DreamWorks Studios

Posted on October 5, 2014 by apwestfa

by Alex Westfall

Courtesy of wholemovieinfo.com (a)

DreamWorks Studios
100 Universal City Plaza Dr., Bldg. 5121
Universal City, CA 91608
P: (818) 733-9300
http://www.dreamworksstudios.com/

Key Executives

Steven Spielberg, Principle Partner (b)

Michael Wright, Chief Executive Officer (c)

Lyndsay Harding, Chief Financial Officer (d)

Jeff Small, President & Chief Operating Officer (e)

Company Overview

DreamWorks Studios is an American film company originally founded in 1994 by partners Steven Spielberg, Jeffrey Katzenberg, and David Geffen. In its early years, the studio worked with several different film companies such as Universal, Sony, and 20^th Century Fox. These collaborations saw much success by cranking out multiple critically acclaimed films such as the Academy Award winning American Beauty, Gladiator, and A Beautiful Mind. In 2005, Viacom, the parent company of Paramount Pictures, purchased DreamWorks for $1.6 billion. However, in 2008, DreamWorks decided it would end its deal with Paramount and signed on to a partnership with Indian investment firm Reliance ADA Group to produce its films. In addition to working with Reliance, DreamWorks also maintains a deal with the Walt Disney Company, who markets and distributes its films. [1] [2]

Financials

Because DreamWorks Studios is a private company, specific financial information is not exactly attainable. However, by analyzing the budgets and revenue from the studio’s recent films, one can have a good idea about how the company is doing. At the time of it’s deal with Reliance, it was a known fact that DreamWorks had quite the amount of debt, and the $600 million invested by the firm arguably saved the film company from going under. With the creation of it’s subsequent movies, DreamWorks was once again beginning to see success. In 2014, the studio released two films- Need for Speed and the One Hundred Foot Journey.

With a budget of $66 million, Need for Speed ended up bringing in $203.3 million in revenue- thanks to it being highly popular in foreign markets such as China and Russia. Clearly by making back more than three times it’s budget, the movie can be hailed as a

Need for Speed movie poster, courtesy of wikipedia.org

“Need for Speed” movie poster, courtesy of industrialcolor.com (f)

financial success for the studio. Despite garnering negative reviews, Need for Speed most likely drew all of its audience due to the internationally popular video game it was based off of. The movie’s action packed plot and showcase of fast cars was definitely aimed at a male audience ranging from 15-35, which is the exact demographic that plays the video game around the world. Seeing as the game has this existing wide audience, it makes sense that they flocked to see the film and brought in so much revenue.

Sticking with the trend, the One Hundred Foot Journey made a total of $88.8 million- which is

Hundred Foot Journey poster, courtesy of imdb.com (h)

“The Hundred Foot Journey” poster, courtesy of imdb.com (g)

four times it’s budget of $22 million. This success was most likely garnered by the film’s feel-good plot that is about something everyone can relate to- food. Additionally, it was produced by Oprah Winfrey and her company Harpo Productions. Seeing as Winfrey is so popular already (especially with women ages 25-64), she was probably able to draw in an even larger audience for the film by promoting it on her show, television network, etc.

Financially successful films such as these two are what has helped DreamWorks Studios escape from it’s initial early 2010s box office blunders such as Cowboys & Aliens and Fright Night– which just barely made back their budgets. [3] [4] [5] [6]

What’s Happening Now

As of Fall 2014, DreamWorks Studios has seen some huge changes with studio management and personnel. After seven years of acting as Chief Executive Officer and

: Michael Wright, courtesy of online.wsj.com (h)

Co-Principal Partner to Steven Spielberg, Stacey Snider left the company and was replaced by Michael Wright. Wright, who was formerly Head of Programming for TNT,TBS, and TCM, will begin his position as the new CEO starting on January 1st, 2015. He will report directly to Spielberg and will be in charge of all the creative aspects for the film side of the business. Although some are a bit weary that Wright’s television background will not translate well to the motion picture industry, Spielberg himself believes quite the contrary:

“He has a keen understanding of storytelling and how to deliver those stories in every shape and size, regardless of platform. I am delighted to welcome him.”

One thing is for sure, Wright’s background with edgier shows for TNT such as Major Crimes and the Last Ship is a likely indicator of what is in store for DreamWorks: more thrilling and grittier, adult-type content. Hopefully this new type of material will prove to even further revive the studio and bring in even more revenue.

Along with Wright, DreamWorks has also hired a new CFO- Lyndsay Harding from Evergreen Studios. Prior to working in the media and entertainment industry, Harding worked on Wall Street dealing with mergers and acquisitions for Goldman Sachs, and then in private equity for JPMorgan Chase. Her high business acumen will surely prove useful to the studio, as she will be able to tighten up budgets and continue decreasing debt. [7] [8]

For the Future

Within the next two years, DreamWorks is only planning on releasing two films: St. James Place and the BFG. Both films are currently in the early stages of production and are slated for releases in October 2015 and July 2016, respectively.

Hanks and Spielberg on set of St. James Place, courtesy of brooklyndaily.com (i)

St. James Place will be directed by Spielberg with a screenplay written by Matt Charman- revised by the famed Joel and Ethan Coen. It is a cold war era spy thriller, based on the 1960 U-2 Incident, and will star Tom Hanks, Amy Ryan, and Alan Alda. Based on this lineup, the film appears as though it will do well, seeing as the brands that are often attached to Spielberg, the Coen brothers, and Tom Hanks are positive and successful. The sole fact that their names are headlining will be enough to draw in a large audience of adults 17-60, even if the movie itself turns out to be sub-par.

In addition to St. James Place, DreamWorks is also working on the BFG, a film that will

The BFG novel, courtesy of barnesandnoble.com (j)

be based on the popular children’s book of the same name by Roald Dahl. The story follows a young girl and a friendly giant who go on a journey to vanquish evil giants who are threatening the human world. As of October, Mark Rylance, a three time Tony Award winner, has been cast to play the titular character. Because the book and its author are already so popular, the film will be sure to draw in mass audiences of children and their families. Its summer release is also a prime time, seeing as children will be out of school and more able to see the film in theaters. [9] [10] [11] [12]

Sources

[1] DreamWorks Studios – History, dreamworksstudios.com, RT: 11/29/14

[2] DreamWorks Studios – FAQ, dreamworksstudios.com, RT: 11/29/14

[3] Reliance Big in Talks with Spielberg’s DreamWorks, business-standard.com, RT: 11/29/14

[4] Box Office Mojo- Need for Speed, boxofficemojo.com, RT: 11/29/14

[5] Videogame ‘Need for Speed’ to be Turned into ‘Fast & Furious’-Style Franchise, indiewire.com, RT: 11/29/14

[6] Box Office Mojo- One Hundred Foot Journey, boxofficemojo.com, RT: 11/29/14

[7] Michael Wright to Replace Stacey Snider at DreamWorks as CEO, variety.com, RT: 11/29/14

[8] DreamWorks Taps Lyndsay Harding as CFO, variety.com, RT: 11/29/14

[9] Four Cast in Steven Spielberg’s Untitled Cold War Spy Thriller, dreamworksstudios.com, RT: 11/29/14

[10] Novice Screenwriter on Selling His First Script to Steven Spielberg, hollywoodreporter.com, RT: 11/29/14

[11] Steven Spielberg’s The BFG to be Released in 2016, telegraph.co.uk, RT: 11/29/14

[12] Mark Rylance Starring as ‘The BFG’ for Steve Spielberg, variety.com, RT: 11/29/14

Multimedia Sources

(a) DreamWorks Studios Logo, wholemovieinfo.com, RT: 11/29/14

(b) Steven Spielberg Photo & Info, dreamworksstudios.com, RT: 11/29/14

(d) Lyndsey Harding Photo & Info , dreamworksstudios.com, RT: 11/2914

(e) Jeff Small Photo & Info, dreamworksstudios.com, RT: 11/29/14

(f) Need for Speed movie poster, industrialcolor.com, RT: 11/29/14

(g) the Hundred Foot Journey movie poster, imdb.com, RT: 11/29/14

(h) Michael Wright, wsj.com, RT: 11/29/14

(i) St. James Set, brooklyndaily.com, RT: 11/29/14

(j) the BFG, barnesandnoble.com, RT: 11/29/14

DirectTV

Posted on October 5, 2014 by Nicholas Sabatino

by Nick Sabatino

Photo courtesy of www.interpretllc.com [1]

Contact Information

Headquarters: 2230 E. Imperial Hwy, El Segundo, CA 90245 Phone: (310) 964-5000 [2] Facebook: DirecTV Twitter: @DirecTV

Executives

President and CEO: Michael White Executive Vice President and Chief Financial Officer: Patrick T. Doyle Executive Vice President and President, DirecTV Latin America: Bruce B. Churchill [3]

President and CEO, Michael White
Photo courtesy of investor.directv.com [4]

About

DirecTV was founded in 1990 and was one of the country’s first satellite-cable providers. DirecTV offers quality television with a variety of channels, including many high definition (HD) channels. There are hundreds of channels on DirecTV and the number of channels a customer receives depends on the package that the customer buys. However, not only does DirecTV provide cable, they also provide On-Demand services, HD DVR products(recording devices) called Genie [5], and “TV Everywhere” applications so that you can enjoy your television shows or movies when you want, where you want, and on what device you choose.

DirecTV’s Genie: HD DVR
Photo courtesy of www.directv.com [6]

DirecTV is a satellite-cable provider, this means that instead of just having a cable box attached to your television inside of your home, DirecTV puts a satellite dish on top of your home. Appearance is mostly the only major difference. However, DirecTV has benefits over other cable providers. DirecTV is rated #1 in overall customer satisfaction, and has been ahead of cable for the past 14 years [7].

Financials

DirecTV offers its services in the United States and in Latin America. The company currently has over 37 million subscribers in these areas, and their revenues totaled about $30 billion dollars in 2013 [8]. DirecTV is a multi-billion dollar company traded publicly on the NASDAQ with the ticker symbol DTV. Their stock currently has a volume of 899,268 and it is being traded at $87.71 per share [9]. Over the past four years DirecTV has seen a substantial increase in subscribers. With that, came an increase in their stock value. Since 2010, DirecTV’s stock has rose about 60 points and it keeps steadily going up over time. These numbers are very good for DirecTV and proves that they are becoming more successful as a company and more people are choosing their product over others.

DirecTV stock over the last four years Photo courtesy of investor.directv.com

DirecTV’s stock price over the last four years
Photo courtesy of investor.directv.com [10]

AT&T Merger

In May of 2014, DirecTV proposed a deal to AT&T to join companies and create a merger. With this merger, AT&T could improve the services that DirecTV already has. AT&T would focus on improving the Internet quality in many areas of the country that DirecTV does business [11]. With improved Internet, customers would be able to get better access to On-Demand and Pay-Per-View options that DirecTV offers. It would also better allow for the DirecTV app to be on products such as iPads and iPhones that are contracted under AT&T service, so that DirecTV can be at your fingertips wherever, and whenever you want it to be. This is the concept of “TV Everywhere.”

Over the past few months, the merger has been overseen by the Federal Communications Commission (FCC) and the Justice Department over the legality of this merger. On November 20, 2014, DirecTV’s CEO, Michael White, said the deal should be approved next year. With this approved merger it is uncertain if DirecTV’s sales will go up. In a perfect market, the merger would cause an increase in the stock price of both AT&T and DirecTV. However, if one of the two company’s stock price starts to fall, being that both companies are in a merger, investors will sell their stock from the attached company and then both companies will have a decrease in stock price. This results in a loss of money for both AT&T and DirecTV [12].

AT&T and DirecTV Merger
Photo courtesy of www.accessnorthga.com [13]

International Expansion

In 2006, DirecTV gained 100% ownership of DirecTV Latin America [14]. With the expansion into new countries, DirecTV has asserted itself as more of a global brand. As of 2013, the number of subscribers that are from Latin America is about 18 million, which is an increase of about 9 million subscribers compared to the year 2010 [15]. With the success of expansion into Latin America, it is probable that DirecTV will expand into other markets as well and become even larger of a company. In the end of the day, it is all about getting your product to as many people as possible and making as much money as possible.

The DirecTV satellite dish portrayed as being on top of the Latin American countries where DirecTV is in. Photo courtesy of www.gigaom.com

DirecTV has expanded to Latin America.
Photo courtesy of www.gigaom.com [16]

Raycom Media

Back in September of 2014 there was a dispute between DirecTV and a broadcasting company called Raycom Media [17]. The dispute was over the broadcasting of Raycom Media’s channels through the means of DirecTV. The two companies did not come to a financial agreement by September 1st (the deadline) so for customers that had DirecTV they were unable to watch any Raycom Media channels for several days. Raycom Media is in 37 markets and 18 states, and they provide many different forms of television [18]. A major concern among people who had DirecTV and were in a Raycom Media market was the fact that they would not be able to watch some of the opening day NFL games on September 7th. Raycom and DirecTV made sure that this did not happen because of the potential financial loss that could have come from it. Agreements were made, and on September 7th customers were reinstated with their television channels.

Original Programming and What to Expect in the Future

Over the past few years DirecTV has entered into the world that Netflix and Hulu are also in. It’s the world of original programming, and it is the key to gaining more viewership, and in the case of DirecTV, more subscribers [19]. DirecTV’s goal is to have shows that viewers cannot get anywhere else. If this happens, then people may substitute the cable provider that they already have for DirecTV. DirecTV has their own channel called “Audience” that is only on DirecTV. On this channel is their newest show called Kingdom, and it came out in Fall of 2014. It stars Nick Jonas as a mixed martial arts fighter [20]. There is also a crime drama starring Thandie Newton called Rogue.

Click photo for Kingdom trailer courtesy of Youtube. Photo courtesy of www.directv.com

Click photo for Kingdom trailer, courtesy of www.youtube.com
Photo courtesy of www.directv.com [21]

There is even a special channel called “DogTV,” which is a channel specifically made for your dog to watch.

DogTV Trailer Photo courtesy of www.directv.com Commercial courtesy of www.youtube.com

Click photo for DogTV Commercial
Photo courtesy of www.directv.com
Commercial courtesy of www.youtube.com [22]

DirecTV also prides itself on its sports channels and packages. They have many packages, but their most popular one is the NFL Sunday Ticket. Every Fall if you are a customer that has NFL Sunday Ticket you can watch every NFL game that airs every Sunday [23]. New this Fall too is the introduction of NFL Fantasy Zone, a show which is all geared towards Fantasy Football. Expect growth in this department over the next few years.

There is also an ongoing dispute currently taking place between DirecTV and AMC. AMC is threatening to take away all of their channels (AMC, We TV, IFC, and Sundance) because they are claiming that DirecTV violated the existing deal that they had with them [24]. AMC is running campaigns during its show The Walking Dead, and DirecTV has an online petition[25]. DirecTV says that AMC is issuing a false alarm and nothing will happen. This is a developing story that needs to be kept a close eye on in the coming months.

In the near future, expect DirecTV to come up with more original content, renewal of their successful shows, expansion into new countries, and new and better deals to lure new customers to their services.

Sources

[1] DirecTV Logo. Interpret. RT: 4/30/14

[2] DirecTV Headquarters. eCorporateOffices.com. RT: 4/30/14

[3] Corporate Governance: Elected Officers. Investor.directv.com. RT: 4/30/14

[4] Michael White. Investor.directv.com. RT: 4/30/14

[5] DirecTV Genie. DirecTV.com. RT: 4/30/14

[6] DirecTV Genie. DirecTV.com. RT: 4/30/14

[7] DirecTV vs. Cable. DirecTV.com. RT: 4/30/14

[8] DirecTV 2013 Annual Report. Investor.directv.com. RT: 4/30/14

[9] Stock Quote and Chart. Investor.directv.com. RT: 4/30/14

[10] Stock Quote and Chart. Investor.directv.com. RT: 4/30/14

[11] “DirecTV CEO Expects Feds to OK AT&T Merger”. BostonHerald.com. RT: 4/30/14

[12] “3 Reasons DirecTV’s Stock Could Fall”. Fool.com. RT: 4/30/14

[13] “AT&T Agrees to Buy DirecTV in $45.8B Deal”. AccessNorthGa.com. RT: 4/30/14

[14] Company Profile. DirecTV.com. RT: 4/30/14

[15] DirecTV 2013 Annual Report. Investor.directv.com. RT: 4/30/14

[16] “DirecTV Adds Another 600,000 Latin American Users in Q1”. Gigaom.com. RT: 4/30/14

[17] “Raycom Media Restores 43 Local Stations to DirecTV Homes”. News.directv.com. RT: 4/30/14

[18] “Raycom Media Reaches Agreement In Principle With DirecTV”. RaycomMedia.com. RT: 4/30/14

[19] “DirecTV tries to join Netflix, Hulu With New Original Series Kingdom: Can They Compete?”. SheKnows.com. RT: 4/30/14

[20] “Stepping Into the Cage with Kingdom‘s Jonathan Tucker”. News.directv.com. RT: 4/30/14

[21] Kingdom Poster. DirecTV.com. RT: 4/30/14

[22] “DogTV Commercial – Been There Done That – Part 2”. Youtube.com. RT: 4/30/14

[23] “How DirecTV is Capitalizing On Growth of Fantasy Football”. Forbes.com. RT: 4/30/14

[24] “AMC Sounds Alarm About DirecTV Tussle During ‘Walking Dead’ Episode”. Variety.com. RT: 4/30/14

[25] “Don’t Let AMC Scare You!”. directvpromise.com. RT: 4/30/14

Cablevision

Link

by Steven Spohr

Summary

Source – Cablevision.com

Founded in 1973, Cablevision Systems Corporation is a leading telecommunications company that primarily offers television, phone, and Internet services to millions in the NY metropolitan area. Initially serving a mere 1,500 customers on Long Island, Cablevision has since expanded to offer WiFi, a leading local newspaper, and business communications solutions to its over 3 million subscribers. Former properties include Madison Square Garden and Rainbow Media Holdings. [1]

Source – Optimum.com

Cablevision’s television, phone, Internet, WiFi, and business solutions all operate under the ‘Optimum’ brand name. These include (but are not limited to) –

Optimum TV – exclusive home of News 12 Networks, a series of local news channels
Optimum Voice
Optimum Online
Optimum WiFi
Optimum Lightpath – a “leading provider of integrated business communications solutions that meets the needs of larger companies” [1]

Source – www.newsday.com/

Cablevision also owns Newsday Media Group, which runs two local papers. Newsday is a Pulitzer Prize-winning daily newspaper that has been in circulation since 1940. Over 70% of Long Island adults read Newsday, and its articles and reporting have won numerous awards and made it the top paper on Long Island. To provide the most local news possible, Newsday works closely with MSG Varsity (part of the News 12 Networks) to provide detailed coverage of local high school and college sports. amNewYork offers a quick read of city news and events. In addition to the papers, NMG owns Star Community Publishing, which producers weekly shopper publications in Long Island and Queens. It is the largest publisher of its kind in the Northeastern United States. [2]

Leadership

The Dolan family founded Cablevision and continues to lead the company today. Key personnel include [3] –

Charles Dolan – Founder and Chairman / Source – Sean Smith, The Boston College Chronicle

James Dolan – Chief Executive Officer / Source – Al Iannazzone, Newsday.com

Kristin Dolan – Chief Operating Officer / Source – Variety.com

Brian Sweeney – President / Source – POST Online Media

Gregg Seibert – Vice Chairman and Chief Financial Officer / Source – Business Wire

Hank Ratner – Vice Chairman / Source – The Madison Square Garden Company

Financials

A detailed map of Cablevision’s stock pricing in 2014. / Source – Yahoo! Finance

2014 has seen Cablevision’s stock (CVC) prices gradually increase throughout the year. Starting the year at $17.22/share, CVC stock stands at $20.32/share as of November 29th. February 3rd saw the year’s low of $15.85. Prices peaked in late July, mid-September, and late November. [4]

The following financial information is from Cablevision’s Third Quarter 2014 Results.

Net revenue increased 3.7% to $1.62 billion.
Cable advertising revenue grew 6.8%
Average Monthly Cable Revenue per Customer increased 5.7% to $154.50/customer/month. [5]

These figures represent a continued loss of subscribers for Cablevision across the board. Between satellite TV providers, rival phone companies, and the public’s shift to watching TV online, Cablevision’s audience is becoming fragmented. The company chose to increase its subscription rates in response to decreasing numbers, which is represented by the net revenue and AMCR/C increases. [6]

Recent News

The latter half of 2014 has been a busy one, with notable hirings, financial news, legal troubles, and more.

August 4th

August 4th saw Cablevision’s announcement that it has hired David Dibble as Chief Technology Officer, a newly-created role. Dibble is formerly of Yahoo!, and his hiring is part of Cablevision’s efforts to “become the premier connectivity provider in the market, delivering a peerless customer experience”. [7]

November 7th

A New York Times article revealed a major legal proceeding against Cablevision. The National Labor Relations Board has charged Cablevision CEO James Dolan with “illegally threatening to deny company technicians in Brooklyn a pay increase unless they voted to quit their union”. The NLRB also charged Cablevision itself with “illegally [undermining] the union’s representation of those workers by sponsoring a nonbinding poll to determine whether they wanted to leave their union”, while some workers reported they were being ‘spied on’ during the vote. Federal law states that such a vote can only be conducted by the labor board, not the company. CEO Dolan fired back, calling the NLRB “a tool of Big Labor” and questioning the validity of its findings. The case is ongoing, and Cablevision has stated it will appeal to federal courts, if necessary. [8]

CEO Dolan has plenty of reasons to be frustrated, especially with his ongoing legal troubles with the National Labor Relations Board. / Source – ESPN.com

November 11th

Cablevision teamed up with Time Warner Cable to release the first ever “New York Television Audience Insights Report”. The report sampled the 3.5 million subcribers of Cablevision and TWC in the New York area, which is half of the TV homes in the region. Its aim was to help advertising and marketing departments and companies get better value out of their advertising purchases. Some key findings include –

74% of all TV programming watched was outside of traditional TV ‘prime time’ (8-11PM).
On average, a subscriber will only watch 25 channels in a month.
a whopping 90% of all viewing comes from a mere 100 channels. [9]

These new insights will help create better statistics for TV viewership and aid advertisers in spending money more efficiently.

November 18th

New York City Mayor Bill de Blasio announced that the city is planning an extensive new WiFi network across the five boroughs. The project, dubbed LinkNYC, would provide not only free WiFi, but also no-cost domestic calling and video chat. The 10,000 hotspot system would replace the city’s decaying network of archaic payphones and operate completely with money generated through advertising. Projected to cost around $200 million, LinkNYC would bring in over $500 million over the next twelve years, according to city officials.

This announcement led some to think Cablevision’s Optimum WiFi network would be threatened by this new, massive competition. Cablevision officials have not only dismissed these musings, but have actively worked with New York City on a number of initiatives, possibly including LinkNYC itself. [10]

Mayor-Elect De Blasio Makes Announcement

Mayor de Blasio’s ambitious project looks to dramatically improve WiFi services within the five boroughs. / Source – PIX 11

November 22nd

The Lewisboro Ledger revealed that Cablevision has a new deal with the town of Lewisboro (Westchester County). The deal, which primarily concerns franchising fees, has a number of key improvements –

Over $270,000 in new franchising fees are expected in 2015.
Free cable would be provided to 16 municipal and school buildings, including the public library.
New offers would include a senior discount for those aged sixty-five and older.
Town Board meetings would become available for live-streaming.
The town’s parks and baseball fields will become WiFi-equipped. [11]

November 25th

Kids video-on-demand network Kabillion announced a carriage deal with Cablevision. Kabillion, which is the only independently-owned VOD network ranked in the Top 10 Kids Free On Demand list, will now reach over 50 million homes nationwide. The deal is beneficiary to Cablevision too, as Kabillion reports views exceeding 65 million in 2014. [12]

Bibliography

Principles & Practices

Website by the students of TRF235

Tag Archives: Audience