Tag Archives: CBS

Regulating Risque Content: Obscenity and Violence on Television

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by Macy Jenkins

First Amendment

“Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.” [1]

Material labeled “obscene” is not protected by the First Amendment, and therefore is subject to banning and criminal prosecution by federal and state governments.

Federal Communications Commission

The Federal Communications Commission (FCC) was established by Franklin Roosevelt in 1934.  The Commission had the right to restrict content, to require fairness in political programming and to regulate public use.  The fairness doctrine was dropped in the 1980’s but laws against obscenity, indecency, and profanity have prevailed since the 1950’s. [2]

Obscenity vs. Indecency vs. Profanity

A three-pronged test was established by the Supreme Court to define obscenity:

  • An average person, applying contemporary community standards, must find that the material, as a whole, appeals to the prurient interest
  • The material must depict or describe, in a patently offensive way, sexual conduct specifically defined by applicable law
  • The material, taken as a whole, must lack serious literary, artistic, political or scientific value. [3]

Indecency is defined by the FCC as “language or material that, in context, depicts or describes, in terms patently offensive as measured by contemporary community standards for the broadcast medium, sexual or excretory organs or activities.”

Source: West Seattle Funblog

Source: West Seattle Funblog

Profanity is defined by the FCC as “language so grossly offensive to members of the public who actually hear it as to amount to a nuisance.”

It is a violation of federal law to (1) air obscene programming at any time, or (2) air indecent programming or profane language on broadcast television or radio between 6:00 am and 10:00 pm time. [3]

Although the FCC has the power to revoke a station’s license for noncompliance, it will typically charge the network with fine but leave their licenses in place.

Federal Communications Commission vs. Fox Television Stations (2012)

The gist of it: The FCC wanted to fine FOX for “fleeting expletives” on awards shows by Cher and Nicole Richie in 2002 and 2003.  (Before 2004, the FCC banned only repeated uses of certain four letter words).  The FCC also fined ABC over one million dollars for showing seven seconds of buttocks and a glimpse of “side breast” on NYPD Blue.

The ruling: The Supreme Court ruled that the FCC’s regulations were unconstitutionally vague and not clear enough for broadcasters to be able to follow them. [4] It held that broadcasters had a right to be warned if changes were going to be made to FCC policy. [5]

Recent headlines

Superbowl profanity

CBS is currently under fire after airing profanity during the Superbowl.  Just after the Baltimore Ravens beat the San Francisco 49ers, Ravens quarterback Joe Flacco used the F-word and another player said another curse word.  The moment aired on CBS because the network hadn’t set up a time delay.  The Parents Television Council (PTC) is calling for the FCC to fine CBS.

Ironically, CBS had set up a time delay for Beyonce’s halftime performance – remember Janet? – but did not set up a time delay for the on-field coverage. (Photo by Christopher Polk/Getty Images)

Ironically, CBS had set up a time delay for Beyonce’s halftime performance – remember Janet? – but did not set up a time delay for the on-field coverage. (Photo by Christopher Polk/Getty Images)

PTC president Tim Winter said the following in a statement [6]:

“Now nine years after the infamous Janet Jackson incident, the broadcast networks continue to have ‘malfunctions’ during the most-watched television event of the year, and enough is enough.  After more than four years of inaction on broadcast decency enforcement, the FCC must step up to its legal obligation to enforce the law, or families will continue to be blindsided.”

A 2011 study by The Parents Television Council found a 69% increase in profanity on primetime television between 2005 and 2010. [7] Source: Parenting Starts Here

A 2011 study by The Parents Television Council found a 69% increase in profanity on primetime television between 2005 and 2010. [7] Source: Parenting Starts Here

Egregious Cases ONLY

On April 1st, the FCC announced that September 2012, it had eliminated 70% of its pending indecency complaints.  That’s over one million cases.  FCC Chairman Julius Genachowski stated that FCC officials will only focus on the “most egregious examples” of violations. [8]

A large concern is the amount of backlog that the agency is up against.  At the same time of the announcement, the FCC asked for a public comment as to whether the cut back on the enforcement should actually occur.

PTC’s Winter weighed in on this, saying “either material is legally indecent or it is not.”

Violence in American Television

Violence is more prevalent than sex in American television.  Some believe we’ve simply become desensitized to violent scenes.  Experts believe the effects of continuous violent depiction is detrimental to society as a whole.

Self Regulation

Each network has a standards and practices department, which reviews programming and advertisements.  The idea is to regulate content to keep many different parties happy.  They have to meet FCC restrictions, intellectual property guidelines and personal rights requirements.  At the same time, the networks are concerned with serving the good of society and also preserving the image of the network.  And they have to keep a broader range of advertisers happy than cable networks do. [9]

V-Chip Technology

A “V-chip” allows adults to block television programs that they don’t want children to watch.  Each program is encoded with a rating (see below).  Adults can then program their televisions to only allow programs with a certain rating to be accessible.  The Telecommunications Act of 1996 required all U.S. television sets to have V-chips. [10]

Content Rating System

The ratings system established in 1997 [9]:

  • TV-Y:         Appropriate for all children
  • TV-Y7:       Appropriate for children 7 and older
  • TV-Y7-FV: Programs in the Y7 category with more intense or combative fantasy violence
  • TV-G:         Appropriate for a general audience
  • TV-PG:      Parental guidance suggested
  • TV-14:       Parents strongly cautioned – probably not suitable for children under 14
  • TV-MA:      Mature audiences only

Many are unhappy with the V-chip because a lot of people don’t even know how to use it.  And networks tend to “go light” with ratings or risk scaring off advertisers.  [11]

Violent Content Research Act

Senator Jay Rockefeller Source: csmonitor.com

Senator Jay Rockefeller
Source: csmonitor.com

Senator Jay Rockefeller (also chairman of the Senate Commerce Committee) D-W.Va., introduced the “Violent Content Research Act” in January.

His aim is to get the National Academy of Sciences to study the effects of media violence.  Specifically, he wants them to look at the effect that violent programming has on child behavior. [12]

“Congress should do everything we can to address gun violence.  We need comprehensive policies to fully protect our communities. This study is an important element of this approach.” [13]

Future of Content Regulation

When you boil it down, the content we see on television is determined by the green.  If it’s too risque for advertisers, networks will adjust to please them. If it’s too risque for the viewers (and their children), networks will adjust to please them.  Networks want plenty of happy advertisers; advertisers want plenty of happy viewers; and viewers…well what they want changes from minute to minute.  The challenge is keeping up.

Sources

[1] “Bill of Rights”  http://www.archives.gov/exhibits/charters/bill_of_rights_transcript.html

[2] “Regulating Television” http://chnm.gmu.edu/exploring/20thcentury/regulatingtelevision/

[3] “Obscene, Indecent and Profane Broadcasts” http://www.fcc.gov/guides/obscenity-indecency-and-profanity

[4] “Critic’s notebook: FCC vs. Fox, the Supreme Court decides” http://articles.latimes.com/2012/jun/22/entertainment/la-et-st-fcc-vs-fox-supreme-court-ruling-20120622

[5] “Federal Communications Commission v. Fox Television Stations, Inc.” http://www.scotusblog.com/case-files/cases/federal-communications-commission-v-fox-television-stations-inc/

[6]  “Super Bowl F-bomb could put FCC in a bind.” http://blog.constitutioncenter.org/2013/02/super-bowl-f-bomb-could-give-fcc-a-headache/

[7] “PTC Files Supreme Court Brief in Support of Broadcast Decency.” http://www.parentstv.org/PTC/news/release/2011/0915.asp

[8] “FCC to target ‘Egregious’ Indecency Cases” http://www.tvnewscheck.com/article/66560/fcc-to-target-egregious-indecency-cases?ref=search

[9] “This Business of Television,” Third Edition; Blumenthal, Howard J. & Goodenough, Oliver R.; Billboard Books (2006).

[10] “Children and TV Violence” http://www.aacap.org/page.ww?name=children+and+TV+violence&section=Facts+for+Families

[11] “A 15-year failure? Parents Television Council says TV content ratings are flawed” http://www.deseretnews.com/article/865564776/A-15-year-failure-Parents-Television-Council-says-TV-content-ratings-are-flawed.html?pg=all

[12] “Rockefeller Pushes Senate Bill Calling for Study of Violent Content” http://www.thewrap.com/media/article/rockefeller-re-introduces-senate-bill-calling-study-violent-content-74656

[13] ”Gun Violence Legislation: Senate Bills Emerge With Bipartisan Support” http://www.huffingtonpost.com/2013/01/24/gun-violence-legislation-senate_n_2546382.html

//

Distribution

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By Ali Zaslav

          What’s Changed in TV Distribution?

In the television business, distribution is the key component in making content accessible and viewable by consumers on traditional and new platforms. Distribution is not only the way programming reaches audiences, but is a large component of programmers and distributors business models.

laptop_ipad_iphoneTraditionally TV distribution used to be much simpler; it was primarily through TV and consumed on the TV set. In this old media structure there were barriers to reaching consumers, (you would have to own a network or have a program carried by one). Today broadband allows for video content to be carried and viewed on the web. Countless individuals and companies can now reach viewers in new ways with all types of video content.

promo-tv-everywhereTelevision is still the primary way people consume video but new devices and new content are beginning to change consumers viewing behavior.  Viewers can watch traditional TV or now have the option to aggregate their favorite videos through many new options like Netflix, Hulu, Amazon, or TV Everywhere and watch them on their TV, or a tablet, phone or computer. The rise of new platforms to distribute TV content through DVR and VOD plus online viewership has resulted in a number of exciting developments for programmers and distributors, as well as real threats and challenges.

cableRight now television content distribution can be broken down into three categories: traditional distributors, new challenging distributors, and programmers that try to take advantage of all avenues of distribution.  Programmers now distribute through the traditional multi-channel operators (Time Warner), phone companies (Verizon & AT&T) and satellite distributors (like Dish and DirectTV) and new avenues like apps, TV Everywhere through a cable operator or digital offerings like Netflix.

Traditional Distributors in the TV Market

MSO’s, satellite, and phone companies are actively trying to delve into the growing market of cross platform viewing and video streaming. A recent development is TV Everywhere.

xfinity_logoComcast successfully released Xfinity on demand and struck deals with cable networks, broadcasters, and pay TV to stream their content online for Comcast subscribers. Applications like TV Everywhere are being released by a multitude of distributors, allowing consumers to stream their carried programming on any tablet, phone or computer. Time Warner now has TWC TV and Cablevision has TVtoGO.  Phone companies also provide online streaming; Verizon streams FiOS TV and AT&T streams U-verse.

directv everywhere

In February, DirectTV joined the online game and released DirectTV Everywhere. For traditional distributors, “TV Everywhere” has become an important part of their distribution model. But their applications have a lot of competition coming from Netflix, HuluPlus and Amazon which offer library’s of content and more recently original or exclusive programming.

Rising Challengers to Traditional Distributors

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The development of broadband as a vehicle for video has spurred huge entrepreneurial investment in companies like Netflix, Apple, Amazon, Hulu, YouTube as well as user-generated content. Traditional distributors are being challenged by new online distribution channels like Netflix, Hulu, Amazon, Apple TV, and Google (YouTube). These distributors are offering very appealing services to consumers and at low costs (Netflix & HuluPlus: both $8 a month and Amazon Prime $79/ yearly), or in the case of the web, Google or YouTube for free (you only need to have broadband). In addition, there is easy access through many devices like the computer, Xbox, iPad, etc with a wide range of content. We know this is appealing to consumers since Netflix recently grew to almost 28 million subscribers[1].house-of-cards-poster

For the past few years Netflix, Amazon and HuluPlus have provided old shows, almost like a library service. This year Netflix shook up its programming strategy when it released original content “House of Cards”. They did what no distributor or programmer has done before: presenting an entire television series “House of Cards” to subscribers upfront.  The viewer can than choose to watch the show all at once or at their own pace instead of once a week. In some ways, this strategy makes Netflix a competitor to HBO and cable channels. It also has blurred the lines as to what kind of company Netflix is: a distributor or original programmer? Further following a similar lead, Amazon is now promoting that they have exclusive content that you can only find and watch on Amazon[2].

apple_tv_boxApple’s release of the Apple TV has further blurred the lines of traditional distribution; offering the perks of online streaming and TV together. Further Hulu Plus and other services are offered on the Apple TV [3]. These advancements have changed how the media works and how television content is distributed to consumers. Netflix offering original content, the Apple TV, Hulu Plus and Amazon’s exclusive content offerings shows how fast things are transforming in the distribution and video content business
  TV Programming Distribution Strategies
Broadcast and cable networks, to stay competitive, have been dabbing into online streaming, tablet apps, and phone applications. Most cable networks do their best to offer applications that distribute some recent episodes, behind the scenes clips, best of clips, etc. However cable networks tend to limit the amount of long-form content because the distributors they partner with would not pay them as high of a sub fee for their programming. A critical part of the business model for cable programming services is maintaining a strong sub fee with distributors.

[15]Cable channels like A&E, Discovery, History, Lifetime and many others have iPad applications. Disney offers “Watch” to stream ESPN and Disney Channel to computers and other devices [4]. Recently on the broadcast side, broadcasters have been making more content available on their websites and through services like Hulu.  Since broadcast don’t rely on sub fees they have been much more aggressive in moving their content to other platforms than cable. And just this month ABC and CBS both came out with tablet applications to stream their television series.

Conclusion

Distributors have been and must adapt to new technologies, platforms and consumer demands.  Despite the buzz that cable and broadcast are “dying mediums,” the Neilson graph below shows that while online viewership is increasing, people are still consuming a large percent of content on the TV set[5]. eeeee

The real measure of the success of TV distributors will be how well their offerings satisfy consumer interests in viewing content how and when they want too. If the traditional distributors don’t provide it, new companies like Netflix and Apple will meet that demand.

 

 

Television Production

Posted on by 
by Elice Miller

 

picture-for-post-23

Source: http://tvisnotdead.com/category/production/

Overview

In the television business, producing a successful show involves many factors. There are normally three stages to television production, Pre-Production, Principal Photography and Post Production. The main locations where shows are produced are either Los Angeles or New York, however some other U.S. metropolitan areas are also used to produce a show. Before a show can even reach the stage or pre-production programmers will require a package. This is a collection of key assets that differentiate one property from another. The main performers, the producers and the story line are also closely related to the concept and how it will be executed.

Pre-Production

Pre-Production is the stage of production which involves planning and development, financing and deal making as well as securing people to produce and appear in the television show. This is the period of time when a series is scripted, the actors are cast, sets are built and a production crew is hired. The producer or production company create a full-scale budget, schedule and production plan once a project is given a green light. The budget must be planned very carefully in order to assure that the project is delivered without exceeding the available funding and to make sure that the producer makes a profit. Pre-production on a show ends once the planning ends and content starts being produced. Most shows do not get a green light, because they cannot secure financing.

pilot

Source: http://kenlevine.blogspot.com/2011/09/my-thoughts-on-pilot-season-so-far-one.html

Once a network has given a script a green light, it will order a pilot of the television show. Television pilots are standalone episodes of a television series that are used to sell the television show to a network. These episodes are used as testing grounds to gauge if a series will be successful. Sometimes a network will pick up a show after watching a pilot but will not air the episode. Instead, it will be reshot and even recast after it is given the green light. Variety estimates that around 20 pilots are ordered by a network, which are typically made up of half comedy, half drama. About half a dozen of these are actually picked up to become the premier episodes for the show. The rest are passed by the network and generally never seen again.

The big five networks, ABC, NBC, CBS, Fox, and CW have ordered nearly 100 pilots for the fall 2013 season. The networks ordered a total of 87 pilots last year. The Hollywood Reporter offered a breakdown of the pilots ordered:

Grand total: 98 (vs. 87 in 2012)
Drama total: 50 (vs. 42 in 2012)
Comedy total: 48 (vs. 45 in 2012)
Single-camera total: 34 (vs. 30 in 2012)
Multicamera total: 14 (vs. 15 in 2012)

Just because a network has picked up a pilot does not mean that it will last throughout the season. If the television show receives low ratings within the first few weeks of airing, a network will normally cancel a show. This spring 2013 saw many new television shows get canceled. Zero Hour (ABC), Do No Harm (NBC), and The Job (CBS) are notable shows that were canceled after airing less than five episodes.

Principal Photography 

Source: http://kenlevine.blogspot.com/2011/09/my-thoughts-on-pilot-season-so-far-one.html

Source: http://kenlevine.blogspot.com/2011/09/my-thoughts-on-pilot-season-so-far-one.html

This is the phase of production when the actors are finalized for their roles and locations have been secured for filming. At this point the development team has created a plan for filming and financing the show. The term principal photography refers to the phase of production when the majority of footage and sound are recorded. This stage takes place either at a soundstage or filmed on location. Filming on location means securing permits to shoot in an actual real-life setting. Shooting a show normally means rigorous 12-hour workdays. Television episodes are filmed in groups called blocks, and rely on the availability of resources and the restrictions of the production schedule. Large sets can be altered to look like many different locations simply by changing set pieces or lighting. For example, a dark scary park can also be a beautiful garden by using contrasting lighting and changing a few set pieces. Techniques like this help to keep the cost of production down, since this is the most expensive phase of production. Most directors and producers will shoot the most expensive production elements first so that the budget can be allocated for the rest of the scenes.

Post Production

Once the first few episodes of a show have been filmed, the post-production phase begins. All of the footage that has been recorded is edited and sequenced and special effects are added. Sometimes additional dialogue needs to be recorded in the studio and it is layered into the recorded footage. During this last stage of production the production team will screen episodes to their target demographic. This can help gauge the public response to the show and if it is negatively received then it can be altered or reedited before releasing to the public.

Production Companies

Source: http://www.marycollins.com/production-companies-and-recording-studios

Source: http://www.marycollins.com/production-companies-and-recording-studios

Production companies provide the physical basis for filming. Television programs are produced in a variety of entities, from small companies to large multinational corporations. Many corporations employ in-house producers for internal communication reasons. Outside production companies will handle Television networks and local stations will employ producers, who’s main job are to control costs and manage brand identities. Producers are held responsible for a television show’s overall quality and survivability. There are a variety of producers that work on a television show.

Producers

Typically, the main producer and the writer are normally the same person; this ensures that a producer can make sure that a project stays true to its brand. There are many different types of producers; the executive producer or the “chief executive” is in charge or everything relating to the production of the show. Executive producers can be the head writers of a show, the CEO of a production company, or a producer on the writing team and may serve on the board of directors. The co-executive producer is second in charge behind the executive producer, and assists with the development and daily management of the show. The associate producer runs day-to-day operations for the show.

Many stations will have producers that work on multiple projects for the network. For example, Seth MacFarlane has three television shows in production on Fox network. Another notable producer is J.J. Abrams, who has produced shows on multiple networks throughout the years.

Sources

1. The Business of Television, Bleumenthol & Goodenough

2. http://www.wisegeek.com/in-the-film-industry-what-is-pre-production.htm#did-you-know

3. http://tvisnotdead.com/category/production/

4. http://www.ehow.com/how-does_5137630_tv-production-process.html

5. http://www.hollywoodreporter.com/gallery/ruby-slippers-delorean-marilyn-monroe-wedding-ring-auction-272009

6. http://www.dailymail.co.uk/news/article-2192882/Artists-sketch-floorplan-Friends-apartments-famous-TV-shows.html

7. http://variety.com/static-pages/slanguage-dictionary/?layout=slanguage_result&slang=busted+pilot&x=0&y=0

8. http://www.hollywoodreporter.com/gallery/faces-pilot-season-2013-416223

9. http://www.nytimes.com/2013/03/06/arts/television/fall-tv-pilot-season-is-in-full-swing.html?_r=0

10. http://www.hollywoodreporter.com/live-feed/tv-pilot-season-2013-by-the-numbers-422351

11. http://www.huffingtonpost.com/2013/04/02/unaired-tv-pilots_n_2998504.html

12. http://www.huffingtonpost.com/2013/02/08/do-no-harm-canceled-nbc_n_2649224.html

13. http://videoproductiontips.com/equipment-needed-to-set-up-a-simple-video-studio/

14. http://youtu.be/MBZUkFpRW1I

Programming and Program Development

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Programming has traditionally been made up of two dominant genres, the drama and the situational comedy (or sitcom). In a typical week’s prime time schedule, the major five broadcast networks (ABC, CBS, CW, Fox, and NBC) air a combined 43 hours of dramas and 18 hours of comedy. Another notable genre in the current schedule is reality and competition shows which currently make up 14 hours of the broadcast schedule. When looking into the broader scope of television, more and more genres begin to emerge. Currently on cable and premium networks, dramas and sitcoms also dominate the schedule but they are accompanied by more diverse programming such as mini-series, more reality, and developing genres such as mock reality. Schedules are constantly changing and adapting as new programs are developed and programs begin to come off the air. The development process is unique for each genre and the current season has already showed some success and failures.

Drama

The beginning of any drama series typically happens in one of three ways. Either a writer-producer meets with the network and a concept emerges which then turns into a script or a writer-producer already has a script and pitches it to the network. The third common way for a show to develop is for a highly regarded star to decide they want to do a television program and a team is assigned to develop something which fits their needs. Once a script is written and the network approves along with a cast and crew, a pilot is produced and shown to the network. How many pilots are commissioned is dependent upon the networks overall tone, for example The CW is unlikely to produce a large amount of comedy pilots since their schedule is dominated by dramas, along with their current needs. If not many dramas survive the season, more are likely to be commissioned for the next season.

In the current pilot season, Vulture magazine has already spotted several programming trends. One of which is franchise programming. Shows such as NCIS, The Vampire Diaries, and Chicago Fire all have related pilots being worked on. Going off of the success of Once Upon a Time, there is also a tendency towards magical or supernatural themed programs. Vulture predicts a rise in “House” type characters as well as many bigger name stars following Kevin Bacon back to the smaller screen. Much of this is based off of the successes of this past season and an effort to keep promising trends rolling.

One of the more successful launches this Spring was Fox’s The Following starring Kevin Bacon. The show has already been picked up for a second season and has been consistently winning it’s time slot.

A significant drama which went off the air this spring was The CW’s Gossip Girl. While not a major player in the ratings, Gossip Girl was still influential in it’s run on the CW as a trend setter for other programming. The network saw an uptick in the amount of programs focusing on the glamorous and elite such as 90210 and this season’s The Carrie Diaries.

Cable networks typically are more adventurous in their programming and have been seeing a lot of success lately.

walking-dead-season-3-castAmong the biggest successes is AMC’s The Walking Dead. It is a slightly nontraditional show that has garnered huge ratings for the cable network. It was a major Sunday night competitor this season despite not being on a major broadcast network.

Another major program this spring was The History Channel’s mini series The Bible. It received a lot of attention for it’s content and created a viewing war with The Walking Dead.

Comedies

Comedies are developed in a very similar way to dramas. Typically more comedy pilots are produced each year because they are shorter and quicker to make. However, more concepts are abandoned and there are different standards for determining what shows get picked up. A comedy will rarely be picked up just because it’s funny. Comedies are evaluated more based on the current schedule and where there are holes. If a current show is going off the air or needs a stronger lead in, then a comedy has a stronger chance of making it to air. There is also a different target demographic for comedies. They are intended to appeal to younger, typically less educated, and lower income than other types of programming.

30983NBC had a much hyped new series in 1600 Penn which was given an early release of the pilot. The show did not hold an audience well and saw continually declining ratings. NBC chose to end the season early by airing multiple episodes in a night. The scheduling change combined with declining ratings led to cancellation rumors.

A more successful show this spring has been ABC’s How to Live With Your Parents For The Rest of Your Life. It had a late premiere date but has still seen favorable ratings. It focuses on a single mom having to move back in with her parents and the struggles that ensue from her eccentric family.

This season will see the end of the long running NBC comedy The Office. The show was a hit for the network for many years and led to similar programs such as Parks and Recreation which is still on air. Show Runner Greg Daniels promises a heartfelt goodbye to match the series all around tone and characters.

Reality

There are four general rules that define reality television. The first is that they do not involve actors, at least in the traditional sense. Second, while they may be planned, they are not written in the way that comedies and dramas are. They are always produced on location, and finally they have some sort of special gimmick. When in development, these programs are judged more on the potential of the idea than the reputations of the writers or performers. Reality television has created a place for itself in the schedule over the past few decades. It is especially prominent on cable networks with networks such as E! and Bravo airing almost exclusively reality in their prime time slots. Bravo recently announced they have 17 new series being planned, nearly all of which are reality.

1357229967_shakira-usher-the-voice-467

On broadcast networks, it is most common to see reality programming in the form of competition. The Voice saw a cast change this spring with Shakira and Usher replacing Christina Aguilera and Cee Lo Green as judges. The show has been seeing decent numbers with the new judges.

Emerging Trends

Mock Reality

Reality is clearly a genre which is here to stay. Over the years, reality programming has reached to some pretty extreme levels as far as the types of stories and characters that are put on the air. This has led to a new trend of mock realities, shows which are meant to look like reality shows but are scripted or improv and actually make fun of reality programming.

Mock Block Monday

E! has an hour every week titled “Mock Block Monday” which features two of these Mock Reality Shows. The first is Burning Love which is an imitation of dating shows such as The Bachelor. The second is After Lately which is a supposed documentary of the office of Chelsea Lately, another popular program of theirs.

Other networks are picking up on this trend as well. MTV recently announced a new show, appropriately called Reality Stars, which will be about four friends who get involved in reality television. BET has committed to a second season of The Real Husbands of Hollywood. The show follows men of Hollywood in their “natural environment”.

Social Media

twitter-to-dump-third-party-image-hosts-from-apps-report--692a5ff817

Nielsen announced earlier this winter that it plans to begin using Twitter to measure program popularity. This focus on the “second screen” could give more insight into what viewers are responding too and begin to dictate programming decisions. It can help programmers adapt to the growing social engagement of viewers and use social media trends to their advantage.

 

 Sources

1.http://www.fox.com/the-following/
2.http://epguides.com/grid/
3.http://tvbythenumbers.zap2it.com/2013/04/07/bubble-watch-vegas-craps-out-on-friday-go-on-still-on-the-bubble-how-to-live-with-your-parents-and-hannibal/176840/
4. http://tvbythenumbers.zap2it.com/2013/04/07/bubble-watch-vegas-craps-out-on-friday-go-on-still-on-the-bubble-how-to-live-with-your-parents-and-hannibal/176840/
5. http://insidetv.ew.com/2013/03/05/the-following-monday-ratings/
6. http://www.youtube.com/watch?v=8fFq-w5CxN8
7. http://www.huffingtonpost.com/2013/04/01/the-walking-dead-ratings_n_2993622.html
8. http://insidetv.ew.com/2012/12/18/gossip-girl-finale-ratings/
9. http://www.youtube.com/watch?v=ufkXlmtHJnw
10. http://mediadecoder.blogs.nytimes.com/2013/03/12/fall-season-brings-shift-in-tv-ratings-race/
11. http://www.digitaltrends.com/home-theater/nielsen-using-twitter-data-to-gauge-tv-programming-popularity/
12. http://www.bibleseries.tv/

13. http://www.mid-day.com/entertainment/2013/apr/060413-mtv-is-launching-a-new-tv-series-called-reality-stars.htm

14. http://www.bravotv.com/blogs/the-dish/bravo-announces-17-new-18-returning-series?page=0,1

15. http://insidetv.ew.com/2013/03/17/the-office-tease-series-finale/

16. http://www.youtube.com/watch?v=QzzerIyOI9s

17. http://www.vulture.com/2013/04/comedy-pilots-2013-everything-you-need-to-know.html

18. http://www.vulture.com/2013/04/pilots-2013-dramas.html

19. The Business of Television, Bleumenthol & Goodenough

 

 

CBS Network, O&Os and Affiliates

Posted on by 
by Christen Westbury

CBS: The Beginning

CBS embarked on their humble journey in 1927 as United Independent Broadcasters, Inc. The name of the company went through several name changes over the course of 5 decades, but finally adopted their current name – CBS Corporations – in 1997 when it was bought by Westinghouse Electric Corporation.

CBS originally started as a radio entity that was founded by Arthur Judson, but was bought by and then propelled forward financially by William S. Paley. Paley put a heavy emphasis on the importance of a large audience and the inherent ties large audiences have with advertisers. With that said he created a plan to make CBS a lucrative enterprise, supported by advertising sales. He offered free programming to affiliates in exchange for the incorporation of sponsored shows within their programming schedule. This created an avenue for him to acquire money from advertisers to increase CBS’ revenue. Paley took over the company in 1928, and from that year on, the company grew at exponential rates. During the 1930’s and 1940’s, CBS set the foundation for future media successes and in 1940 they added to that foundation by acquiring Columbia records. This expanded their business while also setting a tone for innovation.

In addition to everything that CBS was doing internally, they also had external star power at the forefront of the radio medium. Audiences were able to hear notable stars such as Bing Crosby and Phil Harris, thus helping to draw in high listenership. Their library of stars coupled with their large audience, allowed for an easy transition to television in 1948. From the 1950’s through the 1980’s the television network had huge success with shows such as The Andy Griffith Show, All in the Family and M*A*S*H. The company has since then gone through a plethora of changes in ownership, acquisitions and leadership, however today they are still one of the largest and most lucrative multimedia corporations [1].

CBS: The Parent Company

National Amusements, located in Norwood, Massachusetts, is the Parent Company of CBS corporations and Viacom, owning a controlling percentage of about 80%. Sumner Redstone is the Chief Executive Officer/Owner and his daughter Shari E. Redstone, is the current president of National Amusements. In addition to Redstone being the controlling stockholder of CBS corporations and Viacom, he is also a partner in the business MovieTickets.com. (Global Data 2012) MovieTickets.com Commercial [10]

The company National Amusements,  is primarily and most importantly one of the frontrunners in the motion picture industry; owning and operating over 950 movie screens worldwide. They operate theatres in six states within the U.S.; Connecticut, Massachusetts, New Jersey, New York, Ohio and Rhode Island while also having theaters in Brazil, Argentina, Scotland and Whales. Overall they have made both a national and worldwide presence within the movie picture industry (GlobalData 2012).

The company however, is not a stranger to financial hardships. In recent years, they have acquired around $1.46 billion dollars in debt. Their economic downfalls have forced them to sell 30 movie theatres in Dallas to Rave Cinemas in 2009, almost $1 billion dollars in stock in that same year, 87% of Midway games, and their Russian movie chain in order to try and resolve their debt problems. The company is currently still a thriving entity as a result of their profitable subsidiaries, however they still have not fully fixed their debt woes (GlobalData 2012).

CBS: The Network

 [4]

The CBS network brand is currently marked by the “eye” logo, and their slogan “Only Us”. The network is one of the Big 4 broadcasting networks that have been and continue to be the major contributors for social, cultural, and political ideologies for television consumers.  The network delivers 22 hours of programming a day for their television audience for the purpose of both entertainment and knowledge. CBS incorporates a variety of programming options throughout their daily schedules, including dramas, comedies, specials, news programs and children shows. Their goal is to have diversified programming aimed towards the many different demographic groups that make up the United States. Some of their major programming successes have included the pioneering reality show ‘Survivor’ Survivor’s Best Moments [11] and the notable news program ’60 minutes.’ [2}

 

Owned & Operated/Affiliates breakdown

CBS has a total of 16 owned and operated stations that are apart of the CBS television network. The stations include KCBS-Los Angeles, KPIX-San Francisco, KOVR-Sacramento, KCNC-Denver, WFOR-Miami, WBBM-Chicago, WJZ-Baltimore, WBZ-Boston, WWJ-Detroit, WCCO-Minneapolis, WCBS-New York, KYW-Philadephia, KDKA-Pittsburgh, and KTVT-Dallas. Additionally, the network has over 205 affiliates in 48 states.[3]

 

Affiliate News

April 2, 2012 – Earlier in the year CBS Television Stations closed the acquisition deal of the independent New York station,  WLNY-TV. CBS coupled together the newly acquired station with their flagship Television station –WCBS-TV– to maximize all resources and to increase success within that market. The purpose of this business move was to give CBS a “duopoly in the nations largest media market” in addition to providing more opportunities for the network. Betty Ellen Berlamino was named both vice president and the station manager of WLNY. [5]

July 17, 2012 – In the summer of this year CBS acquired three new affiliate stations through an affiliation agreement with Gray Television, Inc. The stations include WECP-Panama City, Fla, WSVF-Harrisonburg, VA, and WIYE-Parkersburg, W.VA. This deal allowed CBS to have a presence in new markets, thus strengthening their portfolio. [6]

Fall 2012 Programming

This season the CBS Television Network added a total of four new series and returned 19 to their programming schedule. The new series included the newest hit drama Elementary CBS Elementary Promo [12],  as well as Vegas, Made in Jersey, and the comedy series Partners. The new drama Elementary has won the 18-49 demographic for the 10 o’clock time slot for a consistent 10 weeks. Some of the returning series for this fall 2012 season include ‘Person of Interest’ which was the #1 new show and the #1 comedy the Big Bang theory. The most recent reports have shown that NBC and CBS are tied for first place for the key demographic group of 18-49 year olds, averaging a 2.6 rating. [7]

CBS: 2012 Top Stories

June 21,2012— In the month of June, CBS made an unparalleled move by creating the largest major market radio sports network in the nation with the development of the CBS sports radio network through a deal with Cumulus media. This deal requires Cumulus media to act as the exclusive distribution and sales partner. They are responsible for the affiliate agreements, ad sales and exclusive syndication. [8]

 

November 11, 2012 – CBS sports network obtained rights to the AFL. This is a two-year agreement that will include 19 games and two play off games. The programming will start March 23, 2012. [9]

Conclusion

When looking back at this passed year, it is evident that the CBS network has remained profitable and on top. They have continued to expand their business in radio and have also championed effective programming. The company began with humble beginnings in the 1920’s and from that moment moving forward, they have sufficiently trail blazed a path of what success and efficiency truly looks like. In order to remain a multimedia conglomerate a company must have their roots firmly planted in various medium and must be a Mecca of innovation. CBS the corporation, has done just  that, and have created a formula for remaining one of America’s greatest media companies.

References 

[1] http://www.britannica.com/EBchecked/topic/100876/CBS-Corporation

[2] http://www.cbscorporation.com/

[3] http://www.cbsnews.com/2100-18565_162-517034.html

[4] http://cbsbroadcastcenter.com/

{5] http://www.cbscorporation.com/news-article.php?id=870

[6] http://www.cbscorporation.com/news-article.php?id=891

[7] http://www.cbscorporation.com/news-article.php?id=883

[8] http://www.cbscorporation.com/news-article.php?id=890

[9] http://www.broadcastingcable.com/article/490379-CBS_Network_Acquires_AFL_Network_Rights.php

[10] http://www.youtube.com/watch?v=BFPBWebzeTU

[11] http://www.youtube.com/watch?v=a5Y0hqEj6kQ&feature=youtu.be

[12] http://www.youtube.com/watch?v=TPhzekRa7vU&feature=youtu.be

Global Data. (2012). National amusements company profile. Hoover’s Inc. Retrieved from http://LexisNexis.com

Pictures (excluding CBS Logo)

1.) http://www.showcasecinemas.com/about-us

2.) http://newyork.cbslocal.com/station/wlny/

3.) http://sportsmediajournal.com/2012/11/26/cbs-sports-radio-announces-morning-drive-team/

Production

Posted on by 
by Jennifer Pittz

© Hollywood Reporter- Getty Images [6]

In the beginning stages of television production, programs were produced by television stations, by one of the three big networks, or by motion picture studios. By the 1970s, a portable video camera and other production equipment were made available and television production has continued to evolve since [1]. Technological advancements in television production have helped to reduce costs, create time efficiency, and keep up with the demand for exciting television.

Recent Changes in Production

Television production continues to go through constant changes as technology progresses. Production equipment is now mobile, lighter, digital, and offers more creative features. Production locations are primarily in big metropolitan cities like New York City, Los Angeles, Washington, DC, and Chicago. Production is an aspect of the television business that must stay up-to-date with technological developments and current economic activity to stay competitive and maintain cost efficiency.

Production Houses Migrating out of L.A.

© LA Times – Hollywood, CA [3]

Practically all production companies and broadcasting stations own at least one on site studio or a production house. Studios can be used for several purposes including news production, creating local commercials, public affairs programming, and talk shows. The majority of production houses are located on the West Coast, typically in Los Angeles. Since the 1980s, when Twentieth Century FOX established the FOX Network, L.A. quickly transformed into the production capital of the world [5]. A couple years later Paramount, Warner Brothers, and Disney followed. The talent of the cast and crews, the industry resources, diverse locations, and constant weather help to keep L.A. the primary area for production [2].

© Jen Pittz [14]

However, the television industry is constantly changing to stay cost effective and many production companies are migrating to other locations. Production in Los Angeles County has lost over 16,000 jobs sine 2004 because of work migrating out of the state [3]. California was not competitive with other states despite the favorable environment it offers.The state’s lack of offering competing tax incentives as well as the current program on its way to an end has driven production out of the hub. During this same time frame New York, North Carolina, New Mexico, Georgia, and Louisiana have added thousands of jobs because of new film tax credits. Production of pilot programs for broadcast and cable networks have been mounting outside the state, making L.A. take only half of the pie in 2011 [6].

However, September 30, 2012 Governor Edmund G. Brown Jr. signed the Assembly Bill 2026 and Senate Bill 1197 to extend government funding for California’s Film and Television Tax Credit Program. Governor Brown signed the state on for a new two-year, $200 million extension to the existing bill that was due to expire at the end of next year. The new bill will be offered through the 2016-2017 fiscal years [4]. The new bill is positive for productions that are currently in the works or productions that will end by 2016-2017. The bill was overwhelmingly supported by the state Assembly and the Senate. California offers a 20 percent to 25 percent tax credit towards production costs to offset business tax liabilities but compared to what other states offer the bill appears to be limited and not competitive [7]. But for upcoming and long-term productions, the bill does not encourage the film and television industry to stay.

Hurricane Sandy’s Impact on Production

© 2012 The City of New York [4]

Since production crews have recently relocated to new locations, the East Coast became a popular place to set up equipment. New York City has always been known as a television hub, but has lately flourished in the absence of L.A. production. In May of 2012, the Boston Consulting Group released a study recognizing New York City’s film sector is the strongest in its history. In 2011 it generated $7.1 billion and increase in over $2 billion since 2002 [9].

After Hurricane Sandy touched down and made land fall October 30 of this year, production throughout the North East came to a halt and was postponed. New York City officials announced that all film permits were to be revoked October 29 and October 30 for Hurricane Sandy precautions [10]. At least nine television shows were hurt by the shutdown including “Blue Bloods” (CBS), “Elementary” (CBS), “Gossip Girl” (CW), “Person of Interest” (CBS), “666 Park Avenue” (ABC) and “The Following” (Fox). Without the production of these new television shows, networks were forced to preempt other shows and shuffle around television programming for the week.

© Huffington Post [12]

Late night talk shows, morning shows, and news stations were forced to figure out ways to get their shows on the air despite the natural disaster. Several talk shows also cancelled television production during the disaster and its aftermath including “Katie,” “The Colbert Report,” and “The Daily Show With Jon Stewart” [10]. “Jimmy Kimmel Live,” which normally is filmed in L.A., was set for production for a special “Jimmy Kimmel Live from Brooklyn” in New York [10]. “The Colbert Report” and “The Daily Show With Jon Stewart” filmed their shows despite missing the studio audience [8]. “Jimmy Kimmel Live from Brooklyn,” was not filmed according to plan. Morning news shows were able to go on for air but were forced to remain inside. ABC’s “Good Morning America,” NBC’s “Today Show” and “CBS This Morning” aired live Tuesday with extensive storm coverage [13].

© CNN 2012

Other production problems that came with Hurricane Sandy include getting enough news station crews out safely to shoot video and report for air. Stations were forced to be innovative and use the most of technology and social media with limited resources. In order to keep up with breaking news and current updates, CBS sent out its own mobile SUV weather lab to measure wind and rain [15]. Reporters also turned to citizen journalism by means of social media to get video and pictures on the scene. More equipment and labor are needed in order to cover a massive event at different locations and different news angles. CBS sent reporters and equipment from as far as Minneapolis and Dallas to help stations hit by the super storm on the East Coast [15].

 

Sources

1. Howard J. Blumenthal and Oliver R. Goodenough, The Business of Television, 2006.

2. http://www.resource411.com/content/?pageID=1013

3. http://www.latimes.com/entertainment/envelope/cotown/la-et-ct-laedc-report-20121116,0,3320485.story

4. http://www.film.ca.gov/Incentives.htm

5. Dominick, Joseph R., Sherman, Barry L., & Messere, Fritz. (2000). Broadcasting, Cable, The Internet, and Beyond, 4th Edition. Boston: McGraw Hill.

6. http://www.hollywoodreporter.com/news/California-runaway-production-tax-incentive-337952

7. http://articles.latimes.com/2012/sep/30/entertainment/la-et-ct-state-film-tax-credit-20120930

8. http://thecomicscomic.com/2012/10/30/late-night-with-jimmy-fallon-the-no-audience-hurricane-sandy-edition/

9. http://www.nyc.gov/html/film/html/statistics/stats.shtml

10. http://articles.latimes.com/2012/oct/29/entertainment/la-et-ct-storm-production-20121029

11. http://www.hollywoodreporter.com/live-feed/jimmy-kimmel-cancels-monday-brooklyn-384033

12. http://www.huffingtonpost.com/2012/10/29/jimmy-kimmel-brooklyn-show-canceled-hurricane-sandy_n_2038338.html

13. http://www.huffingtonpost.com/2012/10/31/superstorm-sandy-aftermath-nyc-entrtainmen_n_2048791.html

14. http://www.deadline.com/2012/07/tv-production-takes-another-big-hit-says-filml-a/

15. http://www.broadcastingcable.com/article/490148/Stations_Improvise_to_Cover_Massive_Sandy.php

 

Big Media

Posted on by 
by Thomas Staudt

Ownership Rules

FCC Proposes Relaxing Media Ownership Rules

Federal Communications Commision

The Federal Communications Commission Has Proposed Changing Media-Ownership Rules [19]

The biggest news in Fall 2012 regarding the topic of Big Media is a proposal by the FCC to implement changes in the media ownership rules. The biggest change aims to relax the ban that prevents cross-ownership of a television station and newspaper in the same market. The rule does not apply to top 20 markets, although a waiver could be obtained to allow it to be applied. Regulations against the ownership of duopoly television stations will remain in effect. The proposal comes at a time when the media landscape is shifting, and local news operations are struggling for resources. [1]

Advocates for the proposal suggest that allowing mergers between local television and newspaper outlets will allow the outlets to stay in business in a tougher media economic climate. Without the rule change, the argument is that total media outlets will severely decline do to sustainability issues in the coming decade. [2]

Opponents of the plan claim that relaxing the ownership rules will promote further concentration of ownership, and erode diversity, competition, and localism that are in the public interest. The FCC has agreed to accept further opinions and research on the manner, and will hold off on voting until early 2013. [3]

Tribune Requires Ownership Waiver for Sale

Tribune Company Logo

The Tribune Company is an FCC Waiver Away from Emerging from Bankruptcy [20]

 While the FCC considers officially changing cross-media ownership rules, the FCC announced in November, 2012 that it was close to granting a cross-ownership waiver to the Tribune Company to allow the transfer of ownership to a group composed of Oaktree Capital Management, Angelo Gordon, and JP Morgan Chase. The waiver is needed because the group currently owns television assets in Los Angeles and four other markets involved. A permanent waiver is expected Chicago, and temporary 1 year waivers for Los Angels, New York, Miami and Hartford. The waivers will allow the closing of the sale, and the completion of four years of bankruptcy. [4]

Ownership Report

FCC Releases Minority Ownership Report

At the beginning of November, 2012, the FCC released its bi-annual report on the ownership of commercial broadcast stations in theUnited Statesas of the end of 2011. The timing of the report is noteworthy as the FCC is in the midst of examining further deregulation of ownership rules, something critics believe will lower ownership diversity even further.

Of the nation’s 1,348 television stations, whites own 69.4%. That is an increase from 63.4% in 2009 when there were 1,187 stations. Accompanying this, African American ownership fell from 1% to 0.7% and Asian ownership fell from 0.8% to 0.5%. Following national trends, Hispanic ownership rose, but only slightly, from 2.5% to 2.9%. There is also a large gender gap in commercial television ownership. While on the rise, women own only 6.8% of stations in the US as of 2011, up from 5.6% in 2009.

The television ownership statistics are not dramatically different than radio, where whites own 80% of stations, and men own 70%. [5]

Cable Networks

Liberty Media Spins off the Starz Network

 

Starz Logo

Starz Will be Spun Off into Its Own Company by Liberty Media [21]

Liberty Media announced in August, 2012 that they intend to spin off their premium network Starz into a separate, publicly traded company. The deal is expected to be completed by the end of 2012. Liberty shareholders will receive Starz stock as a one-time dividend. The new company will acquire all of the Starz portfolio and assets, as well as $1.5 billion debt, and undisclosed cash. [6] Analysts are skeptical about the financial prospects of the new company, with Starz reporting an 11% decline in income against last year. [7]

Fox Purchases Stake in YES to Assist Clearance

On November 20, 2012, News Corp, the parent company of Fox, agreed to purchase a 49% ownership stake in the YES Network. A specific price was not released, but analysts estimate the deal values the network near $3 billion. News Corp completed the deal with Goldman Sachs and Providence Equity Partners. The contract includes a path for Fox to increase its ownership stake to 80%. YES has a contract to air New York Yankees baseball games through 2042, and is expected to be used as strong leverage to increase retransmission rates and guarantee clearance for other Fox properties in the nation’s largest market and surrounding areas. [8]

Current TV for sale

Current TV Logo

Al Gore’s Current TV is Up for Sale [22]

In October, 2012, Current TV, the networked owned by former Vice President Al Gore, announced that it was up for sale. The struggling network does not have a full time program line-up, and is focused on the far left side of the political spectrum. Austin, Texas startup SocialGood.tv confirmed December 1, 2012 that it was working to raise funds to purchase the network. Although they do not yet have the funding, a released business plan shows that they would move the network to the political central in order to increase both viewer and advertising bases. SocialGood.tv claims to be close to having financing in place, but it will remain to be seen if the company can complete the transaction. [9]

 O&O Stations

Fox Sells WUTB in Baltimore to Deerfield Communications

In May 2012, Sinclair paid $25 million to Fox for the affiliation for WBFF in Baltimore, as well as an option to purchase the Fox owned and operated station in Baltimore, WUTB, by March 31, 2013. The station had served as leverage for Fox when negotiating with Sinclair, as Fox used the threat of pulling the Baltimore Fox affiliation from Sinclair’s flagship, WBFF, and switching to their own WUTB. [10]

On November 29, 2012, Sinclair exercised the option to purchase WUTB, paying an additional $2.7 million for the station. Because Sinclair owns WBFF in Baltimore, the sale is between Fox Television corporate, and a third party Deerfield Communications. Sinclair will control the station through an operations contract with Deerfield, and will owe an additional $25 million to Fox, or Fox can exercise an option to acquire certain stations from Sinclair’s current portfolio. [11]

Television Station Groups

Nexstar Buys 5 TV Stations

Nexstar Broadcasting announced that intends to reinvest its windfall from this year’s political season to purchase 5 television stations in California and Vermont. On November 5, 2012, Nexstar announced that it paid Newport Television $35.4 million for the CBS affiliate, KGPE, in Fresno, CA; the NBC and CW affiliate, KGET, in Bakersfield, and a low-powered Telemundo affiliate, KKEY, in Bakersfield, CA.  [12]

In a separate sale, Nexstar Broadcasting announced the completion of a deal November 5, 2012 to purchase Fox affiliate WFFF in Burlington, VT from Smith Media. Nexstar agreed to pay $17.1 million for WFFF and sister station WVNY, an ABC affiliate. The Burlington DMA is important due to its sizeable Canadian audience, including Montreal.  [13] Mission Broadcasting is also involved in the transaction due to media ownership laws. The FCC is expected to approve the transaction in the first quarter of 2013, upon which, Utica, NY NBC affiliate WKTV will be the only television station still owned by Smith Media. [14]

Cox buys 4 Newport Stations

Cox Media Logo

COX Media Purchases 4 Newport Television Stations [23]

Newport Television also closed a deal to sell 4 stations to Cox Media on December 4, 2012. Cox purchased the FOX and CBS duopoly, WAWS and WTEV, in Jacksonville, Florida as well as the FOX and MyNetwork affiliates, KOKI and KMYT, in Tulsa, Oklahoma. [15]

Sinclair buys 7 Newport Stations

On December 3, 2012 Sinclair Broadcasting closed a deal for $459.7 million for seven stations owned by Newport Media. WKRC in Cincinnati, OH; WOAI in San Antonio, TX; WHP in Harrisburg-Lancaster, PA; WPMI and WJTC in Mobile, AL; WHAM in Rochester, NY, and KSAS in Wichita, KS are the stations included in the deal. Sinclair has already announced sweeping personnel changes at many of the stations involved. [16]

Sinclair and Nexstar in running for 24 Barrington stations

Sinclair Television Logo

Sinclair Television is a Finalist for Barrington Television Stations [24]

On November 29, 2012, Barrington Broadcasting, the group run by former AOL Time Warner COO Bob Pittman, announced that it was looking to sell its entire portfolio of 24 television stations. Located in 15 markets ranging from market size 67 to 200, the portfolio consists of ABC, CBS, NBC, FOX, and CW stations. Although several companies made bids, Sinclair Broadcasting and Nexstar are the finalists. These two companies have advantages over others due to their nationwide retransmission agreements with a variety of distribution platforms. Upon the completion of a sale, the retransmission rate of the sold station would become that of the new owner, often much higher than that negotiated by the station. [17]

Denali Media Purchases Three Alaska Stations

On November 9, 2012, Denali Media Holdings, Alaska’s largest telecommunications company, announced that it was looking to purchase three additional television stations across the state. As part of a strategy to create a state-wide news and entertainment network, Denali is purchasing the Anchorage CBS affiliate, KTVA, from Media News Group of Denver. It is also purchasing the NBC affiliates in Juneau and Sitka, KATH and KSCT respectively, from North Star Broadcasting. The FCC is expected to approve the sales in early 2013. [18]

References

  1. Lowry, B. (2012, December 1). “Media-Ownership Rules Need New Look”. Variety. Retrieved from http://www.variety.com/article/VR1118062935
  2. Johnson, T. (2012, December 5) “FCC: Rule Changes Would Actually Promote Diversity”. Chicago Tribune. Retrieved from http://articles.chicagotribune.com/2012-12-05/news/chi-tms-variety-fcc-rule-changes_1_cross-ownership-fcc-s-media-bureau-media-ownership
  3. Kang, C. (2012, December 5). “FCC Relax of Media Ownership Ban Draws Fire.” The Washington Post. Retrieved from http://www.washingtonpost.com/blogs/post-tech/post/fcc-relax-of-media-ownership-ban-draws-fire/2012/12/05/729dfafe-3e56-11e2-a2d9-822f58ac9fd5_blog.html
  4. Puzzanghera, J. (2012, November 15). “Tribune Close to Clearing Last Bankruptcy Hurdle”. LA Times. Retrieved from http://www.latimes.com/business/la-fi-tribune-bankruptcy-20121115,0,6621573.story
  5. Flint, J. (2012, November 14). “FCC Media Ownership Survey Reveals a Lack of Diversity”. LA Times. Retrieved from http://www.latimes.com/entertainment/envelope/cotown/la-et-ct-fcc-diversity-20121114,0,5618853.story
  6. Lieberman, D. (2012, August 8). “Liberty Media Says it will Spin Off Starz”. Deadline. Retrieved from http://www.deadline.com/2012/08/liberty-media-starz-spin-off/
  7. (2012, December 2) “Liberty Media Closes in on 50% Ownership of Sirius XM”. Seeking Alpha. Retrieved from http://seekingalpha.com/article/1039341-liberty-media-closes-in-on-50-ownership-of-sirius-xm
  8. Jannarone, J. (2012, November 20). News Corp. to Buy 49% of YES Network. Retrieved from http://online.wsj.com/article/SB10001424127887324851704578131030193 577240.html
  9. Sheppard, N. (2012, December 1). “Al Gore’s Current TV May Be Bought By Texas Startup Looking to Make It More Centrist”. Newsbusters. Retrieved from http://newsbusters.org/blogs/noel-sheppard/2012/12/01/al-gores-current-tv-may-be-bought-texas-startup-looking-make-it-more
  10. Malone, M. (2012, November 29). “Fox Selling WUTB to Deerfield Media for $2.7 Million”. Broadcast & Cable.  Retrieved from http://www.broadcastingcable.com/article/490598-Fox_Selling_WUTB_to_Deerfield_Media_for_2_7_Million.php
  11. Jessell, H. A. (2012, November 29). “Sinclair Makes it a Triopoly in Baltimore”. TV News Check. Retrieved from http://www.tvnewscheck.com/article/63866/fox-selling-wutb-baltimore-to-deerfield-llc
  12. Lieberman, D. (2012, November 5) “Nexstar Buys 5 TV Stations in California and Vermont.” Deadline. Retrieved from http://www.deadline.com/2012/11/nexstar-tv-station-acquisition/
  13. TV NewsCheck. (2012, November 5).”Nexstar Adding Stations in Calif.and Vt.”. TV News Check. Retrieved from http://www.tvnewscheck.com/article/63324/nexstar-adding-stations-in-ca-vt
  14. Knox, M. (2012, November 5). “Nexstar Acquires Stations in California, Vermont”. Media Bistro. Retrieved from http://www.mediabistro.com/tvspy/nexstar-acquires-stations-in-california-vermont_b68213
  15. Eck, K. (2012, December 4). “Cox Media Group Closes on Purchase of Newport Stations”. TV Spy. Retrieved from http://www.mediabistro.com/tvspy/cox-media-group-closes-on-purchase-of-newport-stations_b71843
  16. Knox, M. (2012, December 3). “Sinclair, NewportTelevision Close Seven-Station Deal”. TV Spy. Retrieved from http://www.mediabistro.com/tvspy/management-changes-at-sinclair-stations-as-newport-deal-closes_b71663
  17. Messmer, J. (2012, November 29). “Sinclair, Nexstar In Running for Barrington”. TV News Check. Retrieved from http://www.tvnewscheck.com/article/63834/sinclair-nexstar-in-running-for-barrington
  18. Associated Press (2012, November 9). “GCI to Buy 3 AlaskaTV Stations”. Fairbanks Daily News Miner. Retrieved from http://newsminer.com/view/full_story/20786800/article-GCI-to-buy-3-Alaska-TV-stations-?instance=home_news_window_left_bullets
  19. Image. “FCC Logo”. LBA Group. Retrieved from http://www.lbagroup.com/blog/ebs-substantial-service-deadline-extended/
  20. Image. “Tribune Logo”. Top News. Retrieved from http://topnews.us/content/2675-wsj-reports-tribune-could-file-bankruptcy
  21. Image. “Starz Logo”. GP Com. Retrieved from http://blog.gpcom.com/?tag=starz
  22. Image. “Current TV Logo”. TV By the Numbers. Retrieved from http://tvbythenumbers.zap2it.com/2011/11/10/the-young-turks-with-cenk-uygur-to-launch-on-current-tv-monday-december-5-at-7pm-et/110277/current-tv-logo/
  23. Image. “Cox Communications Logo”. Dioji. Retrieved from http://www.dioji.com/newspress.asp
  24. Image. “Sinclair Broadcasting Logo”. Awesome Cake. Retrieved from http://awesomecake.com/portfolio/logo-designs/

Regulation of Distribution

Posted on by 
by Baindu N. Saidu

Distribution refers to the means by which television programming is delivered to consumers. It is done through traditional means like Broadcast, Cable or Satellite television, or through newer means like Video on Demand (VOD), Digital Video Recording (DVR), and online Subscription Video On Demand (SVOD) services like HULU Plus and Netflix.

When it comes to overseeing and regulating of these different means of mass television distribution, the Federal Communication Commission (FCC) is the principle government agency in charge. Its jurisdiction covers the means of mass emerging television technologies at the intersection of telephone, internet, computing, and digital signals. [1].

 

via the FCC website (http://www.fcc.gov/logos)

Several events have been ongoing during this semester related to the regulatory and legal aspects of distribution include a satellite provider, Dish’s disputes with both cable and broadcast networks, and the FCC’s ongoing plans for an incentive auction to reclaim spectrum space for wireless operators.

Dish Network vs. AMC Networks

The Networks’ dispute started years earlier with Cablevision’s lawsuit against Dish over their Voom HD channel which Dish stopped carrying in 2008. AMC was spun off from Cablevision in 2011. In April 2012, Dish notified AMC that it would drop their channels and by July, when their contract expired, Dish removed AMC Network channels AMC, WEtv, IFC, and Sundance from its lineup [2].

The companies indicated different reasons for the dispute. AMC stated that DISH dropped its programming because it wanted to gain leverage in an unrelated lawsuit involving Cablevision and their Voom HD channel [3]. DISH, conversely stated that the dispute was over “bundling,” in which big networks like AMC try to sell several of their channels, both high- and low-rated, to providers in a bundle to get a better price [4].

 

Image via Deadline website (http://www.deadline.com/tag/dish-network/)

By September, Dish’s 14 million subscribers had been without any AMC channels for more than two months and feared not be able to view the season premiere of the AMC hit show, The Walking Dead, set to premiere October 14. Speaking on the dispute, Dish’s senior vice president of programming, Adam Shull stated that “The problem is they’re asking me to pay for four channels for really what is the price of three shows,” thus Dish wouldn’t be paying for any AMC shows [5].

On their part, AMC turned to social media in a quest to get their channels back on Dish, launching a YouTube video contest for angry Dish subscribers called “Hey DISH, Where’s my AMC?” [6].

The conflict would not be resolved until October 21 when Cablevision and AMC Networks settled their lawsuit with Dish Network for $700 million. The deal brought to end a dispute over whether Dish breached an affiliate agreement by terminating AMC’s Voom HD Network in 2008. At a trial that began in late September, AMC sought some $2.4 billion in damages from what it believed was Dish’s improper termination. Dish had defended itself by saying that it had the authority to cancel the Voom deal based on a contractual clause requiring Cablevision/AMC to invest $100 million per year on the channel. As part of the deal Dish also reached a new carriage agreement with AMC, bringing the network back to their lineup along with IFC, Sundance, and WEtv [7].

Dish Network’s AutoHop vs. Broadcasters

Image via Dish Network Website (http://godish.com/)

Another battle Dish Network has been involved in pertains to the AutoHop feature for its DVR systems, Hopper and Joey. Introduced in March, Autohop, an International Consumer Electronics Show (CES) Innovations 2013 Design and Engineering Award Honoree, allows users who are watching Primetime Anytime recordings to completely skip commercials. When the user starts watching a recording, they are allowed to choose whether or not to skip commercials. Users who choose to skip the commercials move from segment to segment of TV shows without having to watch the ads [8]. This feature has undoubtedly caused uproar with broadcasters, who depend on ad sales for a majority of their revenue.

In May, three of the major broadcasters (CBS, NBC, and Fox) filed suit against Dish Network in Los Angles, contending that the technology violated copyright law. Dish simultaneously filed a suit against ABC, CBS, and NBC in New York seeking a declaratory judgment affirming the legality of their technology [9].  In documents filed August 22, Fox’s lawyer argued that AutoHop was in “violation of the express terms and conditions of its contracts with Fox and federal copyright law. Both parties argued their respective points of view in front of U.S. District Court judge, Dolly Gee, on September 21 in Los Angeles. On November 6, Gee denied Fox’s request for a preliminary injunction that would shut AutoHop down. Gee, in denying Fox said, “Although Dish defines some of the parameters of copying for time-shifting purposes, it is ultimately the user who causes the copy to be made.” She also pointed out that Fox hadn’t proved there would be “irreparable damage” if no injunction was issued. Any harm to Fox, she said, could be relieved by monetary damages. The judge did agree with Fox though that Dish had likely committed copyright infringement and broken the contract between the two companies in making copies of Fox programming for alleged quality assurance [10].

On November 9, Fox filed an appeal against the denial of its request for an injunction, moving the matter from the U.S. District Court to the U.S. Court of Appeals for the Ninth District[11]. More legal action from broadcasters followed on November 24 when ABC sought a preliminary injunction from U.S. District Judge Laura Taylor Swain in Manhattan federal court to also block AutoHop [12].

The broadcasters’ reason for going after AutoHop is that it “will ultimately destroy the advertiser-supported ecosystem” they depend on for revenue [13]. The networks make more than $19 billion a year in advertising, money that pays for the high cost of programming. Without advertising, network executives say, media companies would have to charge distributors three times the current rate for their signals, added costs which would be passed on to consumers. Dish, on its part, said that it believes that the AutoHop feature does not violate the networks’ copyrights. Instead, the company said AutoHop is simply an enhancement of existing ad-zapping technologies, and ultimately a matter of consumer choice [14].

FCC Incentive Spectrum Auction

Image via Cio website (http://www.cio.com/article/717594/FCC_Approves_Wireless_Spectrum_Incentive_Auction_Plan)

The FCC is a quasi-autonomous commission that has elements of each of the legislative, judicial, and executive branches of government. It is part of the group of independent regulatory agencies (see also the FAA, FTC, and SEC) [15]. In its control of television, the FCC performs several distinct functions such as rulemaking, licensing, registration, adjudication, enforcement, and informal influence [16].

Last February, President Obama signed a law empowering the FCC to buy spectrum from broadcasters wishing to give it up and then turn around and auction it to wireless broadband carriers. The FCC is working on the implementing rules for the incentive auction — so-called because broadcasters have a cash incentive to give up their spectrum [17]. They have hopes that the auction could begin as early as 2014, but have until September 2022 to conduct the sale and license the airwaves to wireless companies [18].

For the most part, full-service broadcasters with major network affiliations and newsrooms have said they have no interest in the incentive auction, preferring to hang on to their entire spectrum so they can offer new services. However, other broadcasters that are struggling see the incentive auction as a way to recoup some or all of their investments. Speculators have also entered the market, buying up marginal stations with the intention of selling their spectrum at a profit in the FCC auction [19].

Fall FCC Spectrum Auction News

  •  September 07, 2012: FCC Chairman Julius Genachowski set to release the FCC’s framework for the spectrum auction with target of  having a report and order voted by mid-2013 and the auctions completed by the end of 2014 [20]. Full article.
  • October 04, 2012: Chairman Genachowski said that the FCC will exceed its 300 MHz target for freeing up spectrum, a target the commission set in  the National Broadban Plan [21]. Full article.
  • November 13, 2012: An anonymous group of broadcasters interested in selling their TV spectrum in the incentive auction created the Expanding Opportunities for Broadcasters Coalition and tapped former Fox and Disney lobbyist Preston Padden to lead their efforts before the FCC as the commission writes rules for the auction [22]. Full article.
  • December 03, 2012: FCC officials spelled out some financial options in a PricewaterhouseCoopers LLP webcast, urging listeners to file comments as the commission works to write rules for the auction. The deadline for comments on its Notice of Proposed Rulemaking was extended to Jan. 25, with reply comments due March 26 [23]. Full article.

With the auction yet to occur, there is more news to come. To stay updated, check out the FCC’s official website.

 

References

[1] Howard J. Blumenthal and Oliver R. Goodenough. “This Business of Television: The Stadard Guide to the Television Industry,” 3rd Ed., pg.28.

[2] http://www.nytimes.com/2012/07/02/business/media/dish-network-drops-amc-channels-in-cable-dispute.html?_r=0

[3] http://adage.com/article/media/dish-network-ceo-charlie-ergen-tv-disrupter/238527/

[4] http://www.npr.org/2012/09/13/161019358/wheres-my-amc-dish-network-dispute-drags-on

[5] http://www.npr.org/2012/09/13/161019358/wheres-my-amc-dish-network-dispute-drags-on

[6] http://www.deadline.com/2012/08/hey-dish-wheres-my-amc-video-contest-launched-channel-dispute/

[7] http://www.hollywoodreporter.com/thr-esq/amc-back-dish-lawsuit-settled-381472

[8] http://godish.com/hopper/autohop.aspx

[9] http://adage.com/article/media/dish-network-ceo-charlie-ergen-tv-disrupter/238527/

[10] http://www.deadline.com/2012/11/fox-refused-dish-network-autohop-injunction-agrees-with-copyright-infringement-claim/

[11] http://articles.latimes.com/2012/may/25/entertainment/la-et-ct-broadcast-networks-fight-with-dish-over-adskipping-has-enormous-implications-20120525; http://www.deadline.com/2012/11/fox-appeals-denied-dish-autohop-injunction/

[12] http://www.businessweek.com/news/2012-11-24/disney-s-abc-asks-judge-to-block-dish-s-autohop

[13] [14] http://articles.latimes.com/2012/may/25/entertainment/la-et-ct-broadcast-networks-fight-with-dish-over-adskipping-has-enormous-implications-20120525

[15] Howard J. Blumenthal and Oliver R. Goodenough. “This Business of Television: The Stadard Guide to the Television Industry,” 3rd Ed., pg.29.

[16] Howard J. Blumenthal and Oliver R. Goodenough. “This Business of Television: The Stadard Guide to the Television Industry,” 3rd Ed., pg.30

[17] http://www.tvnewscheck.com/article/63495/padden-heading-spectrumsellers-coalition

[18] http://online.wsj.com/article/SB10000872396390444772804577623883979783866.html

[19] http://www.tvnewscheck.com/article/63495/padden-heading-spectrumsellers-coalition

[20] FCC_Wants_Broadcast_Spectrum_Auctioned_by_2014.php

[21] http://www.broadcastingcable.com/article/489734-Genachowski_FCC_Will_Exceed_2015_Target_of_Freeing_Up_300_MHz_of_Spectrum.php

[22] http://www.tvnewscheck.com/article/63495/padden-heading-spectrumsellers-coalition

[23] http://www.tvnewscheck.com/article/63935/fcc-mulls-how-spectrum-auction-will-work

 

Distribution

Posted on by 
by Caitlin Desjardin

Overview

In the television world, and the entertainment world in general, distribution is where it all begins. Distribution, and all the various facets that it encompasses, is the machine. It is the force behind every production that is made, behind every network deal that is signed, and behind every advertisement that is created. Essentially, distribution allows the television business to be a business.

When discussing television in the broad sense, it refers to everything from the syndication of programs, to brand creation, to network affiliates, to satellite agreements. [1] It is the way that consumers gain access to content and the way that production companies, networks, and stations earn revenue. The term “distribution” is such a blanket word, because it could be argued that almost everything done in the television industry relates back to some sort of distributional motive.

That being said, the modern state of the distribution world can be divided into three main categories: broadcast, cable, and other media distribution deals. What is so interesting about the current state of the distribution market is that “other media” has increasingly become dominated by internet distribution deals, on services such as Netflix and Hulu. The future of distribution and the television industry in general seem to be heading in this direction, and distribution will be a huge factor in its success.

Broadcast

  • NBCUniversaland Verizon (FiOS TV) reached a long-term agreement that would allow Verizon to carry and distribute all NBCUniversal programming live and

    on-demand to subscribers. This access to NBCUniversal programming includes broadcast as well as cable, meaning that Verizon can now distribute NBCU subsidiaries such as USA, Bravo, Style, Syfy, Telemundo, E!, and the NBC Sports Network. In the second part of the deal, Verizon was promised rights to carry Olympic Games and four Comcast SportsNet channels, of which include those in the Philadelphia and New England market areas. [2]

  • As sometimes happens in the distribution world, and a testament to how powerful those who hold distribution rights can be, there can be disputes, such as the recent one between Cablevision and Tribune TV that strongly impacted Fox affiliates. Cablevision subscribers in states such as NY, PA, CT, and NJ were slammed with no access to Fox stations when Cablevision and Tribune clashed over retransmission fees in late August. As a result, Tribune denied Cablevision customers access to seven affiliates that were Fox, CW, and MyNetwork stations. After two months the blackout ended (terms of the agreement were not released) though it would not be surprising to see these distribution issues regarding retransmission fees appear again in the future. [3]

“We sincerely appreciate the patience of our customers as we worked to reach an agreement that is consistent with our focus on minimizing the impact of rising programming costs.” – Cablevision

  • One of the best scenarios for a distribution company is when syndicated television shows prove to be continuously successful. This is certainly the case for the CBS

    #1 Syndicated Program ‘Wheel of Fortune’ Logo [11]

    Television Distribution company, who distributes Wheel of Fortune and Jeopardy! in the United States, both of which have been the top syndicated game shows [4] and recipients of countless awards. The ABC Owned Television Stations Group (that reaches over 20% of US households [4]) recently renewed both of these games shows for 2015-2016, meaning that the ABC-owned stations will continue to be able air these shows on their affiliate stations.
  • Stepping away a bit from the specific broadcast television distribution deals, CBS Television Distribution president Scott Koondel was recently named senior VP and chief corporate content licensing officer. Why this is important when talking about the current distribution snapshot is because it shows the change in the structure of

    CBS Executive Scott Koondel [10]

    television distribution, and where it will most likely go in the future. Because of this restructuring, Koondel will now take on a roll that will require him take on the CBS licensing issues on the Internet, something that CBS was not previously actively involved in. This immense increase in distribution on Internet platforms has grown exponentially as of late, and is really where the entire television industry is headed in the future, with distribution leading the way. [5]

Cable

  • CNN has created a new subsidiary called CNN Films, that will allow it to integrate documentary films into its television network. CNN Films will buy the desired full-length documentaries, and then distribute them during primetime on CNN. Having this new unit will allow CNN to manage the distribution of their desired documentaries both in terms of showing it on their network, as well as give them the added bonus of potentially distributing the documentaries in theaters. [6]

    [12]

  • ION Media Networks, Inc. partnered in a recent distribution deal with DIRECTV. This deal, while not specifically released, will allow ION Television to be available nationwide to all subscribers of DIRECTV. [7] Recently, at a Leadership in Communications panel in Syracuse, NY, ION Media executive Doug Holloway discussed the journey of the ION television network, and how important it is to fill the “white” areas of distribution where ION is not currently carried. [8] ION Media Networks Overview (Video)

Other Media

  • In what has been regarded as potentially one of the biggest distribution deals of the past couple months, CBS Corporation finally announced that they would be engaging in a licensing agreement that would allow the CBS television library to be distributed via Hulu Plus, the paid subscription service facet of Hulu.com. This means that users will now have the ability to stream classic shows such as “Star Trek” and “CSI: Miami” on Hulu, as opposed to only being able to watch CBS video on the CBS website, as exists now. This is expected to go into effect January 2013. [9]

“This marks another agreement that meets the growing demand for our content on new platforms.” – Scott Koondel, Senior Vice President of Corporate Licensing, CBS Corporation

Conclusion

The overall trend of the current distribution market can be seen clearly, whether it be in Koondel’s position switch, CBS’s licensing agreement, or many of the other recent distribution deals. While television is still the most popular platform to watch content on, more and more consumers are turning towards the Internet. As such, and because distribution is essentially the backbone of the television industry, it must adjust with this rapidly changing market, something that is occurring now and that we will continue to see in the imminent future.

The Future of Television [14]

 Sources

1. Blumenthal, H. J., & Goodenough, O. R. (2006). The business of television. New York: Billboard Books.

2. TV News Desk. (2012, 11 27). Nbcuniversal announces wide ranging agreement with verizon fios tv. Retrieved from http://m.bwwtvworld.com/article/NBCUniversal-Announces-Wide-Ranging-Agreement-with-Verizon-FIOS-TV-20121127

3. Block, A. (2012, 10 27). Tribune-cablevision deal ends blackout in new york tri-state area. Retrieved from http://www.hollywoodreporter.com/news/tribune-cablevision-deal-ends-blackout-383665

4. Bibel, S. (2012, 10 29). ‘Wheel of fortune’ and ‘jeopardy!’ reupped through 2016 by abc owned television station group. Retrieved from http://tvbythenumbers.zap2it.com/2012/10/29/wheel-of-fortune-and-jeopardy-reupped-through-2016-by-abc-owned-television-stations-group/155099/

5. Baysinger, T. (2012, 11 8). CBS expands koondel’s role following distribution business restructuring. Retrieved from http://www.broadcastingcable.com/article/490317-CBS_Expands_Koondel_s_Role_Following_Distribution_Business_Restructuring.php

6. CNN announces creation of CNN films. (2012, 10 8). Retrieved from http://cnnpressroom.blogs.cnn.com/2012/10/08/cnn-announces-creation-of-cnn-films/

7. ION Media Networks, Inc. (2012, 10 9). Ion media networks announces new agreement with directv. Retrieved from http://www.ionmedianetworks.com/press/ion-media-networks-ion-media-networks-announces-n?id=297

8. Holloway, D. (2012, 11 28). Leadership in communication series Syracuse.

9. CBS and Hulu announce licensing agreement for library content on the hulu plus subscription service. (2012, 11 5). Retrieved from http://www.cbscorporation.com/news-article.php?id=918

10. Flemming, S. (Photographer). (2008). Cbs paramount executive, scott koondel. [Web Photo]. Retrieved from http://www.broadcastingcable.com/photo/253/253749-Scott_Koondel.JPG

11. (2012). Wheel of fortune logo. (2012). [Web Photo]. Retrieved from http://c.ymcdn.com/sites/www.harvardwood.org/resource/resmgr/auction/wheeloffortune_logo.jpg

12. (2012). Cnn films logo. (2012). [Web Photo]. Retrieved from ION Media Networks Overview

13. (n.d.). What the future holds. [Web Photo]. Retrieved from http://irldefender.files.wordpress.com/2010/11/what-the-future-holds.jpg

14. MIPCube. (Designer). (n.d.). Exploring the future of tv. [Web Photo]. Retrieved from http://blog.mipworld.com/2012/02/infographic-exploring-the-future-of-tv/mipcubegraphic-1/