB-T network can carry up to VAI: Does Endemol’s acquisition of explained that Tivú Sat has been Now, if you think the above is seven TV channels, therefore Mediaset Southern Star indicate some form of rendered necessary in order to protect complicated, wait until we explain how will ultimately be able to operate with a strategy? rights-holders from other satellite Mediaset was able to gain channel total of 42 digital channels. PSB: It is part of Endemol’s carriers’ spillovers. capacity for its TV networks. For now, however, in order to get development mandates, which consist Annual maintenance costs for Tivú Mediaset owns three analog TV channel space for all of its digital of development of new formats and the Sat are shared among the channels networks (Canale 5, Rete 4 and Italia offerings, Mediaset has to rent space acquisition of content companies. bundled, at about 20,000 euro per year 1), two DVB-T (DVB-T1 and DVB- from D-Free. Similarly, D-Free rents its per channel, for a total annual cost of T2) and one DVB-H (TV on mobile mux to other channels on Mediaset’s VAI: Can you describe Mediaset’s two 440,000 euro, which will increase with phones). The DVB-H channel is rented premium platform, like the two from new divisions: Media Vivere and Med2? the adding of more channels. to Telecom Italia and Vodafone for their NBC-Universal and three from Disney. PSB: Media Vivere is a production At present, Tivú Sat bundles a total of own use. Legally speaking, up until the 2012 company formed in a 50-50 partnership 22 (soon to be 27) free TV channels Mediaset’s DVB-H network is switch off, Mediaset is obligated to rent with Endemol Italia, with the purpose that are received through a dish- of producing long drama series. derived from the analog frequencies of up to 40 percent of some of its channels antenna, and costs users 150 euro (US$ an ex-TelePiú TV network that Med2 is a production unit formed by 200) with a decoder that costs an to third parties. Similarly, though, two of our divisions: [recently acquired] Mediaset has digitalized. This ex- Mediaset can rent capacity from other additional 100 euro. The latter charge TelePiú network was acquired by Tarak Tao2 and Medusa, with the purpose of includes a “smart-card” which allows DVB-T operators, which, in effect, developing new TV series from popular Ben Ammar, which entitled him to own balances out. the descrambling of all Tivú Sat’s frequencies for a digital network (with Medusa theatrical movies and new partners’ free TV channels. movies from Tao2’s successful TV series. each analog network, owners are Mediaset’s free digital channels are Iris entitled to frequencies for a digital The Murdoch Factor VAI: Is Mediaset pulling its TV (films), and Boing network). Ben Ammar kept the It’s clear that Italy, Inc. is ready to end (Continued on Page 62) 60 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 _270x360videoAge.indd 1 18-09-2009 16:13:40 Sept_Oct_2009_Issue 21-09-2009 13:01 Pagina 62 mipcom digital 27x36:mise en page 30/04/09 16:17 Page 1

Murdoch could end up dominating the Based in Holland, Endemol has 80 Italian TV market. In this respect, an companies in 26 countries and generates accord with a telecom company (a up to 80 percent of its sales from Pier Silvio scenario encouraged by the Italian unscripted programs. Under Telefonica, Berlusconi Telecommunication Authority) to expand Endemol’s revenues increased steadily, RTI broadband coverage and benefit from the reaching 900 million euro in 2005; Pier Silvio Berlusconi is data part of the triple-play that IPTV 1,117.4 million euro in 2006 and also the president of RTI SpA, offers is easily envisionable for Murdoch. 1,256.3 million euro in 2007. Under the broadcasting arm of (Continued from Page 60) In this respect, the concern of Italy, new ownership, revenues climbed to Mediaset Group. It controls Inc. is understandable. Traditionally, 1,301 million euro in 2008 with an FTA channels Canale 5, Italia 1 Rupert Murdoch’s Sky Italia satellite TV Murdoch plays by his own rules, EBITDA of 221 million euro. and Rete 4, as well as several monopoly in the country with a three- politically, socially and economically. niche digital free TV channels. prong attack: increasing the sales tax on Based in Spain, Mediacinco Cartera is The rapid growth of Sky Italia surprised The company also provides Sky Italia’s subscriptions (from 10 even his allies in the country and surely owned by Mediaset (25 percent) and percent to 20 percent. Mediaset Gestavision (75 percent). pay-per-view services and a scared off his Italian business competitors digital terrestrial subscription Premium opted to pay the sales tax and politicians alike. It should be noted Gestavision Telecinco, which operates difference itself), de-facto pulling out Spain’s commercial network, Telecinco, is pay-TV platform, Mediaset that, in 2008, after just a few short years, Premium. all of Mediaset’s and RAI’s TV channels Sky Italia became the third TV operator 51 percent owned by Mediaset. Since from Sky and competing with its own in Italy in terms of annual revenues, with Mediaset’s share of Endemol was acquired RTI oversees all aspects of “Made in Italy” satellite platform that RAI reaching 2,723 million euro through its Mediacinco holding, there has Mediaset’s TV business –– is, from the start, a money-losing (license-fee and advertising), Sky Italia been no impact on Mediaset balance including broadcast signal proposition. Plus, reduction by law of 2,640 million euro (subscription fee, sheet. infrastructure and TV Sky Italia’s advertising minutes and not premium charges and advertising) and technical facilities –– through GS Capital Partners is part of granting the satellite platform rights to Mediaset 2,531 million euro (advertising its subsidiaries Videotime Goldman Sachs, while the Cyrte Fund Medusa’s (Mediaset) and RaiCinema’s and some premium charges). and Elettronica Industriale. popular movies. is owned by John de Mol. RTI directly manages in- The competition between Italy, Inc. Big Brother Founder de Mol doesn’t have an house television production, executive role. He has had a joint and Murdoch is such that RAI refused Over the course of its 15-year history, the acquisition of film and production venture with Endemol the 50 million euro per year (for a Endemol (the name derived from the drama rights and Mediaset period of seven years) that Sky Italia surnames of its two founders, Joop van through Talpa TV, the company he Distribution, RTI’s international offered for RaiSat premium channels. den Ende and John de Mol) evolved launched after leaving Endemol in 2003. program sales division. So far, Murdoch has been fighting through three major events: The creation In effect, with two “silent” or International sales and back by using all of his press power to of the successful Big Brother reality show investing partners, Mediaset is the de acquisitions are under Guido attack Silvio Berlusconi, who controls format in 1999, the sale to Spain’s facto leading partner. Furthermore, Barbieri (pictured below), the Mediaset and, who, as Italy’s Prime Telefonica for an astonishing 5.5 billion through its various TV networks, Rights and Drama Division Minister, rules over state-owned RAI. euro (US$ 7.5 billion) in an all share deal including Telecinco in Spain, Mediaset general manager. However, he has other options: in 2000, and its 2007 sale by Telefonica serves as Endemol’s main client with an With a catalogue of more First, he might bring competition to for 2.63 billion euro to EDAM investment in the order of 150 million Acquisition Holding I, a consortium than 500 titles, Mediaset the digital terrestrial (DTT) level by euro per year. Mediaset’s main Endemol comprised of Mediacinco, GS Capital and Distribution has become one potentially acquiring (but not before show is Big Brother (Il Grande Fratello). Cyrte Fund (each owning 33.3 percent). of the leading distribution 2011) frequencies like those of the three However, Endemol also serves TV networks that Telecom Italia has This 2007 acquisition was of the 75 companies of Italian TV Mediaset’s competitors in Italy (RAI reportedly decided to sell through percent owned by Telefonica. In 2005, programs and scripted formats. broadcasts Affari Tuoi, the Italian Merryl Lynch for an estimated 800 Telefonica placed 25 percent of Endemol By the end of 2009, version of ), with RAI million euro (US$ 1.1 billion). These on the stock market (over 31 million Deal or No Deal Mediaset Distribution will would give Murdoch some 21 digital shares). At that time, Endemol was valued investing about 30 million euro per begin international distribution terrestrial channels. By renting space at only 1.6 billion euro (a paper loss of 4.3 year. Those two shows were also aired in of a new linear channel from third parties, he could even reach billion in less than five years) with the Spain, with Gran Hermano and ¡Allá tú! offering the best of Mediaset 40 DTT channels, enough to compete floating stock traded at 12.8 euro. on Telecinco and One vs. 100 (Uno programming to the 60 million with both Mediaset and RAI on their Subsequently, the consortium launched a Contra 100) on A3. Italians living around the tender offer for the remaining 25 percent. own turf. In the short term, Murdoch Currently, in Spain, Endemol has Big world, after airing on its could buy Tivú Sat decoders to give Perhaps it was this drastic devaluation Brother on Telecinco, Floor Filler (Fama mainstream TV channels. away for free to his Sky Italia subscribers that persuaded Telefonica to sell a Bailar) on Cuatro, Strictly Dancing so that they can continuously receive Endemol. It had several suitors, (Mira Quien Baila) on TVE1, and RAI and Mediaset TV channels. including Televisa, Haim Saban, risk others, for a total of seven shows. In capital companies T.H. Lee and Apax Second, he might lower Sky’s basic Italy, between Mediaset and RAI, Partners, and Stephane Courbit, head of subscription fee and increase the Endemol currently has five shows on air. Expand your media business, number of basic channels. This could Endemol France (with Bernard Arnault also be seen as a strategic maneuver, and De Agostini Group). With Endemol under the consortium’s since, with its 4.8 million subscribers, Endemol France was run as a separate ownership, the group’s top management Sky Italia has quickly reached maturity entity and reportedly accounted for 25 is now: attend MIPCOM 2009 with slow growth and increasing churn percent of Endemol’s value. However, Ynon Kreiz, chairman and CEO (with peaks of 15 percent). Such a move Endemol France was not included in (former Fox Kids Europe chief). Marco MIPCOM - The world’s entertainment content market would present strong competition for the 2005 IPO because of a dispute Bassetti, president (founder of Aran in Italy, Inc.’s Tivú Sat and an incentive for between Courbit and the parent Rome, Italy, and acquired by Endemol With audiences consuming more and more content on-line � 11,500 media professionals from 102 countries reducing its churn. company. Now Courbit is out of in 1997). Tom Toumazis, Chief Third, Murdoch could really Endemol and the brand name is still Commercial Officer (former executive or via mobile phone, MIPCOM is the place to meet all the � 1700 exhibiting companies owned by the parent company. revolutionize the Italian TV sector and vp and managing director of Disney key players from entertainment studios, broadcasters, � 4-day strategy conferences & matchmaking events turn the whole enchilada upside down by For the consortium, the whole ABC-ESPN Television EMEA and telcos, broadband video networks and portals. Whether substituting Sky’s satellite decoders with Endemol operation ended up costing Canada). Jan Peter Kersten, CFO (he IPTV set-top boxes. Italy, Inc. doesn’t put 3.4 billion euro (paying 24.64 euro a has been with Endemol since the year you are looking for content deals or selling digital media Register now at www.mipcom.com, any faith in the IPTV technology because share for the floating stock) and was 2000). Paul Römer, Chief Creative solutions, attending MIPCOM offers the most cost-efficient or for more information contact Elisa AQUINO of spotty broadband coverage, but with a financed with 1.4 billion euro in cash Officer. combination of low-bit open IPTV set- and two billion euro in loans with each way to expand your media business opportunities. Tel: +1 212 284 51 40 – [email protected] top boxes and a good mix of broadband partner investing 466 million euro, plus Editor's note: An official statement services (DSL, Wi-Fi and cable), 155 million euro each for development. from Sky Italia may be found on page 8.

62 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009 5 - 9 October 2009 • Palais des Festivals, Cannes, France mipcom digital 27x36:mise en page 30/04/09 16:17 Page 1

Expand your media business, attend MIPCOM 2009 MIPCOM - The world’s entertainment content market

With audiences consuming more and more content on-line � 11,500 media professionals from 102 countries or via mobile phone, MIPCOM is the place to meet all the � 1700 exhibiting companies key players from entertainment studios, broadcasters, � 4-day strategy conferences & matchmaking events telcos, broadband video networks and portals. Whether you are looking for content deals or selling digital media Register now at www.mipcom.com, solutions, attending MIPCOM offers the most cost-efficient or for more information contact Elisa AQUINO way to expand your media business opportunities. Tel: +1 212 284 51 40 – [email protected]

5 - 9 October 2009 • Palais des Festivals, Cannes, France Sept_Oct_2009_Issue 21-09-2009 11:13 Pagina 64

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Artwork Credits: Transporter 3 courtesy Europacorp, Bienvenue Chez les Ch’tis courtesy Pathe Distribution, Taken courtesy Europacorp, The Reader courtesy The Weinstein Company, Twilight courtesy Summit Entertainment, Slumdog Millionaire courtesy Pathe International. ® The Santa Monica Pier sign is a Registered Service Mark of the City of Santa Monica (California). Use is with the permission of the service mark owner. ©2009 Independent Film & Television Alliance. Sept_Oct_2009_Issue 21-09-2009 11:13 Pagina 66

My Two Cents MAIN OFFICES 216 EAST 75TH STREET NEW YORK, NY 10021 TEL: (212) 288-3933 FAX: (212) 734-9033 VIDEO AGE WEBSITES: www.videoage.org www.videoagelatino.com igital television is making U.S. broadcasting more challenging and broadcasters are finally www.videoage.it being put to work, albeit reluctantly. But even though digital is causing local TV broadcasters agida, it could also serve as their relief. Last July, NV Broadcasting, which P.O. BOX 25282 operates 14 U.S. TV stations, filed for bankruptcy. Earlier, Young Broadcasting, which LOS ANGELES, CA 90025 owns 10 stations, did the same. Even Sinclair, the country’s largest local TV operator with TEL: (310) 914-4450 57 stations, is on the brink of bankruptcy. So, the picture is far from rosy. FAX: (310) 444-3189 DLast year, CBS Corp.’s CEO, Leslie Moonves, told an investor conference that moving the CBS VIALE ABRUZZI 30 network to cable [and eliminating local stations] would be “a very interesting 20123 MILAN, ITALY proposition…[but would be] five or 10 years away.” After all, at this point only 17.8 TEL/FAX: (39 02) 204 3029 percent of the U.S. TVHH receive television through aerials. Randy Falco, former COO YUKARI MEDIA of NBCUniversal TV Group assured the Wall Street Journal that “One of [the networks] YMI BLDG. 3-3-4, UCHIHIRANOMACHI will try to make a go as a cable network.” CHUO-KU, OSAKA JAPAN You get the picture: local TV stations are seen as a problem, but the fat lady hasn’t sung TEL: (816) 4790-2222 yet, and the show ain’t over ‘til it’s over. As the WSJ pointed out, while their profits are EDITOR down, a good number of local TV stations are still making money. They tap into their local DOM SERAFINI advertising market and, more recently, have been getting carriage money from some cable operators. ONLINE EDITOR With the analog switch off this past June, each of the 1,366 commercial TV stations in all 210 U.S. local markets was allocated LEAH HOCHBAUM ROSNER space for at least three more TV channels. So, for example, local NBC stations began broadcasting their flagship station on ASSISTANT EDITORS multiplex 4.1; a program originally called Weather Plus (and later The Weather Channel, when NBC acquired it) on 4.2; and KAREN RUTTNER Universal Sports on 4.4. The space on 4.3 is used by their flagship HD channel. LAUREN GITLIN Now the question most U.S. broadcasters face is what to do with the additional channels. Stations are in no rush to use the extra EDITORIAL CONTRIBUTORS space, since they’re not sure what to do with it yet. What they do know, however, is that it’s an asset, they don’t want to spend any money ENZO CHIARULLO (ITALY) on it, and, ultimately, they would prefer to take a self-contained feed. As it is, stations are complaining that it costs them $60,000 in MARINA DEL RIVERO (ARGENTINA) technical start-up to begin broadcasting on each additional channel, on top of the regular administrative costs (like spot scheduling and CARLOS GUROVICH trafficking). Furthermore, local stations view the extra channels as increasing time inventory, which will further lower CPMs (spot cost BOB JENKINS (U.K.) per thousand viewers) in an already depressed market. AKIKO KOBAYACHI (JAPAN) Retransmission fees, however, could force local LEVI SHAPIRO broadcasters to take chances. Cable and satellite DAVID SHORT (AFRICA) operators don’t want to pay stations for signals LIANNE STEWART (CANADA) carried over their platforms (and, when they do do MARIA ZUPPELLO (BRAZIL) it, most of the money goes to the affiliated network). CORPORATE AND As a negotiation tool, cable is using the “excuse” of CIRCULATION OFFICE limited space to exclude stations’ additional channels, but they’re willing to carry stations’ HD 216 EAST 75TH STREET channels (hence the limited space excuse). NEW YORK, NY 10021 TEL: (212) 288-3933 Now, if a station will negotiate retransmission FAX: (212) 734-9033 fees for its flagship station and offers its digital extra channels for free, the MSOs will gladly make PUBLISHER the deal if those extra channels show something MONICA GORGHETTO meaningful in terms of attracting more subscribers BUSINESS OFFICE or reducing churn. I doubt that MSOs will be LEN FINKEL carrying tens of weather, shopping, paid-for programming or religious channels (36 religious LEGAL OFFICE and six shopping digital TV networks are already ROBERT ACKERMANN available). STEVE SCHIFFMAN For a station, a set of well-programmed extra WEB MANAGER channels is an opportunity to be more MIKE FAIVRE “Haven’t they yet figured out what to do with the extra channels?” competitive, to offer make-goods and/or extra DESIGN/LAYOUT spots to major clients and to deliver more CARMINE RASPAOLO cumulative audiences. Stations, though, are only looking for pure 50-50 barter deals, meaning six minutes of commercial time each per hour on a rotating ILLUSTRATIONS BOB SCHOCHET eight hour block. The station group rep will only be interested in selling their avails, so content providers have to look for their own sales rep. Now, if this rep could sell each “national” (or group of key U.S. markets) a spot at $10,000, splitting 50-50 with the content FOUNDED IN 1981 supplier, we’re talking about $ 240,000 per day to the content supplier alone. And for $10,000 per spot, the rep would only have to MEMBER OF NBCA guarantee one million cumulative viewers in a 24 hour period with a $10 CPM versus an average of $30. Areas of growth? Local banks (CIRCULATION) now returning to profitability, and the real estate sector, which now finds itself with a large inventory to liquidate. VIDEO AGE INTERNATIONAL (ISSN 0278-5013 USPS 601-230) IS Stations are reluctant to approach domestic (U.S.) syndicators, which are mainly studios, out of fear that their fare will be too PUBLISHED EIGHT TIMES A YEAR: JANUARY, FEBRUARY/MARCH, APRIL, MAY, JUNE/JULY, SEPTEMBER, OCTOBER AND NOVEMBER/DECEMBER. costly, therefore digital represents a great opportunity for foreign content providers that have never been able to penetrate the PLUS DAILIES BY TV TRADE MEDIA, INC. SINGLE COPY U.S.$9.75. U.S. TV market before. Unfortunately, most international distributors don’t know the U.S. syndication business and the few YEARLY SUBSCRIPTION U.S.$45 (U.S., CANADA, MEXICO); U.S.$60 (U.K. independent domestic syndicators left are not familiar with the international business. Plus, U.S. reps willing to take on a barter AND EUROPE). sale deal for a digital channel will only do it if they’ll see a real return, therefore there is no room for experimentation. © TV TRADE MEDIA INC. 2009. THE ENTIRE CONTENTS OF VIDEO AGE INTERNATIONAL ARE PROTECTED BY COPYRIGHT IN THE U.S., U.K., AND Types of programming that the international sector could offer are those that are digitalized and can mainly use voice over: ALL COUNTRIES SIGNATORY TO THE BERNE CONVENTION AND THE documentary, children’s animation, music, sports and news (in English such as Germany’s DW and France 24). As Universal PAN-AMERICAN CONVENTION. SEND ADDRESS CHANGES TO VIDEO Sports has proven, bicycle racing is good digital channel programming, and I’m sure football will be of greater appeal to soccer AGE INTERNATIONAL, 216 EAST 75TH STREET, SUITE PW, NEW YORK, NY 10021, U.S.A. moms and their children than such U.S. games as baseball and American football. The extra channel could also be utilized for a PURSUANT TO THE U.S. COPYRIGHTS ACT OF 1976, THE RIGHTS OF ALL second language channel, such as Spanish. Dom Serafini CONTENT DONE ON ASSIGNMENT FOR ALL VIDEOAGE PUBLICATIONS ARE HELD BY THE PUBLISHER OF VIDEOAGE, WHICH COMMISSIONED THEM.

66 VIDEO • AGE S e p t e m b e r /Oc t o b e r 2009

From award-winning producers Rob Tapert, Sam Raimi, Joshua Donen and Steven S. DeKnight

Andy Whitfield John Hannah Peter Mensah and Lucy Lawless

RSV25, Tel: +33 (0) 4 92 99 8926 A Starz® Originals Series starzglobal.com starz.com/spartacus

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