From that article:
The merger of Foxtelâs and Tenâs sales force into MCN was for nil. The rationale for News Corpâs full ownership of Sky News â to replace Tenâs news division â is in ashes, as is Fox Sportsâ joint-bidding for broadcast rights, in some cases an anti-siphoning workaround. For News Corp, its executive co-chairmanâs personal own goal is an unmitigated debacle.
Read more: After the crash, Lachlan Murdoch hands Ten to CBS
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Brilliant analysis!
Imagine Leckie swooping in and using all the CBS money to turn Ten around. He has probably been bored of late and would like a cashed up ten to play with.
That article was spot on. If Grant Blackley was still there and the strategies they had put in place ten would;ve grown as a media company instead of collapsing in a heap.
And Murdoch/Gordon forcing the boardâs hand has back fired big time.
Canât read the article, is there a way to get around the paywall?
Google it and you will access the cache version.
Here is another good article which shows how much Gordon and Murdoch stuffed up and shows how ten dodged a bullet in a tie up with News âŚplenty of job losses:
For all of Murdochâs faults, It was Blackley and his news revolution that was a complete and utter disaster that did massive damage to Ten News and the network. Had they continued with Evening News and George Negus they wouldâve gone bankrupt years ago.
The strategy was good but the execution was disappointing. New management didnât know what to do with it.
I actually disagree with that. I think that if they actioned the news evolution in stages, rather than in a massive hit - they could have made it work. But when new management was brought in soon after the news evolution began they didnât allow enough time for the changes to set in.
I think that if you are going to take such a massive risk with launching a different product, you need to give it time to settle in and then build on from there. By the end of 2011 (if Iâm not mistaken) - everything was gone again.
Wrong.
Your judgement is clouded by infatuation with the Simpsons.
It was a long game⌠to set up ten as a diversified and multi platform media company. Seven and nine ended up copying the strategy in their own similar way.
Finally someone from a news corp subsidiary saying that CBS buying ten is good for the th industry.
Hasnât he read the Murdoch spin being pedalled by Sky News, etc. (emphasis on the âforeign takoverâ, ignoring the Murdoch US citizenship).
Putting a positive spin on Foxtelâs accelerating downward spiral:
âThere will be more and more of these services⌠[and] ultimately Australian consumers wonât want to have lots and lots of them,â Mr Tonagh said.
âI think theyâll want to have an aggregator that does a lot of work for them. Our role is as the aggregator.â
Sure, weâre going to pay Foxtelâs overpriced subscriptions & continue to have them foist ads on us instead of picking which of the others have what we want to watch. No thanks.
Not sure if this has been discussed yet or not (a lotâs on here!):
Supported by heavily cross-subsidised content, Ten will have its $625 million cost base slashed in a way its executives could only have dreamed about.
That means it should be competitive in the impending and much more expensive bidding battle for Big Bash cricket rights.
Holding on to its other sporting staples like the Melbourne Formula One Grand Prix and the Wallabies should be easier too.
I think thatâs a really important point in all of this (that somehow hasnât weighted that heavily when Iâve been thinking about all of this): Tenâs current expenditure can now almost entirely be diverted to Australian content now that they donât in effect have to pay for any CBS content.
Obviously theyâre still keeping the FOX deal but itâs been substantially discounted:
It will now negotiate with Fox to keep broadcasting gems like The Simpsons, and CBS is in a very strong position there too.
If Fox wonât deal with CBS, it gets shifted back into the unsecured creditor pile and will receive a pittance compared to what it is owed â although that is a pittance more than Ten shareholders are likely to receive.
Honestly this whole takeover is just wonderful - particularly with the wrath that Lachlanâs having to face now.
I think this is unrealistically optimistic.
CBS will want to see returns on their investment, one way or another, and even though it may be like playing with Monopoly money they probably will continue to expect their new subsidiary to pay their empireâs other arms for producing content.
If nothing else itâs important to be able to report on, fund/justify the content CBS produce.
There may also be tax reasons to pay licence fees for the content (perhaps to a licensing arm based in some tax haven, next door to Bruce Gordon).
In wanting to see a return, wouldnât they invest more advertising dollars earned into Australian content (thatâs proven to actually rate) rather than Tenâs previous efforts with US filler programming that cost too much?
Yes, itâs pretty clear that not having to pay for US content will be a significant help to Tenâs finances. Will it be the only FTA network with a US studio output deal (and possibly two) that can feed in to content for multichannels and daytime programs and post 9.30pm timeslots.
I would have thought Ten would get that by default that as a part of the Formula One rights?
yes they would. Which comes up for renewal after 2019 season.
The next contract comes up for renewal is MotoGP, which expires after 2018 season.
âSupergrassâ on Triple Mâs Grill Team doesnât have a great track record of getting things right but for what itâs worth, he was speculating about the future of 60 minutes on 9, due to it being a CBS title. Also, speculated about âThe Projectâ, apparently CBS bosses did not/do not like Waleed Alys anti American stance, particularly during the recent election.
Yeah not buying that.