CEO Jeff Bewkes plans to boost Time Warner’s stock by splitting up AOL, possibly reducing cable holdings, and cutting 100 corporate jobs and other expenses. Six months from now, says Porter Bibb of Mediatech Capital, Time Warner “is likely not to be the world’s largest media company.” (http://www.bloomberg.com/apps/news?pid=20601204&sid=abI.vTCUwAtE 2/6)
Time Warner CEO Jeff Bewkes, in a memo sent to employees: “As we all know, the media industry is changing faster than ever. We must stay ahead of the curve, which means moving quickly. We also must manage our costs effectively to … ensure that we have a lean organization.” (http://online.wsj.com/public/article/SB120234843822049385.html 2/7)
CEO Jeff Bewkes says that Time Warner is considering selling its 84% stake in Time Warner Cable to shareholders. Fund manager Michael Chren reports that Time Warner Cable — as a private entity — could make a bid for Cablevision. Time Warner has no comment on the oft-rumored deal. (http://www.newsday.com/business/ny-bzleft0207,0,897715.story 2/6)
Former HBOchief and current Time Warner CEO Jeffrey Bewkes said that although the company’s cable channels had made inroads with video-on-demand services, much more needed to be done. “We and others in the industry need to be a bit more revolutionary than evolutionary in this area,” he said. “It’s a win-win for consumers and networks alike. We’re going to be aggressive in putting our own networks on demand so we can show the industry the benefits of this model.” (Multichannel News 2/6)
Far outpacing their performance in the last presidential election cycle, cable news networks attracted big crowds on Super Tuesday. CNN, which averaged 3.64 million viewers during prime time, was followed by Fox News Channel with 3.49 million and MSNBC with 2.11 million, according to Nielsen. (Broadcasting & Cable 2/6)
Yahoo chief Jerry Yang is telling employees that the struggling Internet pioneer is still examining ways to avoid a takeover by Microsoft. Yahoo is evaluating “potential strategic alternatives,” he says. A possible alliance with Google, however, would likely be blocked by antitrust regulators. (http://news.yahoo.com/s/ap/20080206/ap_on_hi_te/microsoft_yahoo 2/6)
Many Web sites trying to reach online consumers think they have to do business with Google to be visible on the Internet, and some are starting to resent the lack of choices. “People feel like it has too much control.” Recent defectors from Google to Microsoft include Viacom and CNBC.com. (http://www.washingtonpost.com/wp-dyn/content/article/2008/02/06/AR2008020604245.html 2/7)
Microsoft may pursue a hostile bid for Yahoo if the Internet company’s board doesn’t give in. CEO Steve Ballmer is “absolutely relentless” when it comes to “getting Microsoft into a better position,” says one venture capitalist. “In competing with Google, it’s going to take a bold move.” (http://www.bloomberg.com/apps/news?pid=20601204&sid=aJAt3o9pRPFM 2/7)
Google is adding a new feature to its Google News offering that will allow users to find local news by simply typing in a city name or zip code. Google says: “We’re able to create a local section for any city, state or country in the world and include thousands of sources.” (http://googlenewsblog.blogspot.com/2008/02/all-news-is-local.html 2/6)
IAC chief Barry Diller says he doubts he would be interested in buying AOL unless it was reduced to a “ridiculous” price. IAC’s search and advertising business “is our strategy for the future.” Also, IAC dispute with Liberty Media should be resolved within “a couple of months.” (http://www.smartmoney.com/bn/ON/index.cfm?story=ON-20080206-000671-1329 2/6)
Viacom’s MTV is using its Flux distributed social media platform to build many low-cost mini-sites supporting shows and themes. The uber-brand MTV “doesn’t even play much of a role.” The network is also returning to its music roots, aiming to supplant Yahoo Music and MySpace. (http://weblogs.jupiterresearch.com/analysts/card/archives/2008/02/modern_thinking.html 2/5)
Bebo, the U.K.-based online social network, is working on raising a round of funding with Allen & Co. Google and News Corp. are said to be potential investors, along with several strategic and institutional investors. But Google and News Corp. “are not about to buy” Bebo. (http://kara.allthingsd.com/20080207/bebo-for-a-billion-a-100-percent-chance-of-wrongness 2/7)
Microsoft is unveiling a series of next-generation advertising concepts designed to “anticipate behavior faster than the speed of thought.” One algorithm collects data from an image on a video screen, so a consumer can choose a product “like this one,” without having to key in any data. (http://www.informationweek.com/news/showArticle.jhtml;?articleID=206105074 2/6)
Matt Drudge is now posting in multi-media. The Drudge Report on Tuesday posted a video clip of U.S. presidential contender Hillary Clinton on YouTube suffering from a coughing fit. It quickly became the most-viewed item, garnering more than 300,000 views overnight. (http://blog.wired.com/27bstroke6/2008/02/matt-drudge-sta.html 2/6)
Spin magazine’s print subscriptions jumped in January at least in part because its pages were posted on the Web for free. Spin Digital, a digital version of the print rock-music monthly, made its debut on MySpace three weeks ago, allowing readers to listen to — and buy — music. (http://www.latimes.com/business/la-fi-spin7feb07,1,997944.story?ctrack=8&cset=true 2/7)
(Below) Yet another online comedy web site. They keep coming and coming and coming and coming. Sounding redundant yet?
Many entertainment execs “know nothing” about new media, writes Vanity Fair media columnist Michael Wolff. “This is partly because Hollywood is dominated by the over-60 set.” The Hollywood writers are on strike because of the sense that their business is “undergoing radical downsizing.” (http://www.vanityfair.com/culture/features/2008/03/wolff200803?currentPage=1 3/08)
Billboard, Wired, and Car & Driver are among the first U.S. magazines to test publishing cellphone-readable barcodes in their pages, giving readers quick access to advertising-supported WAP sites. “The magazine is portable, and the cellphone is too,” notes Hachette exec Olivier Griot. (http://www.foliomag.com/2008/print-magazines-quietly-testing-bar-codes-mobile-phones 2/6)
LG will soon bring to market a slim cell phone that has a tactile user interface that also slides out to reveal a keyboard. The company will officially introduce the KF510 to the global market next week. Yahoo!/TechWeb/InformationWeek (2/6)
Israeli startup firm Modu has inked several deals with wireless carriers for a small cell phone that fits into interchangeable “jackets” to become a more functional device. Modu has already signed deals with several service providers, as the company looks to make personalized cell phones more fashionable. (The Boston Globe/Associated Press 2/7)
Viacom chief Sumner Redstone is rumored to be interested in acquiring Take-Two Interactive, the video-game publisher behind such hits as “Grand Theft Auto.” Last year Viacom appointed former Take-Two exec Arwed-Ralf Grenzbach as VP of videogames, music and special products. (http://www.gamesindustry.biz/content_page.php?aid=32819 2/6)
Microsoft has reduced the price of its Xbox 360 add-on HD DVD player by $50. A promotional offer for five free HD DVDs is also still in effect, and is aimed at swaying consumers toward the high-def player. (GameDaily BIZ 2/6)
Electronic Arts game developer Louis Castle discusses working with Steven Spielberg to develop the upcoming Wii title “BOOM BLOX” in this BusinessWeek interview. Castle goes in-depth with the game’s progression since its debut last year, and he expects that it will appeal to most family-oriented gamers. (BusinessWeek/GameDailyBIZ 2/6)
