Video Age International OCTOBER 2008

importance of localization. “American programming works all over the world,” he said. “But the key to taking these channels to the next level is localization: original local production, dubbing and subtitling.” But the demand for localization varies greatly by territory. “Some countries, like South Africa, are happy with U.S. shows exactly how they are in America, but other countries, like France, for example, require their own original shows,” Comcast’s Wald said. In countries that require highly localized programs, E! will produce local versions of countdowns, red carpet interviews and the E! Newsseries. “No two channels are ever the same,” said Helmrich, who, as president of IBC, now consults for companies looking to launch channels internationally. “You have to be flexible. I’ve seen my clients spend a lot of money going just one way. And then they have to spend a lot more money balancing out how much local and U.S. programming is needed.” As with any new technology, the addition of new distribution platforms has been both a blessing and a curse. “New technologies have aided transmission and brought down costs. For example, you don’t need to dub and ship videos any more; transponder costs have gotten lower too. Those things have propelled the industry and made channel launches quicker and easier,” Helmrich said. “But, on the business side, it’s all more complicated. With the Internetbased technologies there are more opportunities, but deal-making is also a lot more complicated than it was with just cable and satellite.” No matter what, the business seems poised for more growth. “It maximizes return on content. Channels are about growing real long-term revenue assets, much more than program sales ever can,” Helmrich said. OC T O B E R 2 0 0 8 there are plans to launch the Golf Channel in 2009. According to Wald, revenue — and viewers — are on an upswing. “The pie is certainly getting bigger all over the world,” he said. The transition from analog to digital television is fueling growth particularly in territories such as Eastern Europe and parts of Asia, which were slow to adopt American channels. According to Helmrich, some of the smaller territories, such as Singapore, Hong Kong and Taiwan, are now most promising, thanks to a smoother transition to digital television. Warner Bros. is making a large investment in the Indian market in particular. The company plans to launch a Warner Bros.-branded channel in collaboration with sister company Turner Entertainment Networks Asia later this year, pending regulatory approval. “We have had our eye on India for some time and are most excited about working with our colleagues at Turner in delivering a new service to this market,” Dudley-Smith said. While newly digital TV territories provide U.S companies with the potential to make more money and reach more viewers, they all require special attention. “Every territory and every channel is completely unique,” MGM’s Tuchman said. “There’s no cookie-cutter way to do it, so you need support all over the world.” Sony’s Kaplan agreed, saying, “You need to find the right niche and need for each operator.” He also emphasized the U.S. International Channels Andy Kaplan, president of International Networks for SPTI (Continued from Page 40)

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