April 26, 2024

Media Decoder Blog: The Breakfast Meeting: ABC Works on a Streaming App and British Newspapers Protest Regulations

The Walt Disney Company is working on an app that would stream ABC programming to the tablets and phones of cable and satellite subscribers, Brian Stelter reports. ABC would be the first of the American broadcaster to provide such an app, and it is likely to result in a mixture of awe and fear from other networks. Disney already has streaming apps for content from ESPN and the Disney Channel, but special complexities exist for networks like ABC because of older contracts with companies that produce its shows and local stations, which might feel threatened by the app. It is not yet clear what the app would mean for online streaming services like Hulu, which does not require viewers to subscribe and has grown increasingly marginalized as its parent companies (including Disney) seek more lucrative revenue streams.

An array of British newspapers on Tuesday protested an attempt to impose stricter curbs on them, Stephen Castle and Alan Cowell write. The agreement announced by lawmakers on Monday creates a system under which newspapers would face a tough regulatory body that could order corrections be published prominently and impose large fines on publications that breach standards. The deal enshrines the regulator’s powers in a royal charter, the same document that governs the BBC and the Bank of England. The newspaper society, which represents 1,100 newspapers, said that the possibility of fines of up to $1.5 million would prove “crippling” for their struggling publications.

Much of the entertainment world’s metabolism has sped up, but major film productions often still lurch forward at a zombie’s pace, Michael Cieply reports. A case in point is the forthcoming “World War Z,” a zombie movie to be released in June that seems timely given the success of undead fare like AMC’s “The Walking Dead.” But Paramount Pictures acquired the rights to the novel “World War Z: An Oral History of the Zombie War” with Brad Pitt’s Plan B Entertainment in 2006, just one example of a Hollywood system that mires its biggest films in an ever-lengthening process.  Whether these delayed releases make films miss the mark is an open question, but it is a fact that this year the release schedules feature at least eight high-budget films that were conceived five to 14 years ago.

Marriott International is using the release of the new movie “42,” about Jackie Robinson breaking baseball’s color line, to promote its loyalty program for African-Americans, Jane L. Levere reports. The campaign involves a Facebook contest, special screenings of the film and promotion of “42” on hotel room TVs, among other initiatives, and marks the first time Marriott has done niche marketing for the program, called Marriott Rewards. Apoorva Gandhi, vice president for multicultural markets and alliances at Marriott International, said that the movie was a good fit because it matches Marriott’s fundamental values (interestingly enough, Marriott Rewards also has 42 million members globally).

The media truism “if it bleeds, it leads,” appears to be undermined by social networks, John Tierney writes. A number of different studies show that social media users are more likely to share uplifting stories, perhaps because they are more concerned with how stories make their friends feel than a traditional media company. One study on the dissemination of thousands of articles from The New York Times Web site found that readers were more likely to share articles they found exciting or funny, or that inspired negative emotions like anger or anxiety, but not ones that just left them sad. But the more positive an article, the more likely it was to be shared.

The BBC confirmed plans to sell the Lonely Planet travel guidebooks to a reclusive American billionaire on Tuesday, drawing internal scrutiny for losing public money on the sale, Eric Pfanner writes. BBC Worldwide sold Lonely Planet for £51.5 million, or $77.3 million, far below the £130 million that the BBC paid for Lonely Planet. At the time of the purchase the BBC talked about extending Lonely Planet into digital channels, an area where traditional guidebooks face stiff competition from travel Web sites.

Air New Zealand has enlisted Bear Grylls, the bug-eating, urine-drinking adventurer best known for the survival show “Man vs. Wild,” to liven up that pariah of in-flight entertainment, the onboard safety video, Bettina Wassener reports. The airline’s video features Mr. Grylls running, crawling and rappelling. At one point he leaps into a raging river to demonstrate the efficacy of the plane’s life jackets. These attempts to spice up the safety-spiel are a relatively new development, with Virgin America one of the first companies to try in 2007.

Article source: http://mediadecoder.blogs.nytimes.com/2013/03/19/the-breakfast-meeting-abc-works-on-a-streaming-app-and-british-newspapers-protest-regulations/?partner=rss&emc=rss

Advertising: ABC Works on an App for Live Streaming Shows to Mobile Devices

The app will live stream ABC programming to the phones and tablets of cable and satellite subscribers, allowing those subscribers to watch “Good Morning America” on a tablet while standing in line at Starbucks, for instance, or watch “Nashville” on a smartphone while riding a bus home from work. The app could become available to some subscribers this year, according to people briefed on the project, who insisted on anonymity because they were not authorized to speak about it publicly.

With the app, ABC, a subsidiary of Disney, will become the first of the American broadcasters to provide a live Internet stream of national and local programming to people who pay for cable or satellite. The subscriber-only arrangement, sometimes called TV Everywhere in industry circles, preserves the cable business model that is crucial to the bottom lines of broadcasters, while giving subscribers more of what they seem to want — mobile access to TV shows. The arrangement could extend the reach of ads that appear on ABC as well.

Disney already distributes similar live streaming and on-demand apps, known as “Watch” apps, for ESPN and the Disney Channel. Special hurdles exist, however, for the ABC app, in part because of contracts between the network and the companies that produce some of its shows that were written before mobile phone video streaming was even possible. Other complexities involve ABC’s local stations, which might — if not courted properly — feel threatened by an app.

But ABC, seeing shifts in consumer behavior, is pressing forward. It has started to talk with stations about how to include them in the live streaming app. Illustrating the difficult contractual issues, ABC offhandedly first mentioned a forthcoming Watch ABC app in a news release nine months ago, when it signed a deal with Comcast to make several Watch Disney apps available to Comcast subscribers.

But the network live streaming ability is inching closer to fruition, the people briefed on the project said. A spokesman for ABC declined to comment.

Executives at other networks who have heard about the ABC plan regard it with a mixture of awe and fear. No other broadcaster is believed to be as far along as ABC, which is also the first broadcaster to sell TV episodes through Apple’s iTunes store and the first to stream free episodes on its Web site.

Subscriber-only apps like Watch Disney and, eventually, Watch ABC stand in stark contrast to the free-to-all content available on Hulu, the online video site that is co-owned by Disney, Comcast and News Corporation. Comcast is a silent partner. The other two companies are debating what to do with the six-year-old Web site, which has lost most of its original executive backers at NBC and Fox and will soon lose its founding chief executive, Jason Kilar.

Last week, when Mr. Kilar, who is stepping down this month, named an acting chief executive, Andy Forssell, he wrote in a message to staff members that “Disney and News Corporation are currently finalizing their forward-looking plans with Hulu, and the senior team has been working closely with them in that process. Once the plans are finalized, a permanent decision will be made regarding the C.E.O. position.”

Hulu has been an innovator in both the Web streaming and the advertising arenas, forcing media companies to think about how their TV shows should be distributed online. But it has been marginalized as the companies seek out more lucrative revenue streams.

Under one plan discussed recently, according to several people with ties to Hulu, Disney would buy out the other co-owners’ stakes in the company. But the opposite could happen, too, with News Corporation as the buyer. Or the two companies may choose to sell Hulu to a third party, if one shows interest.

The companies could also retain their stakes in Hulu and change the business model. Disney is said to be more supportive of the free, ad-supported model that it is most closely associated with; News Corporation is more supportive of Hulu Plus, the monthly subscription service that is an add-on to the free Hulu site. Mr. Kilar, in his message last week, did not indicate when any change could take place.

Whatever happens, the owners appear more interested in maintaining their existing relationships with cable and satellite companies. That is what an app like Watch ABC would do. It would protect the cable model while providing a good example of how authentication — the idea that people log in to prove they have a subscription — works.

A few cable and satellite companies already have their own products that allow ABC and other broadcasters to be streamed on devices. But for most Americans, it remains difficult to place-shift a show — say, to watch a local nightly newscast live on an iPhone.

A start-up company that is being sued by Disney and several other major media companies, Aereo, has made that possible by installing an antenna farm in New York; some analysts have said Aereo might motivate broadcasters to make their own live streams more freely available on their own terms. But James L. McQuivey, a digital media analyst at Forrester and the author of the book “Digital Disruption,” said he thought ABC’s plan wasn’t a rebuttal to the start-up.

“This and Aereo are both a response to the fact that people are habitually connected to live viewing,” he said. “The Internet will gradually undo that,” he predicted, “but it’s being very gradual about that for the time being.”

Brooks Barnes contributed reporting.

Article source: http://www.nytimes.com/2013/03/19/business/media/abc-works-on-an-app-for-streaming-shows-to-mobile-devices.html?partner=rss&emc=rss