Commentary

What Would YOUR Media Mogul Do?

by Wayne Friedman , Staff Writer, July 10, 2014

Media moguls have their own way about them. Every summer they get to chat with other moguls in Idaho. We outsiders can only wonder what they are up to.

Because while there is fun and sun at Allen & Co’s Sun Valley media confab, there are some actual seeds of deal-making work. It was at one of these events that Comcast first mulled the possibility of acquiring NBCUniversal.

Now, one much-rumored deal is News Corp/21st Century Fox acquiring Time Warner. Another tease: Discovery Communications might make a run at Walt Disney Co.

Discovery had been looking to get more into the content-acquiring mix itself, mulling the buying of Scripps Network Interactive a year ago. Discovery did increase its equity interest in Eurosport.

Discovery CEO David Zaslav has predicted that more media consolidation will occur on the content side, in order to “balance” those deals on the distribution side like the proposed AT&T-DirecTV combination and Comcast-Time Warner Cable.

Perhaps the relaxed, summer-like resort surrounding may lower the guard of executives, leading to idea exchanges. Every business always talks about gaining more leverage in a marketplace. In theory, they want to make greater revenue gains among consumers.Media looks for the same.

For the insatiable media consumers -- looking to gain more media time and ease of entertainment consumption -- few media consolidation moves seem to go awry. There are exceptions, such as AOL’s buying Time Warner over a decade and a half ago, which also got going at the Allen & Co. event.

Should consumers be worried, happy, or offer a shrug of shoulders?

Senior media honchos will always point to more choice, better prices, and ultimately greater value. For the most part, media consumers have gone along. Is that all there is?

3 comments about "What Would YOUR Media Mogul Do?".

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Nicholas Schiavone from Nicholas P. Schiavone, LLC, July 10, 2014 at 1:19 p.m.
Dear Wayne,
You have convinced me that an awful, even sickening, void exists between the mogul and the mogul "enablers" (i.e., we, the "consumers.").
I fear that like the quality of our government, we deserve the media we get and we get the media we deserve.
"Mere mortals" need to be engaged in this value exchange in a new, meaningful and powerful way. We are an end not a means.
At this point, "consumers" are being used because they act only as consumers and not like the responsible citizens in an enlightened democracy.
"Senior media honchos" must really be held to a much higher standard of accountability than that measured by stock markets. These highly compensated executives must be more than "takers." They must held to be among the critical cultural caretakers of our society.
Hence, we must keep our eyes open when the emperors pass with "new clothes."
It ought to remind us that media must be more than a funnel for anything that passes in 2014 Moguls must be more than the curators of a freak show that makes monkeys out of all of us. Talk about reversing or denying evolution!
When 'NBC Nightly News' uses any of its 22 daily minutes for covering tall waterslides when the world is in chaos, we're not only going downhill fast, but we're also in for another terrible soaking.
I, for one, am not in awe. In fact, I almost feel ashamed that I understand exactly what you, Wayne, are talking about.
Onwards and upwards.
Sincerely,
Nicholas P. Schiavone
Reply

Paula Lynn from Who Else Unlimited, July 10, 2014 at 1:39 p.m.

I've got a great bridge for sale. The only people consolidation helps are the Mogul profiteers personally (lawyers, etc. too).

Nicholas Schiavone from Nicholas P. Schiavone, LLC, July 11, 2014 at 10:05 p.m.

Who wants a depression?

http://www.nytimes.com/2014/07/11/opinion/paul-krugman-who-wants-a-depression.html?emc=edit_th_20140711&nl=todaysheadlines&nlid=13717095