Echo To All submits: Almost everyday I hear some reporter or stock market blogger (myself included) who claim ‘Old Media’ is not dead. I completely agree. Old Media has in there possession most of the greatest content on earth, especially the video content owners, and these are the content owners I am writing about. Viacom (VIA), Time Warner (TWX), Diseny (DIS), News Corp (NWS) and other smaller players are using a business model that is slowly dying. Their model is dependent on an audience of viewers, however the traditional audience via the TV or Movie house is DECREASING.
A new model is upon us, and Old Media is ignoring it. That is a model where viewers are shared between the internet, and what already exists (TV/Movies). Each and every Old Media company has their hand on the web in one way or another. NWS w/ MySpace, TWX with AOL, content being on Apple's (AAPL) iTunes and individual content websites (ie ComedyCentral.com), however they are not leveraging their content on this new medium properly. Google's (GOOG) YouTubes, Video Google and MySpace have taken away a huge portion of Old Media’s audience, and the media companies are doing nothing to address this new migration of the audience. Well, I should correct myself, they are doing something… they are forcing their content to be taken down from that very medium they so desperately need.
Content is KING, but if the content is not near the audience and viewers, the content is worthless.
Old Media needs to recognize this, and reach out to where ever the audience is positioned. Their content needs to be viewed by as many people as possible. Period.
Old Media content needs to be exposed to the largest audience possible. That means they have to go to bed with Google. They have to stop their old media ways (which is to go straight to the courts and use force), and embrace the partnership angle. Ad embedded technology is already there, Old Media just needs to recognize they need Google (due to a 51% video market share), and maybe Myspace too (due to a 19% market share), for an AUDIENCE.
Disclosure: Author holds a long position in some of the above mentioned securities.