As an "old" or better said "veteran" studio executive, I have a different attitude concerning the production, sales, and marketing of entertainment content then many of the MBA's, Lawyers, Finance Executives, and other non operating people who work in the "entertainment business" today.
Content remains king, (which is an expression that I do not like,) and will remain so for a long time. If you own "quality" content, and a lot of it, how it is delivered in the future will be of secondary consideration to you. You do not need to own a telephone company in order to make a phone call.
For all of those people who suggest that "digital" systems are what matters, I say, only half in jest: "The past is history, the future is fantasy, and the present is reality." What media companies primarily need to deal with is "the present" and they should hire bright and competent people to work on future digital delivery systems.
There has been a lot of criticism of General Electric concerning the appointment of Jeff Zucker as head of NBC/Universal (NBCU.) It has been reported in Business Week speaking of Zucker that "...he must prove himself yet again... the rap on the wunderkind: He lacks the strategic vision to lead NBC in a volatile digital world."
To use an expression that would not be tolerated by any of the over the air NBC units, "that is just bull shit!"
"Volatile digital world?" What an unrealistic statement. In the classic words of William Goldman who said something like this, "the truth is that no one really knows." Zucker must keep his eye on the "non digital world" of content production as well as the existent related delivery systems. The internet and wireless delivery are of course very important, but for relatively near term success, what matters is what NBCU already has or will have in their "portfolio" of networks, and content.
Just what the hell is a strategic vision anyway? While it kills me to admit it, the synergistic situations that exist at NBCU make It easier for them to succeed in the 21st century media environment then almost anyone in the business, The really big other guys like Fox, CBS, and Disney are similarly well positioned.
Many years ago, the Chairman of Columbia Pictures told me that he had fired our head of Television (one of the great salesman and production executives in the history of the business) because while he was successful in getting shows on the networks, he was not very good at keeping them on.
I had little business respect for my Chairman before he made that statement, and I had even less after he said that. My less then a political reply to my Chairman was, "and by the way, in case you didn't know, the man you fired was also incapable of making a tree." He stared at me and said, "Norman, I don't understand."
My Chairman was after all, an accountant who had no concept of how difficult it is to create durable and profitable content.
Zucker will be a success at NBCU if;
The Universal Movies make money, a lot of it.
The Universal library of content makes money, a lot of it
The NBC Network makes money, a lot of it.
The NBC Cable Program services make money, a lot of it.
The NBC owned stations make money, a lot of it.
And of course the NBC ventures into the internet are not unrealistic.
All of this is true even if Zucker is incapable of "making a tree."
Universal is one of only a few established brands in Motion Picture production and distribution.
NBC Network and stations are "franchised" situations, and these franchises are scarce, and NBCU own one of them.
Now having said that the future of digital content delivery systems is limitless, particularly if you own gobs of content which NBCU does.
I have never met Zucker, yet I realize that he has as good a chance as anyone else to make a go of this relatively new amalgam of content and delivery systems. The media world is changing rapidly, but as the owners and creators of content, Zuckers companies will have a leg up on almost everyone as the media world changes.
His enemy could be "himself" if he ever really thinks that he knows what content will succeed and what will fail. He must know that he does need to hire good creative talent and let them loose. He will be the "decider" for GE in this space, but neither he nor anyone else has all of, or even most of the answers.
Norman Horowitz
Electrical Engineer
Spelling and Grammar mistakes are caused by my lack of attention at: PS86, PS90, JHS117, The Bronx High School Of Science, The Barnard School For Boys, The United States Air Force, Belleville Junior College, and The RCA Institute
Divisional President: Columbia Pictures, Polygram, MGM/UA
CBS/Viacom Executive