Content

You have heard or seen the term “Content” used. It seems all the big media companies are focused on it. 

First, “Content” as it is used is a proper noun. Second, think of a passenger train. What is it that a passenger train must have? It must have passengers. The big media companies generally fall into either being trains or providers of passengers. The trains are vehicles that deliver the passengers. Examples are the cable companies and Netflixs. The Passengers are “Content” in the form of the products from entertainment companies. The products provided are television shows, movies, music and specials. Examples of the entertainment companies are Disney, Fox, and HBO. 

In a reversal from the normal arrangement, the delivery trains have to pay to be allowed to carry their Content passenger. Comcast pays for the right to carry channel Content from Disney. What is happening is that the trains are being economically held hostage by the Content providers. The Content providers want higher fees. Also there are new delivery mechanisms available such as smart phones and the internet. This is allowing entertainment companies to compete directly with the trains in delivery. An example is HULU. It is a consortium formed by the entertainment companies and provides television shows over the internet. The entertainment companies are also backing off previous Content providing agreements with trains. The one in the news is the pending restriction of Content to Netflixs.  

The trains are fighting back. They are trying to obtain their own exclusive Content. Comcast just bought the television broadcast network NBC. Netflixs just bought the rights to the highly successful cable television series, “Mad Men”. Time Warner [cable company] is declaring that its Content license agreements allows it to stream media to various platforms, such as Smart phones and iPads. The lawyers are working overtime.

The entertainment companies see big profits in also being the trains for their Content. The trains, delivery companies, see big profits in providing their services to more platforms. A larger universe to serve means more profits. But both the entertainment and delivery companies have an added problem. Others are getting into the delivery business, such as Amazon and now Google with a revamped YouTube. In the news is the big fight by financial moguls over control of a bankrupted BlockBuster, another train.

There is a rush to create Content. Reality TV shows are by far the cheapest, easiest and quickest to produce. Successful examples are the cooking shows, Ice Truckers, Pawn Stars, Dancing with the Stars, Biggest Loser, Kitchen Nightmares, Cup Cake Wars, and Clean House.

The fight for dominance of Content reminds me of the Highlander movies where the chant by the protagonist is, "...there can be but one!".