In This Issue: AFM Review NATPE Preview U.S. TV Season Privacy Laws THE BUSINESS JOURNAL OF FILM, BROADCASTING, BROADBAND, PRODUCTION, DISTRIBUTION NOVEMBER/DECEMBER 2012 VOL. 32 NO. 7 $9.75 ® www.videoage.org BY ISME BENNIE Broadcast executive Jay Switzer, a long-time NATPE attendee and former NATPE board member, has always believed strongly in the market’s importance for Canadians. His key reasons: the right time of year, the right mix of attendees and the opportunity to meet with them directly. Another bonus: NATPE is member-directed and not-for-profit. But recent industry moves in Canada will affect Canadian participation in NATPE 2013: the sale of Alliance Films to Entertainment One (eOne), though pending final approval as of press time, will put one fewer Canadian company on the floor. The surprise regulatory denial of Bell At NATPE, Canadians Will Bring the Big Guys (Continued on Page 20) (Continued on Page 24) This year the annual Asia Television Forum (ATF) is being held concurrently with ScreenSingapore, a film entertainment event in Asia that gathers international sellers and Asian buyers. It will also feature screenings. The three-day ATF market and conference will begin on December 5 at the Sands Expo and Convention Center in Marina Bay Sands, Singapore. Until recently, the ATF was a hub for Latin American sellers. However, their presence began to decline last year, with only five companies from Latin America making the trip to Singapore. This year, that number has held steady, though some companies — such as Latin Media — will not return this year. Therefore, ATF will play host to just the following Latin American companies: Globo TV International (Brazil), Telemundo Internacional (U.S.), Televisa Internacional (U.S.), TV Azteca/Comarex (Mexico) and Caracol Television (from its Spain office). Yet, according to Comarex’s Martha A Lively ATF Expected, With Fewer Latins Latins Take MIPCOM and TV Sales by Storm This past MIPCOM was a huge draw for Latins. The strong presence of Latin companies has helped to solidify MIPCOM as the third largest international TV trade show for Latin companies — both sellers and buyers — after NATPE and the L.A. Screenings. This year, 113 exhibiting Latin companies and 62 (Continued on Page 22) (Continued on Page 26) BY DOMSERAFINI The U.S. broadband industry needs spectrum –– lots of it. After raking in all available frequencies and even snagging unlicensed spectrum (the white space or unused spectrum that sits between TV channels), the telcos are now going after those frequencies not fully utilized by local TV stations. The strategy behind this “spectrum-grab” (reminiscent of the 1889 “land-grab” in Oklahoma) is revealed in a complaint filed by the labor union Communications Workers of America, which claims that telcos are forgoing building costly fiber networks and instead relying on wireless to provide broadband. However, if this strategy proves correct, it could spell disaster — if not doom — for many of the 1,777 local U.S. TV stations, of which 1,200 are members of the 90-year-old Hispanic TV: NAB’s Ace to Deter Telco Spectrum Grab Gordon H. Smith A frank talk with NAB CEO Gordon H. Smith www.breakthroughenter tainment.com Nat Abraham, President, Distribution t 416.366.6588 x 114 e nabraham@breakthroughentertainment.com Kate Blank, Director, Int’l Distribution t 416.366.6588 x 231 e kblank@breakthroughentertainment.com Jodi Mackie, Int’l Sales Executive t 416.366.6588 x 112 e jmackie@breakthroughentertainment.com
V I D E O A G E • N o. 7 • N o v . / D e c . 2 0 1 2 Cover stories: Hispanic TV is the ace for Gordon Smith’s NAB to fend off telco spectrum grab At NATPE, Canadians will bring the big guys: Bell, Rogers and Shaw A lively Asia TV Forum expected, despite drop in Latin presence Latins take MIPCOM and international TV sales by storm 4. World: U.S., Jordan, Australia, China, Argentina, Italy, South Africa, Canada 10. Book Review: When it comes to Robert Redford, stick to his movies, skip the book 12. NATPE Preview. As the TV market reaches 50, middle age turns into new age 14. American Film Market Review: Film mart rides tropical and economic storms 16. New U.S. TV Season. Buyers see quality, still waiting for breakthrough 18. The future of U.S. TV: How local TV stations can cope with the switch from broadcast to broadband 28. Travel News. Calendar of events 30. My 2¢: Privacy laws are tailor-made for the rich and powerful to avoid scrutiny and accountability
Broadcasting Giants Honored This past October, over 50 U.S. TV luminaries from the 1980s and ’90s mingled with some 250 guests at the 10th annual “Giants of Broadcasting” award luncheon at the Waldorf-Astoria Hotel in New York City. The event was organized by the Alexandria, Virginia-based Library of American Broadcasting Foundation, which is in its 41st year. Veteran trade journalist Don West serves as the foundation’s president. Among the luminaries at the award luncheon were Bill Baker (of Westinghouse TV and WNET-TV fame), who acted as the master of ceremony; Fred Pierce (of ABC fame), Jim Rosenfield (of CBS fame) and journalists Lesley Stahl and Robin MacNeil. Among the former and current executives honored were Ted Turner and Sir Howard Stringer (pictured below while accepting the Award). Coincidentally, outside the hotel there was a union demonstration protesting some of Stringer’s union policies at Sony. Holding one of the leaflets that the picketers were handing out with Springer’s picture on it and a list of demands, West joked that it was a souvenir because there is no such thing as bad publicity. Oz’s Top 25 TV Shows in 25 Years Recently, Australia’s The Sydney Morning Herald published a list of the top 25 most popular TV shows over the past 25 years, according to a panel organized by the paper. Here’s the list in order of preference, with the year the show came out. VideoAge added the international distribution company: Mad Men (2007), Lionsgate Television The Sopranos (1999), HBO Seinfeld (1990), Sony Pictures Television The Wire (2002), HBO The West Wing (1999), Warner Bros. Television Arrested Development (2003), 20th Century Fox Television Frontline (1994), ABC-TV Australia (comedy series) The Simpsons (1989), 20th Century Fox Television Breaking Bad (2008), Sony Pictures Television Homeland (2011), 20th Century Fox Television Lost (2004), Disney Twin Peaks (1990), CBS Studios International (CBSSI) The Larry Sandler Show(1992), HBO Frasier (1993), CBSSI Buffy The Vampire Slayer (1997), 20th Century Fox Television Summer High (2007), Australia’s ABC Deadwood (2004), CBSSI The Office (2001), BBC Blue Murder (1995), Australia’s ABC The X-Files (1993), 20th Century Fox Television Curb Your Enthusiasm(2000), HBO Six Feet Under (2001), HBO Battlestar Galactica (2004), NBCUniversal Law & Order (1990), NBCUniversal Phoenix and Janus (1992), both from Australia’s ABC. China Licenses Italian Format The Chinese version of Io Canto (I Sing) has been licensed by Italy’s Mediaset to China’s Enlight Media, a production company founded in Beijing in 1999, which is now traded on the Shenzhen Stock Exchange. Enlight Media is considered China’s largest private TV production group. After 10 months on the air in China, I Sing, a one-hour competition format geared at young audiences, has become a hit during primetime on Fridays on satellite TV channel Liaoning. According to Enlight Media’s president of production, Harry Su, I Sing is the first show of its kind — geared specifically toward young people — in China. DE C E M B E R 2 0 1 2 (Continued on Page 6) V I D E O • A G E 4 www.nabshow.com CONTENT MARKETApril 7–9, 2013 / Wynn Las Vegas and Encore Hotel CONFERENCEApril 6–11EXHIBITSApril 8–11 Las Vegas Convention Center / Las Vegas, Nevada USA The mobile experience is energizing the transformation of television content, putting ‘when/where/how’ into the hands of viewers. Networks, studios and digital media players are embracing new strategies for development and production deals, seeking dynamic content that can thrive in multiple environments. Join us at Content Market, a boutique event at the Wynn designed to cultivate connections and find innovative distribution outlets. From creation to consumption, no other event brings together the community of media and entertainment professionals — including the world’s largest gathering of broadcast executives. Transform your strategy at NAB Show. ®
VISIT US AT THE ASIA TV ForUm And ScrEEnSIngAporE 05–07 dEcEmbEr 2012 SIngAporE pAVIlIon g02, H02 And H13 SandS ExpoandConvEntionCEntrE MarinaBay SandS, SingaporE MEET NEW FRIENDS AND RENEW OLD TIES Connect with over 100 Singapore talents Producedby Kelly Lee Distributedby Filmat36 (S) Pte Ltd Genre Drama Format 16 episodes x 23 mins, SD Language Mandarin ARTISTIC JOURNEYS is an art series that takes us to the home of the art forms. We discover how each art form evolves and witness how new elements are injected to art forms, and how the arts is brought closer to people. FILMAT36 (S) PTE LTD has produced television commercials, broadcast programmes and films of factual and fiction genres, in video, film and High Definition (HD) format. It continually strives to develop works that cross boundaries. Tel: +65 6256 1982 Email: kathy@filmat36.com Film Producedby Genevieve Woo, Tony Kern Distributedby Golden Village Genre Horror Format 79 mins Language English Haunted changi is about a group of local filmmakers who explore the famously haunted Old Changi Hospital in Singapore with terrifying and tragic results. MYTHOPOLIS PICTURES PTE LTD was incorporated in 2010. The company’s first production was a short filmThe Mitre Spell, which quickly gained cult status. The film contains rare footage of the hotel as well as interviews with the family. Tel: Genevieve Woo, + 65 9742 2444 Email: contact@mythopolis.com Film Producedby David Collins, Fran Borgia, Joe Lawlor Distributedby Visit Films (Sales Agents) Genre Drama Format 35mm Film / DCP 90 mins, HD LanguageEnglish MISTER JOHN is about an Irishman whose marriage is in crisis. He travels alone to Singapore after the sudden and suspicious death of his estranged brother. He soon finds himself immersed in the daily life of the brother he never truly knew. AKANGA FILM ASIA is an independent production company set up in 2005 in Singapore to produce all kinds of arts activities – from filmmaking and theatre to photography and the performing arts. Their projects aim to create a cultural link between Asia and the rest of the world. Tel: +65 6299 4068 Email: info@akangafilm.com Film Producedby One Animation Genre Children 3-6 Format 52 episodes x 11 mins, HD 360 Language English Rob The Robot (Season 2) This 3D-animated TV series transports preschoolers to a fun-filled robot galaxy with new and exciting planets. One Animation is an independent 3D animation and visual effects studio merging experience and the ability to produce quality films and TV series at lower costs. Tel: +65 6273 1785 Email: bisdev@oneanimation.com TV ProducedbyMonstrou Studio Pte LtdDistributedbyMonstrou Studio Pte LtdGenreSci-Fi Kids, 3D AnimationFormat23 mins, 3D LanguageEnglish/Malay tritans 2 is the second season of an original 3D animation series that utilises Mo-Cap. The story revolves around three superheroes kids, who battle old and new enemies. MONSTROU STUDIO PTE LTDhas been an independent producer and distributor of original content and distributor of its own titles since August 2008. It has two inter-dependent teams with dual capabilities in both live-action TV media and 3D animation productions. Tel: +65 6634 0811 Email: kenneth@monstrou.com Animation M2B WORLD ASIA PACIFIC PTE LTD is a fully owned subsidiary of U.S. listed Amaru Inc. M2B (Media to Broadband) and one of the first VOD Niche TV License holders in Singapore. Their subscribers span from the APAC region, to Europe, USA, Middle East and South America. Tel: +65 6332 9123 Email: content@wowtv.com Producedby M2B World Asia Pacific Pte Ltd Genre General Format2 mins 30 secs, SDLanguageEnglish wowtv showreel offers niche VOD services that pushes video across all platforms – IPTV, OTT, Broadband, cable, satellite, terrestrial, SmartTVs, STBs, connectedTVs, smartphones, iPad and tablets.
Michel Rodrigue — a format specialist from both Montreal, Canada and Los Angeles, California who’s now the president of The Format People — is credited with finding the show. After a specific request from Su, Rodrigue negotiated the format rights with Mediaset’s Paola Primavori for I Sing on behalf of Enlight. Now, through Rodrigue, Su is looking to invite professionals from around the world to help Enlight develop new TV shows. In addition to Liaoning TV, Enlight produces for other Chinese TV networks, such as CCTV-1 and Anihiu. Pictured below from left to right: Michel Rodrigue, president of The Format People, Chloe Yang, director of marketing for Enlight and Harry Su, president of Production for Enlight. Amanda Ospina Gets a Mas X Cumbre, anyone? The indomitable Amanda Ospina did it again, organizing for the 10th time the Cumbre Mundial de la Industria de la Telenovela, or “Telenovela Industry Summit.” Over 150 Latin TV executives met early last month for a three-day summit at the Marriott Biscayne Bay Hotel in Miami, Florida to talk telenovelas and explore innovative ways to keep the genre attractive to a mass, worldwide audience. Some 30 speakers reached the podium to either present innovative programming or to explore ways to expand telenovelas’ reach worldwide. Among the panelists were Alberto Santini, director general of Azteca’s Canal 13 from Mexico; Marcelo Camaño, president of Argentina’s Writers Association; David Daza, program director of Venezuela’s Venevision, and Mauro Alencar, telenovela consultant for Brazil’s Rede Globo. Pictured below is Amanda Ospina, editor and publisher of TV Mas magazine, who organized the “X Cumbre.” Director Favio Dies at 74 Argentinean film director and actor Leonardo Favio died early last month in Buenos Aires at age 74. Favio is considered one of Argentina’s most important cultural figures. He began his career as a film star in the 1950s and 1960s, but went into exile when the military dictatorship took over in 1976. He returned after Democracy was restored. Favio’s last film was The Good People. FMM Empowers Women Execs At the upcoming Florida Media Market (FMM), starting on January 31, 2013 at the Shelborne Hotel in Miami Beach, Florida, FMM founder Maritza Guimet will launch Goddess Mujer Woman (GWM) with an inaugural breakfast. Top women executives from China, the U.S., Latin America and the Middle East are expected to attend. GMW will serve as a platform to create content as well as an outlet for content. The goal is for independent women producers and filmmakers to empower a new generation of women across the globe to be part of the industry and to give them the tools to succeed. It aims to increase the recognition of women’s role in the development of film and television. Recently Guimet signed an agreement for active participation at FMM with Chinese TV executives Zhong Xuzhao, VP of SRT, Sichuan Radio and TV and Zhou Yanou, manager of International Relations, Sichuan TV Festival. The agreement was brokered by FMM’s consultant Georges Leclere. DE C E M B E R 2 0 1 2 (Continued from Page 4) (Continued on Page 8) V I D E O • A G E 6
DISCOP Africa Spurs TV Sales Latin American telenovelas generated a great deal of interest from African broadcasters at the seventh DISCOP Africa, which ended November 2 at the Sandton Convention Center in Johannesburg, South Africa. Growth from the first DISCOP Africa in Senegal in 2008 to this edition was clearly evident, which is a testament to both the African market’s rapid advancement and DISCOP Africa becoming the pre-eminent African market. The three-day event was well-attended and well-organized. The DISCOP team was everywhere throughout for continued on-site support. Numerous major players were in attendance, including CBS, MTV, Discovery, BBC Worldwide, MGM, NBCUniversal, Telemundo, Sony, Televisa, Caracol, Venevision, DW, Euronews, Endemol and NHK. Plus, there were Brazilian and Chinese pavilions. More than 40 African countries were in attendance, with the Francophone countries particularly well-represented. An event celebrating the FrancophoneAfrica connection held at Michel Gondry’s Home Movie Factory installation was a high point. Telenovelas were some of the key attractions due to their serial nature, relatable storylines and themes –– and the ease with which broadcasters can dub them and find interested sponsors. Among the quality content offered at the market, there was Inside Story, a film produced by Discovery Channel Global Education Partnership (DCGEP) in Kenya and South Africa, with Kenyan, South African and Nigerian actors. It deals with a football (soccer) player confronted with HIV. The film was shot in English, but DCGEP has produced French, Portuguese and Swahili versions as well. The intent is for the film to be broadcast throughout the continent on December 1, World AIDS Day. Also, the pull of football, especially with the upcoming African Cup of Nations set for January, has generated broad interest in the film. CCI Plays Its Cards Right This time, at their traditional preMIPCOM Sunday party, Canada’s CCI Entertainment introduced one of the best conversational games. Each guest was given four cards with a picture of the same TV show upon arrival. The goal was to trade cards with other guests in order to obtain four different cards. The first two winners each won a bottle of Champagne. Content’s King In All Lingos Wall graffiti in Italy: “É il contenuto che conta,” or “Content is what counts,” (scribbled on the top of a mural). The word is out that content is indeed king. Famous Quotes “The Huffington Post, with 35 million unique monthly visitors, probably took in about $60 million last year without showing a profit. That’s what digital success gets you. Current TV, reaching 60 million households, took in $101 million, with nearly $12 million in cash flow. That’s what failure in the cable business gets you.” Michael Wolff in USA Today, November 5, 2012 DE C E M B E R 2 0 1 2 (Continued from Page 6) V I D E O • A G E 8
Vicky © 2012 Studio 100 Media GmbH / Studio 100 Animation SAS Maya the Bee: Based on the book „Maya the Bee and her adventures“ and „Heaven Folk“ written by Waldemar Bonsels © 2012 Studio 100 Animation SAS / Studio 100 Media GmbH Studio 100 Media GMBH tel.: +49 (0)89 96 08 55 - 0 e-mail: info@studio100media.com www.studio100media.com COMING SOON! PREVIEW AT ATF, B10 A LITTLE BEE CAPTURES THE WORLD.
DE C E M B E R 2 0 1 2 B o o k R e v i e w When it Comes to Redford, Stick to his Movies, Not the Book V I D E O • A G E 10 Robert Redford is perhaps best known for playing the Sundance Kid alongside his dear friend, Paul Newman in Butch Cassidy and the Sundance Kid (after which he became a national icon), and for his efforts in promoting independent film through his brainchild the Sundance Institute, founded in 1981. In 1985, Sundance expanded to take over the United States Film and Video Festival (where Redford served as honorary chairman) from the Utah Film Commission, thus creating the Sundance Film Festival. Yet, in a meticulous biography, Robert Redford: The Biography (Alfred A. Knopf, 468 pages, $28.95), Michael Feeney Callan, author of several other biographies, uncovers the man behind the characters Redford portrays onscreen. The author relied on interviews with Redford spanning 14 years, beginning in March 1995, as well as Redford’s own “jottings” in personal diaries housed in the Mugar Memorial Library at Boston University and the Sundance archive in Utah. Callan estimates, “In all, more than 300 participants in the Robert Redford story were interviewed,” as Redford introduced him to “friends, business partners and co-workers.” While it’s clear Callan is dedicated to compiling a complete, thoughtful tome of Redford — and he does so admirably — it’s difficult for the reader to avoid getting bored. It isn’t entirely Callan’s fault that the reader finds himself checking out (or even falling asleep) mid-sentence. Much of it lies on the shoulders (and in the words) of the very talented and intelligent subject, Robert Redford himself. But herein lies the problem. Nary a page goes by without a large-minded, hefty and, for lack of a better word, pompous quote from Redford, who seems to have analyzed nearly every part of his life in great (and at times infuriating) detail. It is easy for the reader to get bogged down in his high diction, lofty ideas and very high expectations of himself and his every action. To wit, after his mother died when he was a young man, Redford says: “I wanted to be alone with the grief I had and the difficulty I had with my personal identity. More than anything, I wanted to go on a journey with my art.” Thus, the reason for the boredom is two-fold — Redford’s life, at least what Callan writes of it, frankly isn’t very interesting (his quotes are far too intellectual and reflective as opposed to fun), and Callan’s writing style — though polished and intelligent — is equally uninteresting and not particularly engaging. Plus, the book chronicles the excruciating minutiae of each of Redford’s films, from conception to script writing and rewriting to filming to editing and so on. After a while, this becomes tedious. To temper the drone of production stories, the reader craves a glimpse into Redford’s personal life. Callan opens the book with a long account of Redford’s family history in which the reader learns every detail of his parents’ lives. We learn that Redford was born before his parents tied the knot, that he had a strained relationship with his father and that Redford was a devilish delinquent in his youth (he once played hooky from school for a month before his father found out). This contrasts greatly with the sparse details Callan shares of Redford’s personal adult life, including his marriage to his first wife, Lola, their divorce in 1985 and his subsequent relationships with Sonia Braga, Kathy O’Rear and Sibylle Szaggers, whom he married in 2009. In contrast to the long family history, Callan writes only a few words about Redford’s divorce: “He had acclaim, wealth and opportunity, but he also had a failed marriage.” The author finally brings to life a brief interaction between Redford and his wife that shows the marriage was over one day at Sundance when he and Lola were skiing with friends. But he immediately returns to describing Redford’s moving-making, giving us only a brief glimpse into the actor’s family life. This lack of personal information likely stems from Redford’s failure to share it. After all, Callan writes, “Redford shared with no one the extent of his domestic breakdown, but it disturbed him.” While we learn of the sudden death of Redford’s firstborn son as an infant, his son Jamie’s serious health problems and his daughter Shauna’s distress when her boyfriend was murdered, readers feel as though they have been kept at the border of Redford’s personal life. We are not let in, and, unfortunately, this distance keeps us from fully engaging in the book. Instead, the author presents Redford as an actor who is very much into creating art for art’s sake. He’s not preoccupied with money, except in the early days of his first marriage when he and Lola were starting a family and money was a necessity. But even early in his career, when Bing Crosby Productions offered Redford $10,000 for the lead in TV series Breaking Point, he rejected the role, saying, “Let them offer me twenty thousand, or thirty, or forty. It just makes it easier to say no.” In fact, he rarely took a role for money, looking instead for parts he could learn from, or in which he felt a kinship with the character he was to portray onscreen. “The criterion I applied was, What can I absorb from this? Who wrote it? Who’s in it?” Redford said. Redford cherishes artistic value in the films he makes, and he was devastated when a studio altered what he loved. In the late 1960s, Redford backed out of the western Blue because he “felt ‘the wrong sensibilities entirely’ were being imposed on a western story.” Once he made a name for himself, he often went against the demands of studios to uphold his artistic principles, as he did with Disney on The Horse Whisperer. Redford refused to go along with Disney’s marketing campaign for the film, in which he was expected to appear on Oprah Winfrey, Larry King and Barbara Walters. Any plans for a multi-film contract with Disney were dashed thereafter. But this isn’t surprising, as according to Callan, “His nature was always stoutly independent.” Redford is involved in every detail of the films he takes on, often taking it upon himself to write scripts so they turn out the way he envisions them. And he is constantly moving forward and challenging himself, with this forward motion eventually leading to his desire to direct. He made his directorial debut in 1980’s Ordinary People, a “labor of love” in Redford’s words. But the art for art’s sake mentality is truly exasperating when Ordinary People is nominated for awards, and Redford’s arrogance shows through Callan’s writing, making him appear distant and a bit unlikable. Redford says, “When I saw the awards trail beginning, I caved in. I just didn’t want it. What I was doing was about personal art, about exploring myself and my audience. I was very proud of the film but I did not desire accolades. It sounds churlish, but I was sated on accolades…I thought, Screw this! and disappeared.” Yet, Redford was proud of the honorary Academy Award he received in 2002 for his achievements as “actor, director, producer, creator of Sundance and inspiration to independent innovative filmmakers everywhere” because “it reconciled [his] two worlds — the independent cinema and [his] acting,” according to Redford. Prospective readers looking for the exciting conman Redford portrayed in The Sting won’t find him here. So, unless you’re looking for a book to lull you to sleep, Callan’s biography should be left on the shelf, and Redford’s image should be left on the silver screen. SA
29 X 60’ SERIES The series number
BY SARA ALESSI As NATPE — which will be held at the Fontainebleau Hotel in Miami Beach once again on January 28-30, 2013 — starts to reach senior status with its 50th anniversary, it’s not slowing down with age, and organizers and attendees alike are gearing up for an energetic event. “Everything is going to be bigger and grander and more about the future in every way,” said Los Angeles-based Rod Perth, NATPE’s new president and CEO. “We’re going to be doing more things that integrate technology in terms of [what is] going to have an impact on the business.” Plus, he added, “We’re planning a big birthday bash on Tuesday night.” Other activities in store will be a “surprise,” said Perth, in his usual reserved way. In its 50th year, Perth sees “NATPE [as] a bridge between content creation and monetization. It does [this] by facilitating and connecting the ongoing conversations between Hollywood, between the world of international, digital and the world of brand and agency communities.” As far as attendance goes, registration is “way ahead of pace” as compared to last December. NATPE is traditionally a strong market for Latin America, but Perth said, “We will have a lot of Canadian buyers and European buyers and exhibitors. We believe all of these territories will be represented in major ways. We don’t have a weakness there.” Ahead of the event, participants were enthusiastic about the market. From Los Angeles, Valerie Cabrera, EVP of Canada’s Entertainment One TV International (eOne) said, “NATPE has become significantly more important for eOne with the rise of all things digital in Latin America and also for European territories, as it seems attendance from that particular continent has been steadily increasing.” For Miami, Florida-based Jack Alfandary, SVP of Latin America and U.S. Hispanic for FremantleMedia, “Participating in [NATPE is] a vital element in the making of our sales strategy.” Alfandary explained his company’s goals for NATPE as follows: “First and foremost, we look to connect with our clients, present them with new product launches, and work with them to help them meet their content and programming needs and objectives. Second, we always look to meet new partners in this type of market and last, but of course not least, we look to connect with both young and established content creators.” “NATPE is becoming increasingly important to Starz, as we accelerate our efforts in the U.S. post pay-TV market and in Latin America,” said Gene George, EVP of World Distribution for Starz Media. “We continue our initiative to license directly to free TV broadcasters throughout Latin America, and NATPE offers a terrific opportunity to see many of them again.” However, Nat Abraham, president of Distribution for Canada’s Breakthrough Entertainment, had a different opinion. “There was a time several years ago when NATPE was perhaps the most important of all markets. However, once the studios stopped exhibiting, there was an almost immediate falloff in international buyer attendance. As a result, for smaller companies like ours, it became costprohibitive to continue to spend the money for booth rental and setups, advertising, graphics, etc., and consequently, it has become a lesser priority,” he said. In terms of buying territories on which exhibitors are setting their sights, FremantleMedia’s Alfandary stated that even though Latin America as a whole is an important target, “the larger markets take a big part of the focus, and these include Brazil, Mexico and Colombia, among others.” New York-based Marielle Zuccarelli, managing director of International Content Sales for A+E Networks, said her company “uses NATPE primarily to target Latin American program sales clients, though increasingly broadcasters from Europe and Canada are attending the market. Since it’s the first major international market of the year, we use [it] to introduce new programs from our catalog. We’re also ramping up our format distribution efforts, and we’ll be meeting with clients and production companies to explore opportunities.” Cabrera of eOne also noted that her company will target “all the usual suspects in Latin America,” while at the same time, “ramping up our Hispanic U.S. target.” For his part, FremantleMedia’s Alfandary doesn’t doubt that the 2013 market will be even better than last year from both a business and organizational standpoint. He said, “NATPE always strives to offer an improved market year to year, and I am sure this upcoming edition will continue to evolve. Additionally, the market in general has been active over the past few years and [I] expect in our region that will continue for the foreseeable future.” eOne’s Cabrera concurred, stating, “It can only get better year [after] year with respect to organization and business. Last year, it was organized more efficiently with a better European attendance than in the previous year.” Breakthrough’s Abraham was positive while entertaining some reservations: “It seems from everything I’ve been reading that NATPE is on its way back, but there is still a long ride to reach the level of market importance it once held.” NATPE is famous for an abundance of conferences, but Perth told VideoAge, “We’re actually reducing [the number] because we want each one to be more significant…We want each one to stand on its own in a significant way.” Yet, he noted, “If you wanted to go to a conference every hour for two days, you could.” As VideoAge has long maintained, the reduction in conferences will surely help generate more traffic in the exhibition hall and corridors of the hotel. As far as the elevator situation, which was a problem two years ago when NATPE first moved to the Fontainebleau, Perth maintained that now, “It is a non-issue.” However, eOne’s Cabrera had a suggestion in that regard, hoping the organization would, “arrange designated elevators for bottom and top floors.” In no unclear terms, Abraham of Breakthrough believes organizers must build up the studio presence on the exhibition floor. “Get the studios back on the floor — not in separate suites where there is no benefit or leveraging of the buyers for other exhibitors on the exhibition floor.” He added, “Also, the distance between the exhibition floor and the hotel suites — where the majors typically hold their meetings — and the elevators — results in a frustrating experience for those smaller companies who have invested to exhibit.” Starz’s George suggested NATPE “continue to invest in the conference, making it more of a true showcase for buyers, talent and press.” With this year’s theme, “Beyond Disruption,” NATPE is showing that it has endured and is looking to emphasize the fact that the market is about content. “The reason we picked that theme is that it is representative of what we think is the opportunity that is hidden by how disruption can preoccupy you,” Perth said. This year, the 10th annual Brandon Tartikoff Legacy Awards will honor Steve Levitan, co-creator of Modern Family; John Langley, executive producer of Cops; Debra Lee, CEO of BET and Herbert Kloiber, chairman of Germany’s Tele Müchen Gruppe. As far as the future of NATPE, Perth reported, “We are planning to grow the conference in ways that serve our attendees. We will add the capabilities to accommodate more attendees. It’s not just about the number, it’s about the quality of the experience for those who invest in us.” V I D E O • A G E DE C E M B E R 2 0 1 2 12 N A T P E P r e v i ew As The TV Market Turns 50, Middle Age Is The New Age This year the number of conferences and seminars will be reduced Starz’s Magic City talent during a breakfast meeting with the press
UNDER THE HIGH PATRONAGE OF THE PRESIDENT OF THE ITALIAN REPUBLIC THE WORLD IN THE MIRROR IMAGES AND SOUNDS FROM 5 CONTINENTS TURIN16/21 SEPTEMBER 2012 Edition conceived and directed by Giovanna Milella, Prix Italia Secretary General A detail from Third Paradisecreated by Michelangelo Pistoletto for 64th Prix Italia RAF - ROMA RADIO DRAMA ORIGINAL DRAMA HOME GOAL ARTE RADIO - FRANCE Direction: Mariannick Bellot, Arnaud Forest Production: Silvain Gire Script: Mariannick Bellot ADAPTED DRAMA MAMA TANDOORI NPO - NETHERLANDS Direction:Vibeke von Saher Script: Hanneke Hendrix RADIO MUSIC COMPOSED WORK THE HALLUCINATED NIGHT SRF RADIO FRANCE - FRANCE Direction: Paul Malinowski Music: Sebastian Rivas RADIO DOCUMENTARIES OVERALL QUALITY SENSE AND SENSIBILITY NRK - NORWAY Direction, production and script: Lasse Nederhoed EXTRAORDINARY ORIGINALITY AND/OR INNOVATION WIRELESS NIGHTS:1. “OVERNIGHT DELIVERY” BBC - UNITED KINGDOM Direction:Laurence Grissell Production:Philip Sellars TV DRAMA TV MOVIES AND MINI-SERIES THE LAST FINE DAY ARD - GERMANY Direction: Johannes Fabrick Production: Hager Moss Film Script: Dorothee Schon SERIES AND SERIALS THE DEEP END TVP - POLAND Direction: Magdalena Lazarkiewicz Production: Sylwester Banaszkeiwicz, Marcin Kurek Script: Katarzyna Lazarkiewicz TV PERFORMING ARTS PERFORMING ARTS PINA ZDF - GERMANY Direction and script: Wim Wenders Production: Gian-Piero Ringel, Wim Wenders Music: Thom Hanreich MUSIC AND ARTS DOCUMENTARIES ANTON CORBIJN INSIDE OUT NPO - NETHERLANDS Direction and Script: Klaartje Quirijns Production: Sander Verdonk, Gertjan Langeland TV DOCUMENTARIES CULTURAL AND GENERAL INTEREST HE THINKS HE’S THE BEST SVT - SWEDEN Direction: Maria Kuhlberg CURRENT AFFAIRS SPECIAL FLIGHT SRG SSR - SWITZERLAND Direction: Fernand Melgar WEB INTERACTIVE WEBSITES LINKED TO A RADIO OR TV PROGRAMME THE NETHERLANDS FROM ABOVE NPO - NETHERLANDS http://nederlandvanboven.vpro.nl Project Manager: Jasper Koning Web Artist: Frederik Ruys NEW CONTENT AND TECHNOLOGIES FOR THE MULTISCREEN TELEVISION BARCODE ARTE FRANCE - FRANCE http://codebarre.tv/en Production Manager: Dominique Willieme Production: David Carzon, Marianne Levy-leblond, Joel Ronez, Hugues Sweeney SPECIAL PRIZES SPECIAL PRIZE EXPO 2015 FEEDING THE PLANET, ENERGY FOR LIFE FRESH FROM THE TRASH ARD - GERMANY Direction and Script: Valentin Thurn Production: Schnittstelle/Thurnfilm SPECIAL PRIZE OF THE PRESIDENT OF THE ITALIAN REPUBLIC SOUTEIGAI - BEYOND IMAGINATION. JAPAN AND THE THREEFOLD CATASTROPHE ARD - GERMANY Direction and Script: Malte Jaspersen Production: Brigitte Kirilow SPECIAL PRIZE FOR THE BEST MULTIMEDIA SECTION OF NEWSPAPERS, MAGAZINES AND PRESS AGENCIES IL POST http://www.ilpost.it/c/cultura/ ITALY SPECIAL PRIZE STUDENTS’ JURY TV MOVIES AND MINI-SERIES CLARA’S OFF TO DIE ARTE FRANCE - FRANCE Direction and Script: Virgini Wagon Production: BFC Productions SERIES AND SERIALS GOVERNMENT DR - DENMARK Direction: Jannik Johansen, Jesper W. Nielsen, Louise Friedberg, Mikkel Norgaard Production: Camilla Hammerich Script: Adam Price, Tobias Lindholm, Jeppe Gjervig Gram SIGNIS SPECIAL PRIZE NICKY’S FAMILY CTV - CZECH REPUBLIC Direction: Matej Minac Production and Script: Matej Minac and Patrick Pass WINNERS 2012
The talk outside the suites of the Loews Hotel in Santa Monica — the main marketplace of the AFM — was focused on the destructive Hurricane Sandy that hit the northeast coast of the U.S., paralyzing all forms of transportation. Carlos Hertel of Germany’s Tele München International estimated that, because of Sandy, 20 percent of buyers arrived late. “In effect, the market started on Wednesday,” he said, instead of Tuesday, October 31, which was the official start date. Similarly, for Steve Arroyave of Canada’s Arrow Entertainment, “the market was slow the first day and a half.” Valerie Cabrera, EVP of Entertainment One TV International, reported that the storm “Delay[ed] a lot of people from attending, so instead of arriving on Wednesday or Thursday, buyers came in over the weekend.” Indeed, an exhibitor who did not want to be quoted because he was privy to confidential information said that by Thursday, one third of the buyers hadn’t picked up their badges yet. One company severely affected by Sandy was the New York-based Screen Media, which could only open its suite on Thursday morning. Jonathan Wolf, managing director of AFM, found that about 50 participants were delayed by airport shutdowns, but “most were sellers, not buyers,” he said. According to his analysis, only a dozen buyers were affected and, among them, very few Europeans. Asian and Latin participants were unaffected and Canadians who took direct flights or avoided connections in troubled areas were not affected either. In any case, the late arrivals made for a longer-than-usual market that otherwise would have slowed down considerably by Sunday, the sixth day of the eight-day market. Reported an executive responsible for the Asian market, “My last appointment ends on Sunday. By then, for me, the market is over.” Evan Crooke of Los Angeles-based Osiris decried the poor traffic on the second and third floors of the Loews Hotel, saying: “Those companies are new, so it’s difficult for them to get appointments. Plus, they’re in suites with little or no traffic. The AFM layout is not helpful to them.” Wolf responded by saying that exhibitors on the second floor receive a 30 percent discount; nevertheless, he promised to address the issue in the future by moving the Internet kiosk from the sixth floor to those lower floors. In terms of the market, Crooke maintained “AFM is important for us,” and said he’s met with buyers from Asia, the Middle East and parts of Europe, especially the Netherlands. However, he noted that there are “so many markets and not enough buyers to accommodate all these markets.” Similarly, John Alexander, the London-based SVP of New York-based Sonar Entertainment, commented, “AFM is good as [a] follow-up market following MIPCOM.” Several sales were initiated at MIPCOM and were closed at the AFM, he said. This year, AFM organizers added a new feature to the event — an International Pavilion with some seven stands at Le Merigot Hotel, which is adjacent to the Loews and also housed a few more exhibitors. Some old-time film executives reported an unusual number of new companies exhibiting at the AFM for the first time. This trend is said to be due to several factors: executives leaving their companies to set up their own distribution businesses; former content buyers who’ve transitioned to distribution; producers dissatisfied with their distributors who decide to venture out on their own; and entrepreneurs with money — and little past involvement in the industry — who are attracted to the film business. Double Dutch from Canada is one of the new companies, which, in the words of its president Ron Möring, up until recently was in the DVD acquisition business and has now ventured into film co-production, financing and distribution. However, for independents, the theatrical business is a different game all together, considering that, in the U.S., for example, only 250 screens are reportedly not abiding by traditional windows. When it comes to economics, one of the most interesting of the five-day conference series must have been the financial panel about surviving the “Dark Age” that began in 2008. That was when, according to panelist Nigel Sinclair of Los Angeles-based Exclusive Media, the bottom fell out and, for a period of two years, buyers weren’t buying, banks weren’t lending and investors were scarce. Today, the equity market is buoyant. Sinclair predicted that South America will be the next big source of capital. In the view of another panelist, Graham Taylor of Beverly Hills talent and literary agency WME, China is an important long-term partner, though finance is more corporate there; Russian investments are more individualistic, he said. Also new this year was the PR firm in charge of press accreditation and registration. Gone is the ancestral Lippin Group, replaced by Sunshine Sachs, the New York-based PR agency operating in Hollywood since 2008. In a letter inserted into participants’ registration kits, Santa Monica Mayor Richard Bloom welcomed everyone back, saying that he is “appreciative that the American Film Market will return to Santa Monica through 2017.” According to official figures, AFM ended its run on November 7 with a six percent increase in buyers (to 1,616 from 1,523 a year ago) and 35 more buying companies than in 2011. A total of 753 buying companies from more than 60 countries were present this year. The AFM Conferences, which launched in 2011, drew audiences of more than 700 each day. Exhibiting companies at AFM were on par with last year, coming in at 357. V I D E O • A G E DE C E M B E R 2 0 1 2 14 A F M R e v i ew Film Mart Rides Tropical and Economic Storms Sales agent Lars Bjorck and Arrow’s Steve Arroyave Breakthrough’s Nat Abraham, Marina Cordoni Sonar’s John Alexander Jennifer Garnick and Jonathan Wolf of AFM organizer IFTA The financial panel about surviving the “Dark Age” — now in the past A view of the Buyers’ Lounge on the fifth floor of the Loews
Canvassing a few buyers’ opinions of the new U.S. TV season, the verdict was unanimous — this offering is “solid but unlikely to produce any breakout hits.” “Solid but not sensational” was the opinion of Dermot Horan, director of Broadcast and Acquisitions at Irish state broadcaster RTE. Horan noted that Elementary, CBS’s new version of Sherlock Holmes, “is doing well, [but] internationally I suspect that those broadcasters who have already bought the BBC version will not want to take it, and it is interesting to note that in the U.K., it went to Sky Living.” Vegas, the new Dennis Quaid series, also received Horan’s nod of approval, although he cautioned, “I suspect that it might skew to an older audience.” For its part, CBS Studios International is, “Thrilled with the performances of Vegas and Elementary [on U.S. TV] so far.” Barry Chamberlain, EVP of Sales for CBS Studios International, added, “We find that viewers in the U.S. are watching [the shows] when they are on, as well as recording them to watch later.” In fact, both series are expected to be renewed, though no official word has been given yet. Volker Lehmann, director of Acquisitions and Co-Productions at ZDF Enterprises, also pointed to Elementary and Vegas as potential highlights in what he otherwise described as, “Another average TV season.” However, he added that the new J.J. Abrams series, Revolution, “is performing better than expected on NBC, but this might be due to the fact that it has hit reality competition The Voice as its lead-in.” Both Horan and Lehmann doubted that this season would produce a breakout comedy, although Lehmann allowed, “The Mindy Project looks the most promising.” Horan and Lehmann’s predictions seem accurate in the U.S., as in the comedy department, there isn’t one major hit, though several shows even with modest ratings have received fullseason orders. Among them are NBCUniversal’s Go On (airing on NBC in the U.S.), starring Matthew Perry as a sportscaster trying to move on after the unexpected death of his wife; Twentieth Century Fox’s The New Normal (on NBC), about a gay couple who uses a surrogate to have a child; Twentieth’s Ben and Kate (Fox), about a single mom who hires her aimless brother as her nanny; and NBCUniversal’s The Mindy Project (on Fox), starring ex-Office writer/star Mindy Kaling as an OB-GYN with romantic/personal obstacles. The only sitcom that’s been axed so far this fall is NBCUniversal’s Animal Practice (on NBC), about a surly veterinarian. Episodes of the series stopped airing in November. The U.S. networks tend to be more willing to renew moderately successful comedy series, as they’re far less expensive to produce than dramas. For that reason, drama renewals take longer. On the drama side, the biggest hit in the U.S. seems to be Warner Bros.’s Revolution (NBC), set in a futuristic world without electricity, and created by J.J. Abrams. The show has been renewed for a full season. Over at the CW, Warner Bros.’s Arrow is a pretty sure bet in terms of renewal. Based on a comic book series, the show has been garnering high ratings (though CW shows traditionally pull in far fewer viewers than competing networks). The first drama cancellation of the new season was Sony’s Made in Jersey (CBS), about a woman from a blue-collar background who gets a job at a whiteshoe Manhattan law firm. Though ratings have not been stellar, critics across the board have called Lionsgate’s Nashville (on ABC) the best new show of the season. It’s fairly safe to say that ABC will hold off on any moves until the show (hopefully) attracts more viewers. Despite lackluster ratings, ABC has given more script orders to Warner Bros.’s 666 Park Avenue, about a New York building with supernatural occurrences, and to Sony’s submarine drama Last Resort. The rumor mill is turning out stories that the next possible cancellations may be Sony’s The Mob Doctor (Fox), about a woman who is roped into working for the Mafia and Warner Bros.’s Partners (CBS), about a couple of friends — one gay and one straight — who are business partners. Interestingly, NBC — formerly the fourth-rated network among younger demographics — has found itself on top this season in regards to the advertisercoveted 18-49s, surprising both observers and the network itself. Reality competition series The Voice is partly to thank for that. At MIPCOM 2012, Twentieth Century Fox Television Distribution debuted drama series The Americans (which will launch in January) at the World Premiere Screening. With a full house of 700 viewers, it was one of the most successful screenings. President of International Television, Marion Edwards also noted that Ben and Kate and The New Normal drew quite a bit of attention in the U.S. “This is an exciting time for content developers because there are so many outlets to produce for now, and there are many options for those in acquisitions as well,” said Edwards. For example, Fox is bringing original episodes of Arrested Development to Netflix. Sony Pictures Television’s (SPT) series have been popular among Latin American buyers. “All of our series have been sold to Latin America,” said Alexander Marin, SVP of Distribution Latin America and Caribbean at MIPCOM. “The series fit the specific needs of our clients exactly,” he said, adding, “Demand for our new slate of scripted series has been overwhelmingly high [in the Latin American region.]” SPT has sold drama The Mob Doctor to FOX International Channels Latin America and Made in Jersey to A&E. The Client List went to Sony Pictures Television Networks, Latin America, and Last Resort will air on AXN. Plus, Viacom International Media Networks The Americas purchased Men at Work and Kathy. V I D E O • A G E DE C E M B E R 2 0 1 2 16 F A L L U . S . T V S E A S O N Buyers See Quality, Still Waiting For Breakthrough Dennis Quaid stars in the new CBS series Vegas A scene fromThe Mindy Project
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C M Y CM MY CY CMY K Analysis by Dom Serafini This decade will be decisive for the future of local TV stations in the U.S. Will they abandon the airwaves for broadband? Meanwhile, what are they going to do with the extra channels? What will their relationship with cable and satellite be like? What will their relationship with the networks be like? Before this decade is over, OTT (overthe-top) will be the most popular form of TV consumption. Companies with the financial and technological strength of Apple will have their OTT STBs (settop boxes) incorporated into TV sets, which will allow streaming of all kinds of TV content. For this, consumers will only need a broadband connection — be it from cable, optical fiber, Wi-Fi (wireless), satellite-based IP delivery, telephone wires (DSL) and, eventually, electrical home wires. As per last year, 65 percent of U.S. TVHH used a wireline broadband service. Close to 70 percent of U.S. Households (HH) have broadband and reports say broadband costs will decrease 50 percent a year. However, in the next few years, the hardware industry has to streamline all the various names of devices associated with screens that display any TV content that has passed through the Internet. It is estimated that by 2015, 80 percent of all TV sets sold worldwide will have built-in broadband (or connected TV) capability. Currently, in the U.S. there are 30 million connected TVHH. For content providers and viewers, OTT will have little effect because it is just an evolution, but for OTA (overthe-air) TV stations, especially in the U.S., it will be a revolution. One could even say that OTT will replace OTA, but not FTA –– just to be in tune with the industry’s new plethora of acronyms. The U.S. TV system is based on the affiliation model. A model that –– with subscription TV reaching up to 88.96 percent of TVHH –– although crumbling, is still holding on by a thread. However, contrary to the “Disruptive Innovation” theory, technology doesn’t necessarily have to overtake an industry. To the contrary, it could help it to grow. Currently, most of the 1,777 local TV stations in the U.S. are affiliated with a commercial network or with a public network. Each of those networks utilizes some 200 local TV stations to cover the U.S. (PBS has 350) and each provides them up to 14 hours a day of content, with the rest of the day-parts filled with syndicated programs and local news. This model, which worked beautifully for over 60 years, has now developed some economic glitches, but there are solutions: • Because of subscription television and broadband, networks no longer need affiliate stations. Currently, only 11 percent of U.S. TVHH receive TV signals through an antenna, and this figure could even be as low as 9.6 percent (subscription TV figures vary). And only up to 10 percent of Americans lack access to broadband. However, this figure is disputed by the National Telecommunications Cooperative Association, which stated that 48 million rural homes have no access to broadband services. • Networks no longer need to pay affiliates to carry their TV shows (with commercials), since they can easily utilize subscription TV and broadband to reach their audience, just like any cable/satellite TV channel (e.g., ESPN, A&E, USA, TNT). To the contrary, networks are looking to be paid (reverse compensation) by their affiliates. • Networks no longer have to share 50 percent of retransmission fees with their local affiliates. This year, “retrans” fees to local TV stations will reach $1.5 billion. • By becoming subscription TV networks, the companies will no longer be under the FCC’s jurisdiction. Plus, the networks will get retrans fees directly from the subscription service to the tune of $0.30 per sub per month (while local TV stations could get up to $0.25 per sub). This is because of the networks’ highly desirable programming. Under the traditional model, advertising accounts for 70 percent of a local station’s revenues, with the rest coming from network compensation and retransmission fees (nine percent). Therefore, using today’s parameters, the future of local TV looks bleak. According to some reports, an eight percent drop of viewership could represent up to a 30 percent loss of ad revenue to a local TV station. However, once local TV stations lose network fare, they can band together to develop original content and/or buy syndicated fare at a discount. This will replicate the model used by their websites, which are managed mainly by two services: Internet Broadcasting System and Worldnow. Plus, some of these extra costs will be offset by subscription services (at perhaps $0.15 per sub, due to the highly valuable local news). Other added revenues will come from renting out spectrums to Wi-Fi providers (since frequencies will no longer be necessary for the station to broadcast) to the tune of $10 million each on average. In addition, local advertising will still constitute a major revenue source from car dealers, retailers and political campaigns, which in 2010 brought some $2.3 billion to local TV. To local TV stations, the digital TV terrestrial standard could become meaningless, since they will not have the resources to program the extra channels. Plus, to extend their reach, TV stations will transmit in IPTV (streaming). However, the stations will not lose their spectrum because they will need the airwave rental income to offset the cost of local services, like news, weather, alerts and political debates. It is important that local TV stations increase and improve their local TV coverage, both to fend off any attempt by the government to auction their airwaves (e.g., The Spectrum Reallocation Bill, now before Congress), and to ensure the steady flow of ad revenues, considering that, on average, 44.7 percent of local TV station income derives from news. The IPTV transmission will also add new forms of revenue: the on-demand, both paid and ad-supported. In 2010, local TV revenues for online services were $1.34 billion. Naturally, in order to save on syndicated programming costs, their coverage will be geo-blocked. As for the TV networks themselves, the change will also concern the way their content is distributed, which will be linear and on-demand and on any screen device. South Korean broadcaster KBS operates K-Player, an Internet platform that allows programs to be watched on any screen. Similarly, Singapore is ready to launch Toggle, an OTT service that delivers content to a device of choice. Broadband will also change the model of subscription TV, which will transition from being mainly a provider of TV signals to broadband delivery. Already video subscriptions are decreasing, while the broadband business is growing. In addition, broadband services generate better margins for providers than video. With growth of broadband delivery, the local TV channels that could still receive a carriage fee will continue to be bundled by the subscription services, while others will aim to reach viewers directly with a mix of ad-supported free services and ondemand pay. Interactivity will also provide an extra revenue source, especially for online shopping. During the remaining eight years before broadband will fully replace broadcast TV, local stations have one more card to play: Their mux (or virtual sub-channels) that the digital standard allows them. Within the allotted bandwidth of 19 Mbps, each TV station can broadcast up to 12 video feeds (like KAXT-CD in San Francisco). The TV stations of Trinity Broadcasting Group broadcast five SDTV (standard) channels each. But even if the TV stations make use of only three digital channels, the potential exists to monetize them before they disappear with the broadband’s IPTV standard. Right now, many TV stations prefer not to use those extra channels because they’re costly to program, can potentially cannibalize their main channel and cable will not readily carry them. One solution would be to partner with European, Asian or Latin American TV broadcasters to create ethnic or specialized channels that, once branded, can remain as standalone broadband channels to serve over 21 million foreign-born American residents and/or the general public. With the TV stations providing the technology, marketing and sales support and the foreign partners providing content. The easiest programming would be Spanish-language content outside Mexico (which, having their own channels in the U.S., don’t sell programs), followed by Chinese, Filipino, Indian, Vietnamese, Korean and Russian, in that order. For the general public, subtitled movies, easy-to-dub animation, voiceover documentaries, and sports like football, cycling and rugby, could be good attractions. But local TV stations must also become multimedia outlets, reaching sales, marketing and editorial agreements with local radio and local newspapers (when available) when acquisitions are not feasible. They will be able to offer print, radio, linear TV, VoD and the Web all at a local level, something that networks cannot do. Interestingly, independent local TV stations in smaller markets could have a better potential than those in bigger markets with existing stations owned by the networks. Currently, federal regulations allow groups to own local TV stations covering a total of 39 percent of the country. This means that the stations in the remaining 61 percent of the U.S. will not be competing unfairly with stations with more resources. V I D E O • A G E DE C E M B E R 2 0 1 2 18 U . S . T V S T A T I O N S ’ F U T U R E Local TV to Cope with Switch from Broadcast to Broadband
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