Video Age International October 2009

V I D E O • A G E Se p t e m b e r/ Oc t o b e r 2 0 0 9 46 drama FlashForward to U.K.’s Five network (while ABC Studios produces for television, Disney Studios is for theatrical releases). Perhaps because of the series’ British stars Joseph Fiennes and Jack Davenport, Five reportedly outbid BSkyB by paying £16.5 million (U.S.$27.3 million) for 13-episodes, which comes to $2.1 million per episode, much more than the $1.5 million per episode reportedly paid by Channel 4 for Disney’s Desperate Housewives in 2006. Five’s license fee was estimated based on its £165 million (U.S.$273 million) annual program budget and Five’s CEO Dawn Airey’s comment to C21 Media that the network spent 10 percent of its budget on the acquisition of FlashForward. Reportedly, the Five deal for exclusive U.K. terrestrial (Five) and digital rights for Fiver and Five USA also includes a new run of Grey’s Anatomy and some movies. Pyne attributes this success with international distribution to the “Disney difference,” something that “we work hard at,” and that can be summarized in four points for programming distribution: Content, managing windows, new media and support. In regard to the statements by other network’s officials that suggest at least one U.S. TV terrestrial network will eventually migrate exclusively to cable/satellite, Pyne said that up to 90 percent of American viewers still watch broadcast networks regularly, and that even though 82 percent of the U.S. TVHH watch television through some form of subscription, the remaining 18 percent that receive broadcast TV through aerials still represents a large portion of viewers that need to be served. Pyne also touched on the subject of the Disney channels, which, with the advent of digital terrestrial television, are multiplying like rabbits… sorry, mice. Pyne and his international team works closely with Disney Channels Worldwide, led by Burbank-based Rich Ross, on the company’s owned portfolio of 98 channels/feed available on terrestrial digital, cable and satellite in 163 countries and 32 languages. Pyne handles the distribution for the channels, while Ross oversees their operations and content. The platform brands are: Disney Channel, Disney XD, Playhouse Disney, Disney Cinemagic, Hungama, Radio Disney and Jetix. This latter brand was comprised of a group of channels that had its own set of complexities. Formerly Fox Kids Europe, Jetix was acquired by Disney, which operated other Jetix channels in Latin America. Jetix’s programming blocks also aired in the U.S., India and Japan on Toon Disney channels. Furthermore, there is ABC Kids, a fourhour block broadcast on Saturdays on the ABC TV network. Last February, the Jetix block was rebranded as Disney XD in the U.S.. By last September, Disney had retired the Jetix and Toon Disney brands and replaced them with Disney XD or the Disney Channel. However, in some markets, such as the Arab world, the company is not eliminating the Toon Disney brand. In terms of broadband, Pyne mentioned the success of ABC.com, which managed to not only gain eyeballs without cannibalizing Disney’s broadcasts, but lower the demographics for its shows to the 20s on average (down from the ABC primetime broadcast’s median age of 49). In regard to IPTV serving as a broadband-based (Wi-Fi, Wi-Max, cable, DSL and satellite) TV-viewing experience, Pyne had this to say: “Delivering TV content using IPTV opens up another alternative and very interesting distribution outlet to reach consumers, and we have always taken a position of remaining platform agnostic when it comes to how we license and distribute our content, provided that the quality of the experience is always at a high caliber and that we reach agreement on business terms. Here in the U.S., we not only support traditional cable, but also were early supporters of the satellite companies, DirecTV and Echostar, when they first launched and more recently the telcos, Verizon and AT&T, and with each new entrant, the overall multichannel universe has increased. And indeed they all offer some form of triple play or in some cases quadruple play. Quality of the consumer experience remains a critical component, I can’t stress that enough. The distribution partners [highlighted above] have invested heavily to make sure their consumer offering is the best it can be. For any new entrant into the video distribution (Continued from Page 44) Disney’s Ben Pyne Ben Pyne hosting Disney’s International Upfronts during the L.A. Screenings “ Up to 90 percent of American viewers still watch broadcast networks regularly. Joseph Fiennes in FlashForward space, it will be critical for them to think this through and make sure that their value proposition is equal to or better than the current distributors.” Finally, Pyne broached the touchy subject of TV trade shows, prefacing that for Disney, MIPCOM “is the key selling opportunity for the international TV market, where a lot of business is done. However, as we do with our business, markets such as MIP need to be continually re-evaluated by the organizations.” Pyne concurred that by simply changing hotels in Las Vegas and making cosmetic changes, NATPE will not solve its problems. He then proceeded to give the example of Cable Connection, which coordinates a market that revived the cable TV market sector by combining some 11 dying events (including CTAM, CAB, Kaitz Foundation dinner and NCTA itself ) into one big spring and one big fall market (the latter, will be held October 25-30, 2009 in Denver, Colorado). Ben Pyne, who joined Disney in 1992, is president, Global Distribution, Disney Media Networks. Promoted to this role in 2007, he is responsible for the international distribution of content produced by The Walt Disney Company to all platforms, including VoD and broadband markets. He also oversees U.S. distribution of the company’s television content (handled by Disney-ABC Domestic Television), international content distribution (through Disney-ABC-ESPN Television) and Disney-ABC International Television, and is responsible for the ABC Television Network’s Affiliate Relations department as well as the Disney & ESPN Media Networks Affiliate Sales and Marketing team. Pyne reports to Anne Sweeney, co-chair, Disney Media Networks and president, Disney-ABC Television Group, and Alan Bergman, president, The Walt Disney Studios. For domestic responsibilities concerning ESPN, Pyne reports to Sean Bratches, executive vice president, Sales and Marketing, ESPN and ABC Sports. He also works closely with Burbank-based Andy Bird, president, Walt Disney International, because the latter is responsible for targeting new businesses internationally (outside the U.S.). Prior to this role, Pyne served as president, Disney & ESPN Networks Affiliate Sales and Marketing, a role he was promoted to in 2005. Pyne has an MBA from Harvard Business School. He was also Orchestra Manager of the New Jersey Symphony from 1985-90 (he plays classical guitar). He currently resides in New York City with his wife and two sons.

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