1. Framework – Getting to the Consumer
Traditional Model
Digital Models
Content Creation
Studios
PC-Centric Services
Device-centric Services
Networks
Device to TV
Owned
3rd Party
Pay TV Operators (includes STB) PC
iPod
PSP
XBOX
PS3
Owned or 3rd party?
When? How aggressive? TV
TBD
Content Consumption
Long Form Friendly
Short Form Friendly

2. Studios’ Parent Company has an Influence Over Digital Strategy
Sister Network
Parent’s Other Businesses
Parent’s Influence Over Studio Digital Strategy
News Corp
FOX
Cable Networks, Satellite MSO, Publishing
Own everything – MySpace; Hulu
The Walt Disney Company
ABC
Cable Networks, Theme Parks, Travel, Merchandising
Strong channel brands by demo has led to multiple owned online brands (Disney, ABC, ESPN)
Jobs = Apple friendly
Viacom
CBS (incl. 50% of The CW)
Cable Networks, Digital Platforms
Channel proliferation offline leads to channel proliferation online
Will never own devices, partner early for positioning
SONY
n/a
Consumer Products, Electronics
Lack of network makes us hungry to launch new channel brands and able to partner without conflict
Device ties impacts willingnes to adopt competitors models (XBOX and iTunes)
Time Warner
50% of The CW
Cable MSO, Publishing, Networks
Ties to a weakening online brand (AOL) and partial interest in a small network has hampered online channel evolution (e.g., In2TV and AOL video)
They’re trying to make up for it by licensing aggresively
NBC Universal
NBC
Cable Networks, Theme Parks
Lack of consistent, strong parent has pushed them toward more partnership or acquisition focus (Hulu and iVillage)

3. Networked TV devices, particularly game consoles, create an alternative to the pay TV operators’ proposition
Installed TV-Connected Broadband Capable Devices
Device Trends
Xbox Live has launched its service
Existing deals with Paramount, Warner Bros. and Disney
Content is being offered on a rental basis only
Apple TV has also begun to establish a presence in the market
May also bridge the PC to the TV by offering a download-to-burn service on iTunes
Competitive Commentary
Warner Bros. early participation in Xbox live service suggests it will support a service which competes with the TW’s cable proposition
Disney and Paramount can exploit their channel and content brands via another path to the TV which creates leverage against the pay TV operators
Fox and NBCU are less likely to partner with a dominant 3rd party channel (particularly for their film product)
SPE can leverage the anticipated success of its sister company device, the PS3
Europe ‘Big 5’
USA
Source: Screen Digest research