Thursday, March 02, 2006

New favorite blog...

A Yinzer who timed his exodus from the .com sector in a brilliantly-timed $6 million maneuver and now owns the Dallas Mavericks and Landmark movie theatres, and he is credited with with the largest single e-commerce transaction" when he spent $40 million on a jet... a true playboy: Mark Cuban. Loses points for being a yinzer, gains points for creative thinking and offering Howie Mandel on his website: "Howie, if you can get Mr Trump to pull a rubber glove completely over his head and blow it up on your show, not only will I watch it, I will donate 1 million dollars to the charity of your choice."

Read his thoughts on how Bob Iger has saved Network TV:
http://www.blogmaverick.com/entry/1234000617063228/

"How ?
By completely changing the economic model.
When a show is produced for primetime network TV, its traditionally sold to a network at a given license fee. More often than not, particularly for non reality shows, that license fee is less than what it costs to produce the show.

The hope by the production company is that if they can produce good ratings for the network, not only can they increase the license fee after the first deal ends, but they can also sell the episodes in the future as part of a syndication deal and maybe even make some money back with DVD sales.

So for instance, shows like Law and Order, CSI, and all their different versions can fetch more than 1mm dollars per episode. Most other shows fall in mid six figure price ranges and can go as low as 50k to 75k for hit reality shows like Survivor. The reality shows go for far less because everyone knows the winner already.

But what if CBS sold Survivor episodes the day after it aired like ABC is with Lost ? What if they sold them not just on ITunes Store, but through CinemaNow, MovieLink, Netflix, Walmart Online, wherever.

Think some people would buy them to keep up with the action ? Possibly to sample the show ? Think they might sell more than 75k downloads at $1.99 each ?

Could this move have created a new market that could be comparable in size for some shows and more money for others than the current syndication market ?"

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