|By Shelly Palmer||
|August 3, 2014 03:01 AM EDT||
Over the next 18 months, proposed and pending mergers and acquisitions are going to completely change the media landscape. Even if only a few of them are completed, the impact will be felt across the value chain, Hollywood will be shaken to its core and we will live in a very different world. Here are just a few deals that, when taken together, should make you stop and think very hard.
Almost everyone who has standing to have an opinion about the Comcast/NBCU takeover of Time Warner Cable tells me that it will breeze through regulatory and is all but a done deal. I’m not sure anything breezes through regulatory, but I am sure that the deal will get done. If true, the stage will be set for the most transformative media ownership changes in history.
The new Comcast/NBCU/TWC will own the majority of cable viewers in the US. Inside of five to seven years, the distribution of content through Comcast’s X1 platform will literally change everything we understand about video distribution. Analog television may be history, but the X1 is truly the next evolutionary step – it digitally distributes content to any device you own. And most of the cable TV households in America will happily pay for it monthly in cash as well as with their data. (Somewhere, George Orwell is smiling.)
I have $20 in the office pool and chose $105 per share as the number that gets Fox/Time Warner done. My side bet is that CNN goes for about $10 Billion to Al Jazeera in the deal. (Could anyone else pay more?) This deal really makes sense. 21CF and WB studios combined, the two cable groups combined, all the burdensome assets sold off for parts. At this size, the combined organization may actually be able to compete with the pure play digital media companies sucking dollars out of the television marketplace. $105 per share is big money when compared to the $85 Fox has actually offered. Will it happen? I say yes, but the final share price is anyone’s guess. What about regulatory headwinds? After Comcast/NBCU/TWC goes through, how will regulators argue against Newscorp needing scale to compete?
This one’s a head-scratcher. According to the FAQ on DirecTV’s website, “This combination brings together two leading companies with complementary strengths and scale in mobility, video and broadband services. Together, DIRECTV and AT&T will be well-positioned to realize substantial incremental growth by offering consumers competitive and innovative broadband, video and mobile services. The combined company will cover 70 million customer locations with its broadband expansion and be a stronger alternative to cable with a better customer experience. Together, we will be well-positioned to meet the evolving video and broadband needs of the 21st century marketplace.”
The consumer offering is compelling, but from a media perspective, this group of 70 million customers has no geographic concentration. So, while there is good ad targeting software in place, it is not going to efficiently compete for local or regional advertising. Nor will it offer an efficient buy on a national scale – the 70 million TVHH are scattered. That said, the merger is practically a done deal and the combination of AT&T and DirecTV creates technological powerhouse with a well-differentiated consumer value proposition.
Assuming all of the other mergers get approved, one can assume that the T-Mobile/Sprint merger will also be approved. Why wouldn’t it be? This will create a truly formidable competitor for Verizon and AT&T. In practice, this will be great for consumers – regardless of what the anti-trust people would have you believe — three good choices are better than two good choices and two low-cost, low-value, bad-network, also-ran choices.
But T-Mobile is killing it these days; look at what it has accomplished in the last quarter! While it’s true that T-Mobile announced a series of milestones highlighting why it is the fastest growing wireless company in America, as a part of its Q2 2014 earnings report. And it announced it has launched nationwide Voice Over LTE (VoLTE) with more than 2.8 million VoLTE-capable devices. And has begun equipping sites with 700 MHz gear and field-testing its first 700 MHz-compatible devices… but it will still be much better and much more competitive when it is combined with Sprint.
Guessing At The Future
Let’s play pretend. Assuming that all of this transpires. We can guess that Viacom will be broken up and sold for parts. The cable networks (MTV Networks and BET) will go to the highest bidder, as will Paramount (which was bolted on anyway).
So, what might the media landscape look like in 2016? That might be the wrong question to ask. The better question might be: Which companies will be best positioned to sell media in a world where more primetime content is viewed online than on broadcast and digital media companies, specifically Google, Facebook and Twitter, are converting TV ad dollars to data-driven ad dollars at an alarming rate?
Who has a clear path to the future? Who has the best data gathering? Who can make their first party data actionable? Who has the best distribution platform? Who, to use a very overused metaphor, is skating to where the puck will be?
I have well-reasoned answers to these questions and a few more; shoot me an email and we can handicap the new world order. It’s the best guessing game in town!
Join IBM November 2 at 19th Cloud Expo at the Santa Clara Convention Center in Santa Clara, CA, and learn how to go beyond multi-speed it to bring agility to traditional enterprise applications. Technology innovation is the driving force behind modern business and enterprises must respond by increasing the speed and efficiency of software delivery. The challenge is that existing enterprise applications are expensive to develop and difficult to modernize. This often results in what Gartner calls...
Oct. 28, 2016 11:30 AM EDT Reads: 118
Although it has gained significant traction in the consumer space, IoT is still in the early stages of adoption in enterprises environments. However, many companies are working on initiatives like Industry 4.0 that includes IoT as one of the key disruptive technologies expected to reshape businesses of tomorrow. The key challenges will be availability, robustness and reliability of networks that connect devices in a business environment. Software Defined Wide Area Network (SD-WAN) is expected to...
Oct. 28, 2016 11:00 AM EDT Reads: 2,270
The explosion of new web/cloud/IoT-based applications and the data they generate are transforming our world right before our eyes. In this rush to adopt these new technologies, organizations are often ignoring fundamental questions concerning who owns the data and failing to ask for permission to conduct invasive surveillance of their customers. Organizations that are not transparent about how their systems gather data telemetry without offering shared data ownership risk product rejection, regu...
Oct. 28, 2016 11:00 AM EDT Reads: 358
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, will discuss the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They will also review two "free infrastruct...
Oct. 28, 2016 10:32 AM EDT Reads: 212
The Internet of Things (IoT), in all its myriad manifestations, has great potential. Much of that potential comes from the evolving data management and analytic (DMA) technologies and processes that allow us to gain insight from all of the IoT data that can be generated and gathered. This potential may never be met as those data sets are tied to specific industry verticals and single markets, with no clear way to use IoT data and sensor analytics to fulfill the hype being given the IoT today.
Oct. 28, 2016 10:30 AM EDT Reads: 2,953
@ThingsExpo has been named the Top 5 Most Influential M2M Brand by Onalytica in the ‘Machine to Machine: Top 100 Influencers and Brands.' Onalytica analyzed the online debate on M2M by looking at over 85,000 tweets to provide the most influential individuals and brands that drive the discussion. According to Onalytica the "analysis showed a very engaged community with a lot of interactive tweets. The M2M discussion seems to be more fragmented and driven by some of the major brands present in the...
Oct. 28, 2016 09:15 AM EDT Reads: 11,628
In his general session at 19th Cloud Expo, Manish Dixit, VP of Product and Engineering at Dice, will discuss how Dice leverages data insights and tools to help both tech professionals and recruiters better understand how skills relate to each other and which skills are in high demand using interactive visualizations and salary indicator tools to maximize earning potential. Manish Dixit is VP of Product and Engineering at Dice. As the leader of the Product, Engineering and Data Sciences team a...
Oct. 28, 2016 08:00 AM EDT Reads: 930
Personalization has long been the holy grail of marketing. Simply stated, communicate the most relevant offer to the right person and you will increase sales. To achieve this, you must understand the individual. Consequently, digital marketers developed many ways to gather and leverage customer information to deliver targeted experiences. In his session at @ThingsExpo, Lou Casal, Founder and Principal Consultant at Practicala, discussed how the Internet of Things (IoT) has accelerated our abil...
Oct. 28, 2016 08:00 AM EDT Reads: 3,530
19th Cloud Expo, taking place November 1-3, 2016, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterpri...
Oct. 28, 2016 08:00 AM EDT Reads: 5,094
SYS-CON Events announced today that Streamlyzer will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Streamlyzer is a powerful analytics for video streaming service that enables video streaming providers to monitor and analyze QoE (Quality-of-Experience) from end-user devices in real time.
Oct. 28, 2016 07:15 AM EDT Reads: 1,120
You have great SaaS business app ideas. You want to turn your idea quickly into a functional and engaging proof of concept. You need to be able to modify it to meet customers' needs, and you need to deliver a complete and secure SaaS application. How could you achieve all the above and yet avoid unforeseen IT requirements that add unnecessary cost and complexity? You also want your app to be responsive in any device at any time. In his session at 19th Cloud Expo, Mark Allen, General Manager of...
Oct. 28, 2016 07:15 AM EDT Reads: 1,122
Established in 1998, Calsoft is a leading software product engineering Services Company specializing in Storage, Networking, Virtualization and Cloud business verticals. Calsoft provides End-to-End Product Development, Quality Assurance Sustenance, Solution Engineering and Professional Services expertise to assist customers in achieving their product development and business goals. The company's deep domain knowledge of Storage, Virtualization, Networking and Cloud verticals helps in delivering ...
Oct. 28, 2016 07:00 AM EDT Reads: 1,173
Intelligent machines are here. Robots, self-driving cars, drones, bots and many IoT devices are becoming smarter with Machine Learning. In her session at @ThingsExpo, Sudha Jamthe, CEO of IoTDisruptions.com, will discuss the next wave of business disruption at the junction of IoT and AI, impacting many industries and set to change our lives, work and world as we know it.
Oct. 28, 2016 07:00 AM EDT Reads: 610
SYS-CON Events announced today that 910Telecom will exhibit at the 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. Housed in the classic Denver Gas & Electric Building, 910 15th St., 910Telecom is a carrier-neutral telecom hotel located in the heart of Denver. Adjacent to CenturyLink, AT&T, and Denver Main, 910Telecom offers connectivity to all major carriers, Internet service providers, Internet backbones and ...
Oct. 28, 2016 07:00 AM EDT Reads: 3,788
The IoT industry is now at a crossroads, between the fast-paced innovation of technologies and the pending mass adoption by global enterprises. The complexity of combining rapidly evolving technologies and the need to establish practices for market acceleration pose a strong challenge to global enterprises as well as IoT vendors. In his session at @ThingsExpo, Clark Smith, senior product manager for Numerex, will discuss how Numerex, as an experienced, established IoT provider, has embraced a ...
Oct. 28, 2016 06:45 AM EDT Reads: 1,277
Cloud based infrastructure deployment is becoming more and more appealing to customers, from Fortune 500 companies to SMEs due to its pay-as-you-go model. Enterprise storage vendors are able to reach out to these customers by integrating in cloud based deployments; this needs adaptability and interoperability of the products confirming to cloud standards such as OpenStack, CloudStack, or Azure. As compared to off the shelf commodity storage, enterprise storages by its reliability, high-availabil...
Oct. 28, 2016 06:15 AM EDT Reads: 1,311
DevOps is being widely accepted (if not fully adopted) as essential in enterprise IT. But as Enterprise DevOps gains maturity, expands scope, and increases velocity, the need for data-driven decisions across teams becomes more acute. DevOps teams in any modern business must wrangle the ‘digital exhaust’ from the delivery toolchain, "pervasive" and "cognitive" computing, APIs and services, mobile devices and applications, the Internet of Things, and now even blockchain. In this power panel at @...
Oct. 28, 2016 06:00 AM EDT Reads: 2,201
The Quantified Economy represents the total global addressable market (TAM) for IoT that, according to a recent IDC report, will grow to an unprecedented $1.3 trillion by 2019. With this the third wave of the Internet-global proliferation of connected devices, appliances and sensors is poised to take off in 2016. In his session at @ThingsExpo, David McLauchlan, CEO and co-founder of Buddy Platform, discussed how the ability to access and analyze the massive volume of streaming data from millio...
Oct. 28, 2016 05:00 AM EDT Reads: 3,207
In the next forty months – just over three years – businesses will undergo extraordinary changes. The exponential growth of digitization and machine learning will see a step function change in how businesses create value, satisfy customers, and outperform their competition. In the next forty months companies will take the actions that will see them get to the next level of the game called Capitalism. Or they won’t – game over. The winners of today and tomorrow think differently, follow different...
Oct. 28, 2016 04:15 AM EDT Reads: 1,168
“Media Sponsor” of SYS-CON's 19th International Cloud Expo, which will take place on November 1–3, 2016, at the Santa Clara Convention Center in Santa Clara, CA. CloudBerry Backup is a leading cross-platform cloud backup and disaster recovery solution integrated with major public cloud services, such as Amazon Web Services, Microsoft Azure and Google Cloud Platform.
Oct. 28, 2016 04:15 AM EDT Reads: 1,577