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OWN Shakeup Tests Oprah Winfrey, Discovery Relationship (VIDEO)

By LYNN ELBER 03/21/12 05:15 PM ET AP

Oprah Winfrey Own Network

LOS ANGELES — Oprah Winfrey is used to running the show, whether it was her hit daytime TV program or the fledgling cable channel named for her and which she rules as chairman and chief executive.

But this week's Oprah Winfrey Network shakeup, which included a 20 percent staff layoff, thrusts her into a new dynamic: power-sharing with a top executive from the company that's bankrolled OWN with $300 million-plus.

It's a crucial moment for the media queen, who made OWN her next big move after "The Oprah Winfrey Show," and for OWN itself: Can Winfrey work as an effective corporate teammate with partner Discovery Communications to turn the struggling channel around?

There's another bedrock question: Does a big enough audience exist for the earnest, uplifting fare on Winfrey's OWN, so antithetical to the blowsy charms of "Jersey Shore," "Keeping Up With the Kardashians" and much else that's popular on cable TV?

As important as control might be to Winfrey, she's also a savvy businesswoman and has been willing to take advice before – and not just from Dr. Oz, Dr. Phil or her other TV health and wealth proteges. Her syndicated talk show's distributor made sure she stayed on track.

"In the past, when she was becoming too `New Age,' or becoming too distant, which can come with celebrity and wealth, the folks at King World would do a survey" and pass the results to her, said Bill Carroll, an expert in the syndication market for media consulting firm Katz Media.

As a smart broadcaster, Winfrey heard the public "and adjusted to what they were saying," Carroll said.

Winfrey started off slowly with OWN, busy wrapping her talk show's 25-year run last fall with much hoopla. She began exerting more control after leaving daytime, and as part of the executive turnover that began five months after OWN's January 2011 debut to disappointing ratings.

Christina Norman, who was dismissed as CEO in May 2011, had expressed hope that, within its first year, OWN would reach an average of about 400,000 viewers in prime-time among women ages 25-to-54. That would have been a doubling of the prime-time audience in that demo for Discovery Health, the channel OWN replaced.

For the year to date, OWN is averaging 318,000 total viewers in prime-time, a 9 percent increase over the same period last year.

It was philosophy, not numbers, that Winfrey focused on at the channel's launch. She was insistent that OWN would represent her talk show's message of self-empowerment writ large across an entire channel.

"What if I could take every hero who inspired me, every lesson that motivated me, every opportunity that was ever given to me and give it to you," Winfrey said in a promotional spot for OWN that showed her beaming against a computer-generated blue sky dotted by soaring balloons and puffy clouds.

Worthy, but is that entertainment? The high-water mark for OWN so far was the 3.5 million viewers for Winfrey's exclusive interview with Bobbi Kristina Brown, Whitney Houston's daughter, which aired earlier this month. The interview, while sensitively done, spun off the tabloid-tragic end to Houston's checkered life.

(It was also a reminder of the forum that Winfrey's talk show once gave celebrities who wanted to explain themselves. Former U.S. Rep. Anthony Weiner's agonized, post-Oprah speeches about lewd texts and photos were no substitute for possible absolution by Winfrey.)

For viewer Mamie Kwayie of Chicago, OWN's selling point is programs like "Oprah's Master Class."

"These shows work because they're infused with Ms. Winfrey's core platform for meaningful messages and impactful storytelling," she said in an email.

Such programs strike others as virtuous but dull, among them Robert Thompson, director of the Bleier Center for Television and Popular Culture at Syracuse University.

"You have to admire Oprah for this, but it doesn't seem she's willing to put the kinds of shows on that the channel really needs," Thompson said. "What OWN needs is `Jersey Shore.' What OWN needs is `Real Housewives,' a splashy program that everyone watches and talks about, that may have questionable elements."

"It seems the kind of spectacular reality show that OWN needs is one that seems to be outside the definition of what OWN will accept," he said.

OWN can find a middle ground, countered Discovery spokesman David Leavy.

"There's a lot of white space between `Jersey Shore' and `Housewives.' Good programming doesn't need to be as salacious as that," he said, citing "Undercover Boss" as an example.

Let Oprah be Oprah, said one viewer, Charles W. Rawls III, a Winfrey admirer – and a realist.

"I want programming that will share what she stands for. But that may not be what the masses want and advertisers are willing to pay for," said Rawls, a marketing manager in Philadelphia.

For a successful woman, one who thinks and lives big, Winfrey has entered new territory.

The overhaul announced this week, including the layoffs of 30 staffers intended to reduce redundancies between Discovery and its partner in OWN, Winfrey's Harpo Inc., brought Neal Kirsch, chief financial officer of Discovery's U.S. networks, to OWN as chief operating officer and CFO.

(OWN launched with a 150-person staff double that of the typical cable channel, another invitation to trim.)

In January, Discovery Fit & Health executive Rita Mullen was brought in on an interim basis to work on programming and development after the departure of Lisa Erspamer from OWN.

Their work is cut out for them.

Discovery's annual report filed in February said there will be "significant additional funding to OWN" that will exceed its earnings over the next two years. That will mean adding to the $312 million Discovery has given the venture so far, the report said. Discovery CEO David Zaslav told analysts he expects the channel to become a "significant asset," and cited growth in revenue streams, including advertising.

Discovery owns 50 percent of OWN but Winfrey, through Harpo, holds operational rights over programming, marketing and decision-making authority for key management positions, according to Discovery's filing. Beginning Jan. 1, 2016, and every two-and-half years after, Harpo can require Discovery to "purchase all or part of its interest in OWN," the filing said.

"Ultimately, it's Oprah's network. A lot of the policy decisions are with her," said analyst Brad Adgate of media consultants Horizon Media Inc.

Winfrey's real contribution will come in front of the camera, not from behind a desk, suggested analyst Carroll.

"She is what viewers are asking for. If she's there, they're there. If she isn't, they're not," he said.

___

EDITOR'S NOTE – Lynn Elber is a national television columnist for The Associated Press. She can be reached at lelber(at)ap.org and at http://www.twitter.com/lynnelber

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Online:

http://www.oprah.com/own

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LOS ANGELES — Oprah Winfrey is used to running the show, whether it was her hit daytime TV program or the fledgling cable channel named for her and which she rules as chairman and chief executiv...
LOS ANGELES — Oprah Winfrey is used to running the show, whether it was her hit daytime TV program or the fledgling cable channel named for her and which she rules as chairman and chief executiv...
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09:51 AM on 03/25/2012
I am taking up a collection for Oprah. Please send your donations to my address. Cash only please.
01:08 AM on 03/25/2012
Sarah Ferguson, Ryan and Tatum O'neal, the Judds, these are some of the reality shows someone at OWN thought would be great programming to start off a new network.
01:03 PM on 03/24/2012
Oprah would make her losses up for her network if she brought the soap operas back! The fans would rush back to them. I really miss them and somehow I think that maybe there are other fans out there that would not care what channel the soaps were on. The fact is the viewers would return to the soaps daytime entertainment fun....I cannot believe she has not thought of this. Also, Oprah fans want to see Oprah. Her fans don't really care about her channel. Fans want to see her. They miss her & if she would return or get another quality talk show or shows, she would gain an audience. (but please not a lecture type 'how to live your life' show, lol) Just bring back the soaps!
11:20 AM on 03/24/2012
I just don't like or trust Oprah! I remember her days of selectively persecuted individuals while praising others who have committed the same "sins". She thought her supporters would simply fall in line behind her but as she now sees, those ppl she spent years catering to didn't actually care that much for her after all! Poor thing! LOL
02:07 PM on 03/24/2012
They cared enough to make her the #1 talk show for 25 years and america's only black billionaire.
George Picard
Send lawyers, guns and money
06:15 AM on 03/24/2012
If you gave me 300 million to build a channel, I could fail too, and I wouldnt be dumb enough to hire Rosie O Donuts.
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PoliticalRockChick
Sick of the bible & hypocrites
02:36 AM on 03/24/2012
Why not produce films and actual scripted shows?
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LeftRightCenter
Imagine a world w/no hypothetical situations...
10:58 PM on 03/23/2012
oprah's next big move should be a lazyboy recliner
11:13 AM on 03/24/2012
LOL, AGREED! :-)
10:40 PM on 03/23/2012
She thought she was invincible now she sees she's just like every other business person who has wins and losses...I am not crying for her.
HUFFPOST SUPER USER
Mailman
09:46 PM on 03/23/2012
I think she might be in over her head. This might not end well.
HUFFPOST SUPER USER
knickkfan
N.Y. Knicks 2012- infinity champions
08:48 PM on 03/23/2012
The Programming is terrible who wants to watch shows about "self help" all the time.?
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08:30 PM on 03/23/2012
I love that old adage...
"Insanity is doing the same thing over and over, expecting different results."
People should pay more attention
to it.
01:39 PM on 03/23/2012
I am applying for the position of program director / creator.
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02:37 PM on 03/23/2012
good luck to you. hope you is a middle aged white woman with an mba. caue thats what she likes and hires.
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HUFFPOST SUPER USER
ILoveGreatDanes
If you can read this,my cloaking device is broken.
01:21 PM on 03/23/2012
I wonder if she's ever heard the old adage, "Insanity is doing the same thing over and over, expecting different results." Her current model is failing. She needs to change it, drastically.
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ethelmertzrules
Repetition doesn't make it true
12:29 PM on 03/23/2012
Wow, that picture with the article exudes Joan Crawford realness.
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DaniFoxy
Crazy girl from LA
09:46 AM on 03/23/2012
Aint all wine and roses is it Oprah?