International Council NewINNOVATION York WITHOUT CityBORDERS A report on the 2012 International Council summit, an independent forum for media and technology leaders from around the world at the Paley Center for Media. Digital isn’t an afterthought, it’s a primary thought. The main thing is to close the digital divide in You can’t separate this new world, either you’re connected or distribution and you’re out. –Ricardo Salinas content... there’s are other markets. other markets. are there you, for some news I have Angeles, and San Francisco. Los York, New between exists think the whole world guys You no king, one without the other. –Jeff Bewkes You need to build the –Yossi Vardi –Yossi –Avner Ronen –Avner technology that is native to a country’s problems. -Rishi Malhotra –Herb Scannell How do you make a 125 year Technology changes much Technology than the psychology faster of people. old company innovative? It’s all about the people. –Frank A. Bennack, Jr. PC_ICBook_FINAL.indd 1 3/18/13 11:07 PM The Innovation Imperative In November 2012, The Paley Center for Media convened the twentieth meeting of the International Council since this perennial gathering of global media leaders began in 1995. Delegates from here in the US to countries in Latin America, Europe, Asia, and the Middle East, assembled at the Paley Center’s New York headquarters and the Time Warner Center for three days of dialogue and debate under the guiding theme “Innovation without Borders.” Certainly, as a longtime convener of international media leaders, The Paley Center has seen that growth goes hand-in-hand with corporate investment and partnerships across borders. Thanks to the blossoming of Internet and mobile technology, we’ve also seen new opportunities for growth bubbling up in cities around the world, where communities of media and technology entrepreneurs are establishing their own local iterations of Silicon Valley. Photo by Timothy Greenfield-Sanders Timothy by Photo These emerging ecosystems are fantastic engines of innovation. Still, startups have not cornered the market on ingenuity. Innovation is happening at all levels, whether it’s in someone’s garage, loft space, or a sky- scraper. It’s happening everywhere, because it must. IC2012 NYC shone a spotlight on media and technology innovation and entrepreneurship happening inside and outside the US, at the startup level and within mature companies. We began with a look at New York’s Silicon Alley before getting the view from LA’s Silicon Beach. We zoomed in on Israel and India before hearing about innovation at scrappy little outfits like the BBC and The New York Times. Finally, we closed the summit with insights from the leaders of multinational conglomerates on how they foster a culture of innovation at their respective companies. Between sessions, delegates and speakers continued the conversation at a series of social events, including a cocktail reception at The New York Times Building, a luncheon at the iconic 21 Club, and a gala evening at Hearst Tower, featuring a suitably innovative meal prepared by celebrated chef Wylie Dufresne and chef Charles W. Granquist. Once again, each session was streamed live, enabling viewers around the world to tune in. To view archived streams of the sessions, visit the IC2012 video gallery on our Web site at paleycenter.org/ ic2012-newyork-video-photos. We are grateful to all of our speakers (in order of appearance): NYC Commissioner Katherine Oliver; Gilt Groupe’s Susan Lyne; Aereo’s Chet Kanojia; GRP Partners’ Mark Suster; ZelnickMedia’s Strauss Zelnick; Maker Studios’ Courtney Holt; International Technologies’ Yossi Vardi; Boxee’s Avner Ronen; Saavn’s Ri- shi Malhotra; BBC Worldwide’s Herb Scannell; The New York Times Co.’s Michael Zimbalist; GroupM’s Rob Norman; Nielsen’s Randall Beard; Time Warner’s Jeff Bewkes; Grupo Salinas’ Ricardo Salinas; and IMAX’s Richard Gelfond. Thanks also to our wonderful group of moderators, including News Corp.’s Jon Miller; Keep Holdings’ Scott Kurnit; McKinsey & Co.’s Geoffrey Sands; Fortune’s Stephanie Mehta; and Thomson-Reuters’ Chrystia Freeland. Finally, we would like to express our enduring thanks to our partners for supporting the 2012 International Council summit: Edelman, Gustave M. & Rita E. Hauser, Hearst Corporation, Lufthansa Airlines, McK- insey & Company, The New York Times, Nielsen, and O’Melveny & Myers. We look forward to seeing you again at the next IC summit. 2 PC_ICBook_FINAL.indd 2 3/18/13 11:07 PM Judi Allen Corinna Freedman Virginia Lam Takahiro Sakai Nielsen Wedbush Securities Aereo WOWOW Inc. Loreen Arbus Dr. Frank-Dieter Freiling Susan Lyne Ricardo Salinas Loreen Arbus Productions ZDF German Television Gilt Groupe Grupo Salinas Tim Armstrong Boris Gartner Rishi Malhotra Geoffrey Sands AOL Univision Communications Inc. Saavn McKinsey & Company Crystal Barnes Richard Gelfond Joe Marchese Miral Sattar Nielsen IMAX FUSE Networks BiblioCrunch Nick Barron Janet Goldsmith Dorinda Marticorena Herb Scannell Edelman The Paley Center for Media Warner Brothers BBC Worldwide, America Randall Beard James Greenwald Will Mayo Thomas Scharfenberger Nielsen Katz Media Group SpokenLayer Lufthansa Group Neil Benedict Gypsy Guillén Kaiser Karen McClellan Vivian Schiller Ben Productions Committee to Protect IESE Business School NBCUniversal Frank A. Bennack, Jr. Journalists Kara Medoff Barnett Mark Scott Hearst Corporation Paul Hardart Lincoln Center for the Australian Broadcasting Mary Lake Bennack Adirondack Pictures Performing Arts, Inc. Corporation Jeff Bewkes Hajime Hashimoto Stephanie Mehta Neal Shenoy Time Warner, Inc. WOWOWS Inc. Fortune 212 Media Vin Bhat Nils Haupt Jon Miller Richard Siklos Saavn Lufthansa Group News Corporation Time Warner, Inc. Krishan Bhatia Gustave Hauser Pat Mitchell Paramdeep Singh NBCUniversal The Hauser Foundation The Paley Center for Media Saavn Adam Bird Rita Hauser Brooke Moreland Erik Sorensen McKinsey & Company The Hauser Foundation Fashism Sucherman Consulting Group Malcolm Bird Robert Haymer Raita Nakashima Arthur O. Sulzberger, Jr. MGB Associates O’Melveny & Myers WOWOW Inc. The New York Times Ken Bronfin Andrew Heyward Steve Newhouse Mark Suster Hearst Corporation MarketspaceNext Advance.net GRP Partners Johna Burke Courtney Holt Rob Norman Steven Swartz Burrelles Luce Maker Studios GroupM Hearst Corporation Joe Calabrese Jane Hu Katherine Oliver Helmut Thoma O’Melveny & Myers YouTube Next Lab The City of New York Freenet AG Betty Cohen Shafqat Islam Ahmet M. Oren Joel Topcik Betty Cohen Media Consulting NewsCred, Inc. Ihlas Holding The Paley Center for Media Nuri Çolakoğlu Chet Kanojia Bruce Paisner Dorothy Tse Dogan Media International Aereo International Emmys Nielsen Kelle Coleman Andy Kaplan Reed Phillips Oded Vardi Nielsen Sony Pictures Television DeSilva + Phillips Superna Group Justin Colson Harri-Pekka Kaukonen I. Marty Pompadur Yossi Vardi McKinsey & Company Sanoma Corporation Macquarie Capital International Technologies George Cooke Adam Klein Sam Powers Robert Waggoner Manatt, Phelps & Phillips LLP eMusic UBS Burrelles Luce Barton Crockett Kay Koplovitz Marvin Putnam Kayo Washio Lazard Capital Markets Koplovitz and Co. O’Melveny & Myers WOWOW Inc. Shaun Daley Lisa Kovitz Nathalie Rayes Annie Wegelius KPMG Edelman Grupo Salinas Svergies Television Alfonso de Angoitia Peter Kreisky Marcus Ribeiro Hagen Wenzek Grupo Televisa The Kreisky Media Consultancy PRISA IPG Mediabrands Russell Dubner Ken Krick Humphry Rolleston Clifford Werber Edelman NY KPMG McKinsey & Company Fluent Entertainment Linda Dupree Scott Kurnit Avner Ronen Strauss Zelnick Nielsen Keep Holdings Boxee ZelnickMedia Ben Elowitz Josh Kushner Rich Sabreen Michael Zimbalist Wetpaint Thrive Capital IESE Business School The New York Times Company 3 PC_ICBook_FINAL.indd 3 3/18/13 11:07 PM D A @gojohnab: Y NYC tech! Innovation here & primed w/ help of city programs - NYC Digital. + more than dominoes 1 to eat after 11pm. Silicon who? #paleyic Commissioner, New York City Mayor’s Office of Media and Entertainment LOOKING BACK ON 17 YEARS OF Katherine Oliver LOOKING AHEAD NYC’s media and entertainment commissioner explains how the Unique moments in the history of city’s media legacy is fostering innovation from tech startups. International Council Meetings 5 5 ROME, ITALY Sept. 17-19, 1995 A vital, welcome tradition begins as The Museum of Television & Radio (former name 5 of The Paley Center for Media) hosts its first International Council, an unprecedented gathering of the world’s media leaders. The Council—composed of chief executives of top media and 1. Katherine Oliver and Miral Sattar 2. Katherine Oliver communications companies—begins tackling billboard global Chairman, Gilt Groupe industry issues through a series of discussions with Susan Lyne an eye toward the future. The Gilt Groupe chairman discusses how New York’s media legacy This premier gathering of the Council—which had informs her company’s focus on discovery and consumer experience. been the brainchild of MT&R Vice Chair Gustave 1 1. Susan Lyne Hauser and President 2. Frank A. Robert Batscha—is Bennack, Jr. unique for two additional and Gustave reasons. First, it’s the Hauser only IC gathering not to be convened by a local media company. Instead, the Italian government itself generously does the honors, and meetings covering media and politics are held at the residences and offices of President Oscar Luigi Scalfaro, and President of the Senate Carlo Scognamiglio. Second, former US Secretary of State—and MT&R Vice Chair—Henry Kissinger serves as moderator for 2 4 PC_ICBook_FINAL.indd 4 3/18/13 11:07 PM D A @wrmayo: Best question so far from @kurnit, Y “So who owns TV stations in the room?” Half dozen hands go up... #PaleyIC 1 Founder and CEO, Aereo all the discussions. Talks Chet Kanojia focus on international Aereo’s founder and CEO insists his disruptive streaming service for relations, world trade, global economics, digital TV is a crucial - and legal - “wedge” to open up the marketplace. and new ideas. The list of participants includes Viacom’s Frank Biondi, Jr. and Sumner Redstone; Alan Alda; Loreen Arbus; Ratikant Basu of India’s Doordarshan; and ENI’s Enzo Viscusi.