One of the biggest bears of taking long form TV content and slapping it online is Discovery Networks David Zaslav. Ok. Not true. You can put NBC’s Jeff Zucker ahead of David… who frequently complains about trading offline dollars for online pennies, but you get the point.
– Keeping it short: You will find plenty of short-form clips of Discovery’s shows, as well as some special features tied to its programming. But that’s about all you’re going to get, Zaslav said. “What you won’t see is any long form content on the web. There’s no value to doing that. We’ continue to run more and more clips, but we have a 20-year-old library and we’re not giving it away. As for where do we find additional value on the web? That’s something I don’t have the answer to.”
The funny thing is: I actually I think I have the answer to his question…
This quote captures the argument for made-for-web video content producers such as WatchMojo.com. Online video content is a sum of super premium from traditional media companies, premium content from made for web producers such as ourselves, and UGC:
- Yes, TV content is extremely valuable.
- No, web advertising will never be enough to make the TV companies able to make up the dollars they’re losing offline.
Online, the majority of the video content will indeed be UGCrap, with a sliver coming from super premium sources… those who focus on the middle portion of the following pyramid will capture the lion’s share of online video advertising dollars, whatever they might be!
Some of the bulls out there say that stocks are cheap (and were cheap when the DJIA crossed below 8,000) when valued relative to next year’s earnings… the problem is most of those projected earnings are straight out of Alice in Wonderland and will be cut back.
Here is a very bearish take on it, which has more to do with replacement value of assets. By that benchmark, forget Dow 7,000… we’re talking Dow 6,000!
Russian online media company raises an additional $5M in funding:
Moscow Venture Fund, a $30 million venture capital fund that is managed by Allianz Rosno Asset Management, has invested more than $5 million for an additional 24 percent stake in Tvigle (Tvigo Entertainment), a producer and distributor of content for Internet TV and mobile entertainment, reported business newspaper Kommersant. The consulting company ADJ Consulting acted as financial adviser to Tvigo.
Read more. With estimates for user generated content driven social networks being scaled back fast and furious, it’s a matter of time before you see more and money going into premium video… it’s called a flight to quality. Interesting to see this happening in Russia though, where the country has faced tremendous economic pressures to falling oil and gas prices. But, then again, it makes even more sense to see some diversification away from traditional sectors into new media, what with Russia being the fastest growing Web market in Europe.