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The decision highlights the worsening financial crisis in which Hariri has been trapped since the dissolution of Saudi-Oger, his father’s construction and services company in Saudi Arabia. Lebanese Prime Minister Saad Hariri announced the suspension of work at his Future TV.
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- Future TV – Beirut Report
- Explore Stratechery
- We've detected unusual activity from your computer network
- How are we doing?.
- Lebanon's Future TV Just Closed Down Until Further Notice.
- Lebanon’s prime minister announces the closure of Future TV.
- Lost.
- Double Trouble.
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Joan E. Todd Klein Partner, Revolution Growth. Yonatan Sela Co-Founder, Props. More speakers coming soon! Marty Moe President, Vox Media.
Future TV – Beirut Report
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Thank you for your feedback. How are we doing? This is why I have argued that the traditional cable bundle will slowly become the de facto sports bundle; I would add news as well. What these assets have in common is that they are perfectly aligned with the traditional TV model: news and sports are best live and drive both advertising and affiliate fees.
Rights are the most valuable commodity for this business model, and ESPN tried to buy all of them in part to prevent Fox in particular from encroaching on their dominance.
At the same time, for all of the benefits of the traditional TV model, there is still the fundamental constraint of time: ESPN only has so many channels and so many slots to show games, which means it has the rights to many more games than it can ever show on its traditional networks. Sure, ESPN has and will acquire more rights for the service, and make some original programming, but make no mistake: traditional TV is and will remain the core business model for a very long time to come. This famous chart created by Walt Disney himself remains as pertinent as ever:.
I first posted that chart on Stratechery when Disney first announced it was starting a streaming service in , and said at the time :. At the center, of course, are the Disney Studios, and rightly so. Not only does differentiated content drive movie theater revenue, it creates the universes and characters that earn TV licensing revenue, music recording revenue, and merchandise sales. What has always made Disney unique, though, is Disneyland: there the differentiated content comes to life, and, given the lack of an arrow, I suspect not even Walt Disney himself appreciated the extent to which theme parks and the connection with the customer they engendered drive the rest of the business.
Indeed, it is a testament to just how lucrative the traditional TV model is that it took so long for Disney to shift to this approach: it is a far better fit for their business in the long run than simply spreading content around to the highest bidder. The outcome for Disney as a whole, though, would be worse: a higher price means fewer customers, and given the multitude of ways that Disney has to monetize customers throughout their entire lives that would have been a poor trade-off to make.
This is about the larger Disney machine.
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Instead it falls on Hulu to be the Netflix competitor, or, probably more accurately, the Netflix hedge. As long as Hulu is around Netflix is not the only alternative for selling streaming rights or original content that happens to exist for its own sake, not because it is part of something bigger.
Disney, of course, makes plenty of that type of content as well particularly after the 21st Century Fox acquisition and would benefit from there being more buyers than fewer even if one of the buyers is itself.