1 00:00:06,360 --> 00:00:09,799 Speaker 1: Welcome to another episode of Strictly Business, the podcast where 2 00:00:09,800 --> 00:00:12,920 Speaker 1: you'll hear the brightest minds working in the media business today. 3 00:00:13,119 --> 00:00:16,520 Speaker 1: I'm Andrew Wallenstein, co editor in chief of Variety. It 4 00:00:16,600 --> 00:00:18,880 Speaker 1: was my pleasure to sit down with HBO chairman and 5 00:00:18,920 --> 00:00:21,840 Speaker 1: CEO Richard Plepler on May four from the stage of 6 00:00:21,920 --> 00:00:25,720 Speaker 1: Variety's annual Entertainment and Technology Summit in New York. We 7 00:00:25,840 --> 00:00:28,120 Speaker 1: enjoyed a wide ranging discussion on the state of the 8 00:00:28,240 --> 00:00:31,760 Speaker 1: HBO business as Plepler navigates the brand through what's probably 9 00:00:31,800 --> 00:00:35,600 Speaker 1: the fiercest competitive environment he's seen since he came aboard 10 00:00:35,640 --> 00:00:39,160 Speaker 1: way back in but I sh'll hear from him. HBO 11 00:00:39,280 --> 00:00:42,120 Speaker 1: is confident about its position in the marketplace thanks to 12 00:00:42,200 --> 00:00:44,760 Speaker 1: a well stocked cupboard of hit series like Game of 13 00:00:44,840 --> 00:00:48,040 Speaker 1: Thrones and a direct consumer business that is making HBO 14 00:00:48,159 --> 00:00:52,400 Speaker 1: widely available via digital platforms. I hope you enjoy our conversation, 15 00:00:52,560 --> 00:00:54,840 Speaker 1: and if you like this episode, make sure you subscribe 16 00:00:54,880 --> 00:00:59,760 Speaker 1: to Strictly Business. Now here's Richard Plepler. I want to 17 00:01:00,000 --> 00:01:03,920 Speaker 1: are with the elephant in the room, which I know 18 00:01:04,000 --> 00:01:05,960 Speaker 1: you're going to be limited in what you could say 19 00:01:06,160 --> 00:01:09,920 Speaker 1: about a actually less than limited, less than limited about 20 00:01:09,920 --> 00:01:13,640 Speaker 1: a certain court case about a certain pair of companies, 21 00:01:14,080 --> 00:01:16,040 Speaker 1: one trying to acquire the other. All right, so let 22 00:01:16,080 --> 00:01:19,320 Speaker 1: me let me at least ask this. A T and 23 00:01:19,400 --> 00:01:22,920 Speaker 1: T is no stranger to HBO. You guys struck a 24 00:01:22,920 --> 00:01:29,200 Speaker 1: pretty interesting distribution deal in conceptually, what does what do 25 00:01:29,280 --> 00:01:33,720 Speaker 1: these two companies bring to each other? Look, I think, um, 26 00:01:33,760 --> 00:01:38,000 Speaker 1: it's quite axiomatic. Right. They have a hundred and ten 27 00:01:38,200 --> 00:01:43,360 Speaker 1: hundred and twenty million connections with consumers. They have a 28 00:01:43,480 --> 00:01:47,600 Speaker 1: huge data analytics reservoir which I think will be very 29 00:01:47,680 --> 00:01:51,600 Speaker 1: useful to us in terms of subscriber acquisition. Um, the 30 00:01:51,680 --> 00:01:54,360 Speaker 1: more information we have, we think, the better we can 31 00:01:54,360 --> 00:01:57,720 Speaker 1: serve the consumer and better serve our customers currently in 32 00:01:57,800 --> 00:02:02,800 Speaker 1: potential customers. And the deal that we did that HBO 33 00:02:02,920 --> 00:02:05,840 Speaker 1: did in the summer two thousand sixteen, which was a 34 00:02:05,920 --> 00:02:12,480 Speaker 1: multilateral deal broadband wireless direct TV, is really kind of 35 00:02:12,800 --> 00:02:16,919 Speaker 1: a microcosm of our distribution strategy at large, right, which is, 36 00:02:16,960 --> 00:02:20,040 Speaker 1: we wanted to make HBO available whenever, however, wherever people 37 00:02:20,880 --> 00:02:24,720 Speaker 1: want it, And we built a multilateral distribution network for 38 00:02:24,919 --> 00:02:28,000 Speaker 1: cable Partner's, satellite partners, Telco Partners, and now Digital Partners. 39 00:02:28,400 --> 00:02:31,640 Speaker 1: And as you well know, because We've spoken about this before. 40 00:02:32,480 --> 00:02:35,519 Speaker 1: When we announced that we were going to build a 41 00:02:36,520 --> 00:02:40,760 Speaker 1: digital platform. The whole concept was we saw the broadband 42 00:02:40,800 --> 00:02:43,120 Speaker 1: owned the universe. When we made that announcement on Investor 43 00:02:43,200 --> 00:02:46,959 Speaker 1: Day in October fourteen, that were probably about three and 44 00:02:46,960 --> 00:02:50,079 Speaker 1: a half million broadband only subs United States. We sit 45 00:02:50,120 --> 00:02:55,200 Speaker 1: here today, uh, there's twenty million, and we knew that 46 00:02:55,200 --> 00:02:57,480 Speaker 1: that was growing, and we wanted to be available to 47 00:02:57,520 --> 00:03:01,600 Speaker 1: people who just had broadband. And it has been a 48 00:03:01,720 --> 00:03:06,960 Speaker 1: terrific addition um to our to our distribution model because 49 00:03:07,560 --> 00:03:11,359 Speaker 1: we now are approaching uh, folks who don't have a 50 00:03:11,960 --> 00:03:16,960 Speaker 1: traditional cable subscription. That said, we're growing in the ecosystem 51 00:03:17,000 --> 00:03:20,360 Speaker 1: as well, for all kinds of different reasons. Ecosystem meaning 52 00:03:20,360 --> 00:03:24,680 Speaker 1: the linear channel traditional distribution system as well and parenthetically, 53 00:03:24,720 --> 00:03:28,320 Speaker 1: and this is interesting. Remember the broadband platforms that Comcast has, 54 00:03:28,440 --> 00:03:30,799 Speaker 1: or that Spectrum has, that A T and T has 55 00:03:31,320 --> 00:03:34,480 Speaker 1: UM they can bundle us as well. So there's all 56 00:03:34,760 --> 00:03:38,520 Speaker 1: different means of getting to the customer and we wanted 57 00:03:38,520 --> 00:03:41,080 Speaker 1: to maximize those, which is why we did what we did, which, 58 00:03:41,160 --> 00:03:44,480 Speaker 1: as you know, UM resulted last year in our biggest 59 00:03:44,520 --> 00:03:47,280 Speaker 1: year of sub revenue growth ever. So I think it 60 00:03:47,360 --> 00:03:49,440 Speaker 1: was a good decision that we did it. We didn't 61 00:03:49,440 --> 00:03:52,200 Speaker 1: think it was going to be cannibalistic, which was uh. 62 00:03:52,240 --> 00:03:54,280 Speaker 1: Some people's dig on us was a we wouldn't. We 63 00:03:54,280 --> 00:03:56,080 Speaker 1: didn't have the tech DNA, We couldn't do it and 64 00:03:56,120 --> 00:03:58,720 Speaker 1: be if we did do it to be cannibalistic, yes, 65 00:03:58,760 --> 00:04:02,160 Speaker 1: we could know it wasn't. And our proposition was pretty simple, 66 00:04:02,160 --> 00:04:04,320 Speaker 1: which was the pie was going to get bigger and 67 00:04:04,360 --> 00:04:05,800 Speaker 1: that was going to be good for the consumer. It 68 00:04:05,800 --> 00:04:07,400 Speaker 1: was gonna be good for distributors, it was gonna be 69 00:04:07,400 --> 00:04:10,000 Speaker 1: good for us. So when you say you've got this 70 00:04:10,080 --> 00:04:13,160 Speaker 1: subscriber growth, forgive me for being a little skeptical. Is 71 00:04:13,160 --> 00:04:16,360 Speaker 1: it possible that, Okay, you guys have tapped now a 72 00:04:16,480 --> 00:04:19,280 Speaker 1: market that you were never able to tap, that always 73 00:04:19,320 --> 00:04:22,359 Speaker 1: needed to buy basic cable before they got Hbo. Now 74 00:04:22,440 --> 00:04:25,080 Speaker 1: they can go directly to Hbo. Okay, so you got 75 00:04:25,120 --> 00:04:27,320 Speaker 1: I don't know, three four or five million. How many 76 00:04:27,320 --> 00:04:29,840 Speaker 1: more of those people could there be left? So we 77 00:04:29,920 --> 00:04:34,320 Speaker 1: think um our penetration, which has always been about a 78 00:04:34,320 --> 00:04:37,360 Speaker 1: third of the country, we think we can get and 79 00:04:37,480 --> 00:04:40,720 Speaker 1: that's ambitious, it is ambitious. But we we look at 80 00:04:40,760 --> 00:04:45,880 Speaker 1: our better performing affiliates and those better performing affiliates UM 81 00:04:45,920 --> 00:04:49,600 Speaker 1: are close to that, and so for us, when we 82 00:04:49,680 --> 00:04:53,320 Speaker 1: looked at the opportunity in the marketplace, basically what we 83 00:04:53,360 --> 00:04:55,599 Speaker 1: said was pretty simple, which is, you know what, there's 84 00:04:55,600 --> 00:04:58,400 Speaker 1: a huge undecided vote out there, and we've shored up 85 00:04:58,400 --> 00:05:00,360 Speaker 1: our base pretty well. There's obviously there going to be 86 00:05:00,400 --> 00:05:03,840 Speaker 1: people who aren't going to subscribe because either they feel 87 00:05:03,960 --> 00:05:06,479 Speaker 1: they have enough or they don't like the programming. But 88 00:05:06,680 --> 00:05:10,080 Speaker 1: there is a big market of an additional fifteen or 89 00:05:10,120 --> 00:05:12,680 Speaker 1: twenty million homes out there that we're going after in 90 00:05:12,880 --> 00:05:16,200 Speaker 1: both the broadband ecosystem in the traditional ecosystem. So we 91 00:05:16,320 --> 00:05:17,839 Speaker 1: think there's a lot of growth left and we're going 92 00:05:17,880 --> 00:05:20,120 Speaker 1: to attack it. And the key to doing that is 93 00:05:20,200 --> 00:05:23,719 Speaker 1: to continue to make great content, curate that content, and 94 00:05:23,800 --> 00:05:26,800 Speaker 1: make sure that our brand promise of excellence continues to 95 00:05:26,839 --> 00:05:29,360 Speaker 1: be sustained. If we do that, I think last year 96 00:05:29,400 --> 00:05:33,479 Speaker 1: is an indicator of of what's ahead. We'll get to 97 00:05:33,520 --> 00:05:36,720 Speaker 1: that content in a bit. But you know, another distribution question, 98 00:05:37,160 --> 00:05:39,720 Speaker 1: what is the primary growth driver? I know there is 99 00:05:39,880 --> 00:05:42,440 Speaker 1: HBO now as a standalone. I know I could get 100 00:05:42,440 --> 00:05:46,800 Speaker 1: it through Amazon or Hulu. Is there any one of 101 00:05:46,839 --> 00:05:49,640 Speaker 1: those that's going to be the real driver. It's multifaceted, 102 00:05:49,720 --> 00:05:52,719 Speaker 1: and I would say this over the course of the 103 00:05:52,800 --> 00:05:56,320 Speaker 1: last five years. Just to your point about growth, a 104 00:05:56,400 --> 00:05:58,719 Speaker 1: couple of things. Over the course of the last five years, 105 00:06:00,160 --> 00:06:05,400 Speaker 1: HBO has realized thirty five For companies forty five years old, 106 00:06:05,680 --> 00:06:08,040 Speaker 1: we've realized thirty five pc of our growth in the 107 00:06:08,120 --> 00:06:11,320 Speaker 1: last five years. So I think that shows how robust 108 00:06:11,520 --> 00:06:15,360 Speaker 1: the brand is. Also, over the last five years, as 109 00:06:15,440 --> 00:06:20,559 Speaker 1: multi channel homes have declined seven percent, excuse me, we've grown. 110 00:06:22,240 --> 00:06:26,800 Speaker 1: And so the fact is we were under penetrated over 111 00:06:26,839 --> 00:06:29,440 Speaker 1: the course I think of of the last decade, and 112 00:06:29,480 --> 00:06:31,840 Speaker 1: we want to get that penetration up to what we 113 00:06:31,920 --> 00:06:35,520 Speaker 1: think is an appropriate level, which is about half the country. 114 00:06:35,720 --> 00:06:38,360 Speaker 1: That's I mean, you sound incredibly confident that you could 115 00:06:38,360 --> 00:06:40,560 Speaker 1: do this, which is interesting. GIF. I'm not telling you 116 00:06:40,560 --> 00:06:44,520 Speaker 1: it's easy. I'm just telling you that, uh, we're we've 117 00:06:44,560 --> 00:06:48,119 Speaker 1: seen the momentum of our sub growth. We believe that. 118 00:06:48,440 --> 00:06:50,680 Speaker 1: You know, here's an interesting I think this is an 119 00:06:50,720 --> 00:06:56,480 Speaker 1: interesting paradox about what's happening out there in this very 120 00:06:56,600 --> 00:07:01,320 Speaker 1: rich content driven culture of ours, which is there there's 121 00:07:01,400 --> 00:07:05,760 Speaker 1: somewhere around nine thousand hours of programming. There's about four 122 00:07:06,240 --> 00:07:09,600 Speaker 1: eighty seven hours of scripted programming, which accounts to five 123 00:07:09,600 --> 00:07:12,600 Speaker 1: thousand hours. It's about seven hundred and fifty hours non 124 00:07:12,640 --> 00:07:17,000 Speaker 1: scripted programming, it's about four thousand hours. Uh, there's only 125 00:07:17,040 --> 00:07:19,520 Speaker 1: eight thousand, seven d and sixty hours in the year. 126 00:07:20,120 --> 00:07:22,760 Speaker 1: So what does that mean. It means you can't keep 127 00:07:22,800 --> 00:07:27,760 Speaker 1: track of everything. And brands matter more than ever because 128 00:07:27,840 --> 00:07:31,679 Speaker 1: when people a brand, essentially as a promise. Our promise 129 00:07:31,800 --> 00:07:34,440 Speaker 1: is the curation of quality. Other people are going to 130 00:07:34,560 --> 00:07:37,440 Speaker 1: do good work. That's fine. As long as we continue 131 00:07:37,440 --> 00:07:40,200 Speaker 1: to curate excellence, and we do it across a lot 132 00:07:40,240 --> 00:07:43,680 Speaker 1: of different categories, we're going to continue to grow. So 133 00:07:44,080 --> 00:07:46,360 Speaker 1: that's what we think about. How do we make sure 134 00:07:46,520 --> 00:07:50,880 Speaker 1: that inside the HBO brand, whether it's docues, whether it's sports, 135 00:07:50,880 --> 00:07:54,160 Speaker 1: whether it's half hours hours mini series, we are putting 136 00:07:54,200 --> 00:07:58,000 Speaker 1: together in an array of quality that can become addictive 137 00:07:58,200 --> 00:08:01,360 Speaker 1: to an even broader part of the consumer ration and 138 00:08:01,400 --> 00:08:03,760 Speaker 1: so and that's what we're doing for them. I understand 139 00:08:03,760 --> 00:08:06,680 Speaker 1: your bullishness, but let's take a step back and say, 140 00:08:06,720 --> 00:08:11,200 Speaker 1: the reality is the undeniable. The undeniable reality is is 141 00:08:11,280 --> 00:08:14,119 Speaker 1: the competitive landscape you're facing right now is like nothing 142 00:08:14,120 --> 00:08:19,040 Speaker 1: you've ever seen Netflix alone spending at probably, you know, 143 00:08:19,080 --> 00:08:22,520 Speaker 1: possibly double what you guys are doing on just original content, 144 00:08:22,640 --> 00:08:26,640 Speaker 1: not talking about licensing. Amazon right behind them, Apple coming. 145 00:08:27,160 --> 00:08:31,800 Speaker 1: Your incumbent competitors like Showtime and Stars aren't fading fast 146 00:08:31,840 --> 00:08:36,000 Speaker 1: anytime soon. So how are you going to be able 147 00:08:36,040 --> 00:08:39,199 Speaker 1: to compete, especially when you're being outspent by a lot 148 00:08:39,240 --> 00:08:43,880 Speaker 1: of these new players, not a lot, you know, our 149 00:08:44,040 --> 00:08:48,920 Speaker 1: brand um is a magnet for talented people in the 150 00:08:48,920 --> 00:08:51,920 Speaker 1: creative community. I feel like Ted Surrando says the same 151 00:08:51,960 --> 00:08:56,440 Speaker 1: thing he he he does, and he's welcome to say it, 152 00:08:56,880 --> 00:08:59,280 Speaker 1: and there's some truth to it, and they do very 153 00:08:59,280 --> 00:09:02,800 Speaker 1: good work. And I've said publicly and I'm I've said 154 00:09:02,800 --> 00:09:04,960 Speaker 1: it to them directly. Anybody who doesn't tip their hat 155 00:09:05,040 --> 00:09:08,839 Speaker 1: to what those guys have accomplished in the last seven 156 00:09:08,840 --> 00:09:11,520 Speaker 1: ten years just isn't being fair. They've done a terrific job. 157 00:09:11,880 --> 00:09:15,400 Speaker 1: Our job is to play our game to our fullest capacity. 158 00:09:15,720 --> 00:09:20,240 Speaker 1: And so the blessing of our brand, the blessing of 159 00:09:20,880 --> 00:09:25,640 Speaker 1: u HBO, is that the line at our door in 160 00:09:25,640 --> 00:09:29,240 Speaker 1: in in May of two thousand eighteen is even bigger 161 00:09:29,280 --> 00:09:31,360 Speaker 1: than the line at our door when I was co 162 00:09:31,520 --> 00:09:34,319 Speaker 1: president in two thousand seven to two thousand twelve. The 163 00:09:34,360 --> 00:09:38,720 Speaker 1: line was pretty big that so it's it's interesting despite 164 00:09:38,880 --> 00:09:43,320 Speaker 1: all this surfeit of content, we have more extraordinary writers 165 00:09:43,760 --> 00:09:47,679 Speaker 1: and producers and directors who want to work at HBO 166 00:09:47,760 --> 00:09:52,640 Speaker 1: than ever before, and so we we have that embarrassment 167 00:09:52,679 --> 00:09:57,360 Speaker 1: of riches. And you know, every Friday we know of 168 00:09:57,480 --> 00:10:00,240 Speaker 1: three or four different projects that Monday morning when we 169 00:10:00,280 --> 00:10:03,120 Speaker 1: came in we didn't know about. And that's very exciting. 170 00:10:03,160 --> 00:10:06,839 Speaker 1: So our job is pick well, work with people with 171 00:10:06,880 --> 00:10:10,080 Speaker 1: whom we have a shared vision. We have more programming 172 00:10:10,120 --> 00:10:13,240 Speaker 1: coming next year than at any time in our history, 173 00:10:13,640 --> 00:10:17,840 Speaker 1: working with a wide range of people, um from you 174 00:10:17,880 --> 00:10:21,360 Speaker 1: know j J Abrams to Issa to a prequel of Thrones, 175 00:10:21,440 --> 00:10:24,040 Speaker 1: which were uh, we're looking at a range of different 176 00:10:24,040 --> 00:10:27,440 Speaker 1: pilots right now, uh damon. Linda law from has come 177 00:10:27,480 --> 00:10:31,559 Speaker 1: back with a project called Watchman. There is absolutely no 178 00:10:31,679 --> 00:10:35,640 Speaker 1: shortage of extraordinary work being done for us. Our job 179 00:10:36,400 --> 00:10:39,120 Speaker 1: make the right bets and if we do that then 180 00:10:39,320 --> 00:10:42,640 Speaker 1: this is not binary. Doesn't mean there isn't going to 181 00:10:42,760 --> 00:10:45,160 Speaker 1: be a good show on Netflix or a good show 182 00:10:45,200 --> 00:10:49,080 Speaker 1: on Amazon. None of that has interfered with our growth. 183 00:10:49,559 --> 00:10:54,280 Speaker 1: And I think the proof is in the pudding. Um. Again, 184 00:10:54,600 --> 00:10:58,720 Speaker 1: despite the intensity of this competition, we grew more last 185 00:10:58,800 --> 00:11:01,680 Speaker 1: year than in any year in our history, and we're 186 00:11:01,720 --> 00:11:05,360 Speaker 1: growing and on track for terrific double digit sub revenue 187 00:11:05,360 --> 00:11:08,040 Speaker 1: growth this year as well. So wouldn't you say, our 188 00:11:08,400 --> 00:11:11,560 Speaker 1: game well and curate quality, and we will continue to grow. 189 00:11:11,760 --> 00:11:14,360 Speaker 1: It's not a zero sum game. I was exactly the 190 00:11:14,400 --> 00:11:16,800 Speaker 1: exact phrase I was going to use. Don't you think 191 00:11:17,200 --> 00:11:19,679 Speaker 1: even if you manage to do well while competitor B 192 00:11:19,880 --> 00:11:23,760 Speaker 1: does very well, that competitor F, G and H may 193 00:11:23,840 --> 00:11:27,800 Speaker 1: actually fall out. Aren't we, in this consolidating world coming 194 00:11:27,840 --> 00:11:30,600 Speaker 1: to a place where well, the lower brands are not 195 00:11:30,640 --> 00:11:34,240 Speaker 1: going to make it? Listen, I do think that. Um, 196 00:11:34,320 --> 00:11:36,920 Speaker 1: if you just look at your own lives and you 197 00:11:36,960 --> 00:11:39,880 Speaker 1: look at you know, you have only a certain amount 198 00:11:39,880 --> 00:11:41,880 Speaker 1: of leisure time, a certain amount of time you can 199 00:11:41,920 --> 00:11:45,640 Speaker 1: watch movies, watch television beyond the computer you make, you make, 200 00:11:47,080 --> 00:11:51,040 Speaker 1: you make judgments, you make picks, and Um, the key 201 00:11:51,120 --> 00:11:53,840 Speaker 1: for us is to keep the halo on our brand 202 00:11:54,320 --> 00:11:58,240 Speaker 1: so that when people do have discretionary time, they are 203 00:11:58,320 --> 00:12:01,120 Speaker 1: comfortable that we are fulfilling our honest to deliver excells 204 00:12:01,120 --> 00:12:03,319 Speaker 1: and they come they might not love everything but they 205 00:12:03,400 --> 00:12:06,760 Speaker 1: certainly think that for fifteen dollars a month, three thousand 206 00:12:07,040 --> 00:12:10,000 Speaker 1: hours of library, the wide range of programming which we 207 00:12:10,080 --> 00:12:13,160 Speaker 1: make for Hollywood movie studios, people end up saying, you 208 00:12:13,160 --> 00:12:16,320 Speaker 1: know what, that's a pretty good price value proposition. And 209 00:12:16,440 --> 00:12:18,439 Speaker 1: they're delivering what they say they're going to deliver. And well, 210 00:12:18,480 --> 00:12:21,080 Speaker 1: I and I can't watch everything. There's three or four 211 00:12:21,120 --> 00:12:24,120 Speaker 1: things on every month on HBO that I think are terrific. 212 00:12:24,120 --> 00:12:26,640 Speaker 1: Maybe they're in love with John Oliver, maybe Bill Maher, 213 00:12:26,880 --> 00:12:29,760 Speaker 1: Maybe it's Vice, Maybe it's our docuse, maybe it's the movies, 214 00:12:29,800 --> 00:12:32,280 Speaker 1: maybe it's Silicon Valley, whatever it is. I want to 215 00:12:32,280 --> 00:12:35,040 Speaker 1: be a part of this because it's worth it. That's 216 00:12:35,080 --> 00:12:37,520 Speaker 1: what we think about all the time. Are we building 217 00:12:37,559 --> 00:12:42,800 Speaker 1: addicts and are we developing and enhancing our curation making 218 00:12:42,800 --> 00:12:45,920 Speaker 1: more and more consumers um decide that they want to 219 00:12:45,960 --> 00:12:49,760 Speaker 1: be a subscriber. So you know, job one, of course, 220 00:12:49,840 --> 00:12:54,320 Speaker 1: is putting on the hits. You just mentioned Game of Thrones. Uh, 221 00:12:54,360 --> 00:12:58,360 Speaker 1: these prequels that are in in development, Where do things 222 00:12:58,400 --> 00:13:00,640 Speaker 1: stand there? I mean, is that going to be the 223 00:13:00,640 --> 00:13:04,280 Speaker 1: next big hit? Well, look, as you well know a 224 00:13:04,480 --> 00:13:06,719 Speaker 1: student that nobody knows what the next big hit is 225 00:13:07,000 --> 00:13:12,000 Speaker 1: you know the the when I when I started, uh 226 00:13:12,160 --> 00:13:14,320 Speaker 1: back in oh seven and the Sopranos was going off 227 00:13:14,320 --> 00:13:17,960 Speaker 1: the year. Um, the first question when I sat up 228 00:13:17,960 --> 00:13:20,200 Speaker 1: at the tc A you may have even been there, was, 229 00:13:20,240 --> 00:13:23,320 Speaker 1: oh my god, Sopranos is up there? What's the next Sopranos? 230 00:13:23,400 --> 00:13:25,600 Speaker 1: And I answered it then by saying, there is no 231 00:13:25,679 --> 00:13:29,640 Speaker 1: next Sopranos. There's the next great range of programming. And 232 00:13:29,800 --> 00:13:32,560 Speaker 1: in came Alan Ball with True Blood, and in came 233 00:13:32,640 --> 00:13:35,000 Speaker 1: Lean had done him with Girls, and in came you 234 00:13:35,040 --> 00:13:38,199 Speaker 1: know this, this this British writer named Amandui and Nuci 235 00:13:38,480 --> 00:13:41,520 Speaker 1: satirizing American politics would be. And these two guys who 236 00:13:41,600 --> 00:13:44,200 Speaker 1: had never really done television, who nobody had heard of, 237 00:13:44,280 --> 00:13:47,040 Speaker 1: David benny Off and Dan Wise with Thrones. So what 238 00:13:47,120 --> 00:13:49,839 Speaker 1: you want to do is create an environment, which we're 239 00:13:49,960 --> 00:13:53,080 Speaker 1: very proud of, UM, where talent wants to work. And 240 00:13:53,120 --> 00:13:57,680 Speaker 1: if you do that, UM, it's it creates a certain 241 00:13:57,720 --> 00:14:02,680 Speaker 1: catalytic momentum because talent shows up and m and then look, 242 00:14:04,280 --> 00:14:08,840 Speaker 1: we're pretty damn good brand ambassadors. We believe in our brand. Um, 243 00:14:09,000 --> 00:14:11,760 Speaker 1: we're very proud of it. But the best brand ambassadors 244 00:14:11,760 --> 00:14:15,640 Speaker 1: for us are the talent themselves because Nicole Kidman has 245 00:14:15,640 --> 00:14:18,080 Speaker 1: an experience, or Reese Witherspoon has an experience, or David 246 00:14:18,120 --> 00:14:22,880 Speaker 1: Kelly has an experience. They're then repeating that to their colleagues, 247 00:14:23,160 --> 00:14:26,160 Speaker 1: and they're saying, you know, uh, look, I've worked in 248 00:14:26,200 --> 00:14:28,360 Speaker 1: a lot of places. I've never had the kind of feedback. 249 00:14:28,400 --> 00:14:30,760 Speaker 1: I've never had the kind of response. I've never been 250 00:14:30,800 --> 00:14:35,080 Speaker 1: treated that way. My product is marketed beautifully, it's promoted beautifully. 251 00:14:35,120 --> 00:14:38,040 Speaker 1: That's an experience I want to repeat so well. People 252 00:14:38,080 --> 00:14:41,000 Speaker 1: can say a lot of different things, and everybody is 253 00:14:41,600 --> 00:14:44,960 Speaker 1: perfectly within their rights to celebrate and brag about their brands. 254 00:14:45,560 --> 00:14:48,120 Speaker 1: We've delivered on it for a long time, and I 255 00:14:48,160 --> 00:14:52,200 Speaker 1: think the talent speaks about it authentically and and that 256 00:14:52,200 --> 00:14:55,000 Speaker 1: that has its own virtuous circle. But as we saw 257 00:14:55,120 --> 00:14:59,400 Speaker 1: with Big Little Lies, the cost of that talent is 258 00:14:59,440 --> 00:15:02,720 Speaker 1: going up. The cost of production has been driven up 259 00:15:02,800 --> 00:15:05,920 Speaker 1: dramatically for a lot of different genres, and then you've 260 00:15:05,960 --> 00:15:08,600 Speaker 1: got I hate to go back to the Netflix of 261 00:15:08,640 --> 00:15:11,320 Speaker 1: it all, but when you see the Ryan Murphy's and 262 00:15:11,360 --> 00:15:15,320 Speaker 1: the Shonda Rhymes getting sort of just peeled out and 263 00:15:15,480 --> 00:15:18,800 Speaker 1: put back into that streaming service, I mean, don't you 264 00:15:19,160 --> 00:15:22,640 Speaker 1: have to worry about holding onto talent on both sides 265 00:15:22,680 --> 00:15:25,240 Speaker 1: of the camera when it seems like they can get 266 00:15:25,240 --> 00:15:28,720 Speaker 1: more easily poached than ever. Well, look, we understand that 267 00:15:28,760 --> 00:15:32,720 Speaker 1: the cost of content has gone up, and we understand that, um, 268 00:15:32,760 --> 00:15:34,920 Speaker 1: there's a premium on that, and there's a multiple, and 269 00:15:34,960 --> 00:15:37,080 Speaker 1: we have to pay it. But we're more than willing 270 00:15:37,120 --> 00:15:39,640 Speaker 1: to do it because the return on that investment is 271 00:15:39,680 --> 00:15:42,040 Speaker 1: as strong as it is. You know, we are operating 272 00:15:42,040 --> 00:15:45,680 Speaker 1: income last year, I think report he was somewhere very 273 00:15:45,680 --> 00:15:48,760 Speaker 1: close to two and a half billion dollars. We were growing, 274 00:15:49,080 --> 00:15:51,920 Speaker 1: and we're making money, and we're investing, and we're going 275 00:15:51,960 --> 00:15:54,480 Speaker 1: to continue to invest more and more in content because 276 00:15:54,680 --> 00:15:56,840 Speaker 1: that's the heart and soul of the brand. So we're 277 00:15:56,920 --> 00:16:00,440 Speaker 1: perfectly comfortable making the kinds of invest monts and the 278 00:16:00,480 --> 00:16:04,680 Speaker 1: kinds of bets we need to make to have a 279 00:16:04,760 --> 00:16:07,080 Speaker 1: panoply of shows on our network that are going to 280 00:16:07,200 --> 00:16:10,840 Speaker 1: be compelling. And I think talent knows, because this is 281 00:16:10,960 --> 00:16:13,960 Speaker 1: a whole different conversation. There are back end opportunities for 282 00:16:14,000 --> 00:16:18,720 Speaker 1: talented HBO UH people who come and have uh a 283 00:16:18,880 --> 00:16:21,800 Speaker 1: full and rich experience at HBO. From the creative side, 284 00:16:22,040 --> 00:16:26,160 Speaker 1: if the show does well, they do very well. And 285 00:16:26,320 --> 00:16:28,640 Speaker 1: you know, if you go talk to people who have 286 00:16:28,720 --> 00:16:30,640 Speaker 1: worked with us, who have a lot of options to 287 00:16:30,640 --> 00:16:33,080 Speaker 1: go a lot of different places, they're coming back over 288 00:16:33,120 --> 00:16:35,240 Speaker 1: and over again to work at HBO. I think that 289 00:16:35,280 --> 00:16:39,240 Speaker 1: speaks volumes about our brand in the experience that people 290 00:16:39,280 --> 00:16:42,240 Speaker 1: have there. So is it competitive? Of course it's competitive. 291 00:16:42,400 --> 00:16:44,320 Speaker 1: Are we more than up to the competition? I think 292 00:16:44,360 --> 00:16:46,520 Speaker 1: we are. Do you how do you you know when 293 00:16:46,560 --> 00:16:49,080 Speaker 1: you're in the room wooing the biggest and best talent 294 00:16:49,160 --> 00:16:53,440 Speaker 1: and those talents are getting wooed elsewhere, you know, do 295 00:16:53,040 --> 00:16:55,160 Speaker 1: you do you point out things like kind of look, 296 00:16:55,200 --> 00:16:57,600 Speaker 1: Netflix has this, They have so much volume there they 297 00:16:57,600 --> 00:16:59,440 Speaker 1: don't even know how to handle it, whereas maybe we 298 00:16:59,520 --> 00:17:02,120 Speaker 1: take a little more of a and in Glover pro 299 00:17:02,360 --> 00:17:06,679 Speaker 1: what I don't think it's necessary to you know, we 300 00:17:06,720 --> 00:17:10,760 Speaker 1: don't get into speak in derogation of Netflix or of Showtime. 301 00:17:11,480 --> 00:17:16,000 Speaker 1: People come to HBO because they know that we are 302 00:17:16,119 --> 00:17:20,560 Speaker 1: very good at adventizing programming. Our marketing is superb. Our 303 00:17:21,040 --> 00:17:24,440 Speaker 1: communications team is superb. We know how to take things 304 00:17:24,480 --> 00:17:28,440 Speaker 1: and lift them up into a very crowded culture. And again, 305 00:17:29,440 --> 00:17:32,800 Speaker 1: don't listen to me about this. Don't listen to my 306 00:17:32,960 --> 00:17:35,920 Speaker 1: colleagues about this, listen to the talent talk about this. 307 00:17:36,240 --> 00:17:41,159 Speaker 1: So what we do is again the line at the 308 00:17:41,200 --> 00:17:44,400 Speaker 1: door is a long one and that is a blessing 309 00:17:44,480 --> 00:17:48,080 Speaker 1: for us. And when people come in, they're very enthusiastic 310 00:17:48,200 --> 00:17:51,600 Speaker 1: from the first hour about developing with us because our 311 00:17:51,640 --> 00:17:54,760 Speaker 1: development team is also fantastic and people know what it 312 00:17:54,840 --> 00:17:58,840 Speaker 1: is to work inside UM. You know, with our development teams, 313 00:17:58,840 --> 00:18:01,240 Speaker 1: whether it's on a half hours or hours or minis 314 00:18:01,320 --> 00:18:04,119 Speaker 1: so a lot of the pedigree that we bring to 315 00:18:04,160 --> 00:18:07,800 Speaker 1: the creative process UM, I think is a great advantage 316 00:18:08,520 --> 00:18:11,960 Speaker 1: to to to our competitive side. Let's go back to 317 00:18:12,000 --> 00:18:14,880 Speaker 1: the distribution side of the house, because I think one 318 00:18:15,000 --> 00:18:20,440 Speaker 1: under appreciated piece of the HBO business is international, and 319 00:18:20,720 --> 00:18:23,480 Speaker 1: I think people don't even buy a large understand how 320 00:18:23,520 --> 00:18:26,280 Speaker 1: big a footprint that is. And that also is making 321 00:18:26,280 --> 00:18:29,840 Speaker 1: this sort of streaming evolution and lots of different interesting ways. 322 00:18:30,119 --> 00:18:33,760 Speaker 1: So where's that all going. So we have just as 323 00:18:33,800 --> 00:18:40,520 Speaker 1: our distribution strategy domestically is multilateral, it is uh internationally multilateral. 324 00:18:40,560 --> 00:18:43,520 Speaker 1: So we have owned and operated networks in sixty countries 325 00:18:43,560 --> 00:18:46,440 Speaker 1: as you know, in Latin America, in in Eastern Europe 326 00:18:46,480 --> 00:18:51,680 Speaker 1: and Asia. We have directed consumer products in Nordics and 327 00:18:51,720 --> 00:18:54,840 Speaker 1: in Spain and now in Poland and and and uh, 328 00:18:54,880 --> 00:18:57,720 Speaker 1: and we're thinking about other markets as well. And then 329 00:18:57,760 --> 00:19:00,440 Speaker 1: we have what we call home of HBO, which are 330 00:19:00,760 --> 00:19:05,800 Speaker 1: licensing deals with Sky, with Foxtel, with Bell Media, which 331 00:19:05,840 --> 00:19:10,080 Speaker 1: are very very very um uh you know, high marginal, 332 00:19:10,080 --> 00:19:14,160 Speaker 1: lowris revenue deals. And the question for us, uh, you know, 333 00:19:14,280 --> 00:19:18,000 Speaker 1: has always been with those don't get counted as subscribers, 334 00:19:18,040 --> 00:19:22,399 Speaker 1: even though we have you know, eighty five million subscribers internationally. 335 00:19:22,760 --> 00:19:27,439 Speaker 1: Those don't get counted. But Sky Sky Italia home of HBO, 336 00:19:27,480 --> 00:19:30,800 Speaker 1: Sky Deutscheley and home of HBO, um Sky Atlanta home 337 00:19:30,840 --> 00:19:34,960 Speaker 1: of HBO Bell Media in Canada, those are all HBO subs. 338 00:19:35,000 --> 00:19:38,200 Speaker 1: They're just put under an overall licensing deal. So we've 339 00:19:38,200 --> 00:19:41,440 Speaker 1: made up till now the decision to do those kinds 340 00:19:41,440 --> 00:19:44,520 Speaker 1: of licensing deals home of deals. UM. Whether that evolves 341 00:19:44,520 --> 00:19:47,439 Speaker 1: in the future is an open question. I hate to 342 00:19:47,440 --> 00:19:51,200 Speaker 1: sound like a broken record, but Netflix, Amazon full Court 343 00:19:51,240 --> 00:19:55,119 Speaker 1: Press globally. UM. It's interesting hearing you guys take this 344 00:19:55,200 --> 00:19:59,399 Speaker 1: customized approach region to region. At some point, though, do 345 00:19:59,480 --> 00:20:02,560 Speaker 1: you need to go head to head with Netflix and 346 00:20:02,600 --> 00:20:07,640 Speaker 1: Amazon and others in the same way that you're doing domestically. Well, 347 00:20:07,680 --> 00:20:10,040 Speaker 1: I wouldn't look at it as are we going to 348 00:20:10,119 --> 00:20:12,040 Speaker 1: go head to head with Netflix or head to head 349 00:20:12,040 --> 00:20:13,800 Speaker 1: with the Amazon. I would look at it, what is 350 00:20:13,840 --> 00:20:17,760 Speaker 1: the proper way to maximize um our brand over a 351 00:20:17,800 --> 00:20:22,560 Speaker 1: ten year time rising. Remember we have been UM you know, 352 00:20:22,680 --> 00:20:28,000 Speaker 1: managing our our business and and tethered to a corporation 353 00:20:28,440 --> 00:20:31,679 Speaker 1: which was running uh an earnings model for you know, 354 00:20:31,720 --> 00:20:33,159 Speaker 1: a long time. And when you're at that end of 355 00:20:33,160 --> 00:20:35,480 Speaker 1: Pennsylvania Avenue, you have one set of demands. When you're 356 00:20:35,560 --> 00:20:38,600 Speaker 1: my inde Pennsylvania Avenue, you know, you may be thinking 357 00:20:38,640 --> 00:20:41,399 Speaker 1: slightly differently. So I think the good thing is that 358 00:20:41,440 --> 00:20:46,159 Speaker 1: our technology has evolved. UM we now have one global platform. 359 00:20:46,440 --> 00:20:49,880 Speaker 1: We've merged our tech stacts between HBO Go and HBO now. 360 00:20:50,080 --> 00:20:52,600 Speaker 1: And what's exciting for us is if we wanted to 361 00:20:52,640 --> 00:20:55,880 Speaker 1: pivot internationally like we did in Nordics, like we did 362 00:20:55,880 --> 00:20:58,720 Speaker 1: in Spain, like we just didn't, we can do that 363 00:20:59,040 --> 00:21:00,680 Speaker 1: and that will be a decision and that we make. 364 00:21:00,920 --> 00:21:02,760 Speaker 1: You know, over the coming years. What I wanted to 365 00:21:02,760 --> 00:21:04,840 Speaker 1: make sure that we had and what thankfully we have 366 00:21:04,960 --> 00:21:09,080 Speaker 1: built is optionality and UM you know, where we pivot 367 00:21:09,080 --> 00:21:12,920 Speaker 1: and how we pivot, stay tuned, got it. Uh. Also 368 00:21:12,960 --> 00:21:16,879 Speaker 1: wanted to talk about technical infrastructure, what you're doing through 369 00:21:17,240 --> 00:21:21,920 Speaker 1: you know, HBO's digital expression. I mean, you guys went 370 00:21:22,040 --> 00:21:25,080 Speaker 1: through an evolution there where you know there was some 371 00:21:25,160 --> 00:21:29,480 Speaker 1: trial and error bam tech. Uh, bam Tech wasn't trial 372 00:21:29,520 --> 00:21:33,200 Speaker 1: and error before that. Well, we were building from a 373 00:21:33,320 --> 00:21:35,359 Speaker 1: stand I wouldn't even call that trial in here. We 374 00:21:35,359 --> 00:21:41,480 Speaker 1: were building from a standing start, a a tech strategy. 375 00:21:41,520 --> 00:21:46,320 Speaker 1: And what we concluded very quickly was the fastest way 376 00:21:46,359 --> 00:21:49,520 Speaker 1: for us to build digital capacity was to rent our 377 00:21:49,560 --> 00:21:52,000 Speaker 1: back end. And that's what we did with BAMTech. I 378 00:21:52,000 --> 00:21:55,440 Speaker 1: think it was proved to be um the right decision. 379 00:21:55,480 --> 00:21:58,000 Speaker 1: They did a terrific job for us, and as we 380 00:21:58,000 --> 00:22:03,639 Speaker 1: were doing that, we a proficiencies. We built our engineering team, 381 00:22:03,720 --> 00:22:06,159 Speaker 1: and we created the capacity for us to move on 382 00:22:06,240 --> 00:22:08,800 Speaker 1: our own. But we couldn't have done that and moved 383 00:22:08,840 --> 00:22:11,320 Speaker 1: as fast as we did into the digital space. So 384 00:22:11,520 --> 00:22:14,679 Speaker 1: we rented what we needed to. We grew and we built, 385 00:22:15,200 --> 00:22:18,440 Speaker 1: and we are where we are now, which is independent 386 00:22:18,720 --> 00:22:20,960 Speaker 1: with our own with our own tex stat I mean, 387 00:22:21,000 --> 00:22:24,679 Speaker 1: as you look across the media landscape, do you see 388 00:22:25,400 --> 00:22:30,080 Speaker 1: that brands like yourselves are sort of like ingesting that 389 00:22:30,200 --> 00:22:32,800 Speaker 1: technical DNA and that's what's necessary to get to the 390 00:22:32,840 --> 00:22:36,639 Speaker 1: next level. Well, you certainly want the kind of tech 391 00:22:36,680 --> 00:22:41,199 Speaker 1: proficiency and engineering proficiency to improve your I improve your US, 392 00:22:41,320 --> 00:22:44,800 Speaker 1: be able to do customization, personalization, all those things. It's interesting. 393 00:22:44,800 --> 00:22:47,640 Speaker 1: I had one of our senior engineers um in from 394 00:22:47,640 --> 00:22:51,439 Speaker 1: Seattle yesterday and I said to him, when when you 395 00:22:51,480 --> 00:22:55,440 Speaker 1: talk about recruitment, which is obviously very competitive in the valley, 396 00:22:55,480 --> 00:22:58,960 Speaker 1: what is the number one recruitment tool for you when 397 00:22:58,960 --> 00:23:02,320 Speaker 1: you're bringing people into our house, Because you know there's 398 00:23:02,359 --> 00:23:05,280 Speaker 1: there's obviously many many places for talented engineers to go. 399 00:23:05,320 --> 00:23:09,320 Speaker 1: And you said, the brand, And it's a terrific opportunity 400 00:23:09,480 --> 00:23:12,640 Speaker 1: um for engineers to come into HBO and to move 401 00:23:12,720 --> 00:23:16,960 Speaker 1: the needle um in a way that's quite dramatic over 402 00:23:16,960 --> 00:23:19,880 Speaker 1: a short period of time, which they've done and they've 403 00:23:19,880 --> 00:23:21,760 Speaker 1: been quite brilliant at it, and and we're improving all the 404 00:23:21,800 --> 00:23:26,880 Speaker 1: time as you look out. Also on the landscape right now, 405 00:23:27,040 --> 00:23:28,600 Speaker 1: we can't talk about, you know, what's going to be 406 00:23:28,640 --> 00:23:31,919 Speaker 1: the future of your corporate parentage, but elsewhere it's you know, 407 00:23:32,000 --> 00:23:38,600 Speaker 1: with CBS, Viacom, other things. The consolidation of this world 408 00:23:38,840 --> 00:23:42,600 Speaker 1: what does it mean for HBO when so much around 409 00:23:42,640 --> 00:23:46,000 Speaker 1: it is bulking up the way it is. You know, 410 00:23:46,040 --> 00:23:50,040 Speaker 1: we've all remember we've always been an Ala carte play, 411 00:23:50,080 --> 00:23:53,639 Speaker 1: so we've always lived in an Ola carte universe where 412 00:23:53,640 --> 00:23:56,119 Speaker 1: whatever the bundle was, we were sold on top of 413 00:23:56,119 --> 00:23:59,119 Speaker 1: that bundle. And I think one of you asked early 414 00:23:59,160 --> 00:24:01,760 Speaker 1: on about our growth the potential. I think one of 415 00:24:01,760 --> 00:24:05,400 Speaker 1: the interesting things about our potential is we've always been 416 00:24:05,480 --> 00:24:08,359 Speaker 1: kind of underpenetrated, I think, and we're now moving that 417 00:24:08,400 --> 00:24:12,520 Speaker 1: penetration up. When you've been fully penetrated, it's it's a 418 00:24:12,600 --> 00:24:15,960 Speaker 1: much it's a much harder dynamic when I think there's 419 00:24:15,960 --> 00:24:18,480 Speaker 1: been nine million people over the course of the last 420 00:24:18,480 --> 00:24:21,440 Speaker 1: few years who have who have cut the cord. So 421 00:24:21,680 --> 00:24:24,240 Speaker 1: I think brands are, as I said earlier, matter more 422 00:24:24,280 --> 00:24:28,840 Speaker 1: than ever and are you delivering to the consumer something 423 00:24:29,200 --> 00:24:33,240 Speaker 1: unique because the optionality that is out there for consumers 424 00:24:33,320 --> 00:24:36,560 Speaker 1: is greater than ever and so your brand has to 425 00:24:36,600 --> 00:24:39,639 Speaker 1: stand for something and deliver on that promise so that 426 00:24:39,760 --> 00:24:43,560 Speaker 1: people feel they are buying they are acquiring differentiation. We've 427 00:24:43,600 --> 00:24:46,119 Speaker 1: always believed we're good at that. I think we've become 428 00:24:46,160 --> 00:24:49,679 Speaker 1: better and better at it. And um that's our brand promise. 429 00:24:49,760 --> 00:24:52,600 Speaker 1: And I think the talent, the writers, the producers who 430 00:24:52,680 --> 00:24:55,040 Speaker 1: come into work with us, they want to deliver on that. 431 00:24:55,480 --> 00:24:57,359 Speaker 1: And the first thing we hear all the time if 432 00:24:57,400 --> 00:25:01,600 Speaker 1: you sit in pitch meetings is you don't hear repetition 433 00:25:02,080 --> 00:25:04,800 Speaker 1: in a pitch meeting at HBO. You hear innovation at 434 00:25:04,840 --> 00:25:06,960 Speaker 1: a pitch meeting at HBO. No one's coming in and 435 00:25:07,000 --> 00:25:09,600 Speaker 1: saying I want to do this differently. They're coming in 436 00:25:09,680 --> 00:25:13,159 Speaker 1: and saying I have a new idea. And you know, 437 00:25:13,240 --> 00:25:16,280 Speaker 1: we're not perfect. We make mistakes, but we have pretty 438 00:25:16,359 --> 00:25:18,760 Speaker 1: darn good aboutting average. But you know, at a time 439 00:25:18,760 --> 00:25:20,800 Speaker 1: when you guys, for instance, are doing and I think 440 00:25:20,800 --> 00:25:24,840 Speaker 1: this is smart. You know Game of Thrones prequels, isn't 441 00:25:24,840 --> 00:25:27,000 Speaker 1: there something to be said, especially as a media environment 442 00:25:27,000 --> 00:25:30,159 Speaker 1: and everyonething is getting reboot crazy about sticking to the 443 00:25:30,200 --> 00:25:33,040 Speaker 1: try it and true, don't get too innovative, find the 444 00:25:33,119 --> 00:25:37,679 Speaker 1: shore things. No. I think that the brand has always 445 00:25:37,840 --> 00:25:41,520 Speaker 1: at our best. Artists have come in and done things 446 00:25:41,560 --> 00:25:44,480 Speaker 1: that have never been done before. David Chase did something 447 00:25:44,520 --> 00:25:47,880 Speaker 1: that had never been done before. I think Alan Ball 448 00:25:47,960 --> 00:25:49,919 Speaker 1: did something with six ft under that had never been 449 00:25:49,960 --> 00:25:53,920 Speaker 1: done before. True Blood. You know, when we green lit 450 00:25:53,920 --> 00:25:57,800 Speaker 1: True Blood that was not such an obvious pick of 451 00:25:57,920 --> 00:26:00,679 Speaker 1: vampire show on HBO. That was a bit pulpy in 452 00:26:00,720 --> 00:26:05,760 Speaker 1: that way. And when when I did my second UH 453 00:26:05,920 --> 00:26:08,720 Speaker 1: t C A UM, the first t C A is 454 00:26:08,920 --> 00:26:11,879 Speaker 1: Sopranos has gone, what are you gonna do? Who the 455 00:26:11,880 --> 00:26:14,040 Speaker 1: hell are you? And can this? How the hell is 456 00:26:14,080 --> 00:26:17,119 Speaker 1: this gonna work? And the second t is was, Mrs Butler, 457 00:26:17,119 --> 00:26:20,880 Speaker 1: how did you presage the rise of the vampire phenomenon 458 00:26:21,200 --> 00:26:23,800 Speaker 1: in the United States? And of course the answer to 459 00:26:23,840 --> 00:26:26,680 Speaker 1: that was we pre sade you nothing. We just bet 460 00:26:26,680 --> 00:26:31,480 Speaker 1: on Alan and um were we were right. So look 461 00:26:31,520 --> 00:26:34,879 Speaker 1: at Bill Hayter, who comes in with you know, with Barry, 462 00:26:34,920 --> 00:26:37,480 Speaker 1: which has done phenomenally well for us from might judge 463 00:26:37,480 --> 00:26:41,080 Speaker 1: with Silicon Valley, UM J J and Jonah and Lisa 464 00:26:41,160 --> 00:26:46,000 Speaker 1: Joy pitching West World. When and when they pitched Westworld, 465 00:26:46,160 --> 00:26:50,680 Speaker 1: the whole uh kind of cultural understanding and marination in 466 00:26:50,760 --> 00:26:55,080 Speaker 1: aid wasn't as dynamic as it is now. They were 467 00:26:55,200 --> 00:26:59,640 Speaker 1: way ahead in seeing, um, both how dynamic that could 468 00:26:59,680 --> 00:27:02,320 Speaker 1: be and how entertaining that could be. So now I 469 00:27:02,359 --> 00:27:06,320 Speaker 1: think part of the DNA for us is that writers 470 00:27:06,880 --> 00:27:10,840 Speaker 1: know that they can take risks and they can make 471 00:27:10,880 --> 00:27:15,440 Speaker 1: big bets there. There's no fear at our network about 472 00:27:15,520 --> 00:27:19,560 Speaker 1: doing something that we think has a strong and differentiated 473 00:27:19,600 --> 00:27:22,960 Speaker 1: creative voice. And the blessing for us is that talent 474 00:27:23,080 --> 00:27:25,840 Speaker 1: knows that, and I think we're the great beneficiaries of 475 00:27:26,119 --> 00:27:29,399 Speaker 1: those of that kind of risk take. Are there genres 476 00:27:29,480 --> 00:27:31,840 Speaker 1: right now that you're cool too that you think need 477 00:27:31,920 --> 00:27:34,840 Speaker 1: or you know, maybe need to lay follow you know? 478 00:27:35,000 --> 00:27:38,160 Speaker 1: I think that we we have when when somebody comes in, 479 00:27:38,520 --> 00:27:41,719 Speaker 1: we have a totally open mind. Um, we want to 480 00:27:41,720 --> 00:27:44,800 Speaker 1: hear the vision, we want to hear their point of view, 481 00:27:45,240 --> 00:27:47,359 Speaker 1: we want to hear why they think this can break 482 00:27:47,440 --> 00:27:50,680 Speaker 1: new ground. I think it's very you know, if somebody, 483 00:27:50,720 --> 00:27:53,480 Speaker 1: if some when benni Off and Wise came in to 484 00:27:53,640 --> 00:27:57,200 Speaker 1: pitch thrones, remember that was a fantasy showed. David's comment 485 00:27:57,240 --> 00:27:59,639 Speaker 1: to me was, you're nervous about this. There's dragons in it. 486 00:27:59,640 --> 00:28:03,000 Speaker 1: It's in to see. This isn't typical aga we And 487 00:28:03,440 --> 00:28:05,800 Speaker 1: the way he pitched it was he said, look, this 488 00:28:05,880 --> 00:28:09,840 Speaker 1: is about power, and it's about archetypal power, and it's 489 00:28:09,840 --> 00:28:13,640 Speaker 1: it's Shakespearean, it's biblical, and if you just forget where 490 00:28:13,640 --> 00:28:16,520 Speaker 1: you are, you could you could be in tenth century France, 491 00:28:16,520 --> 00:28:18,800 Speaker 1: you could be in fifties. That doesn't really matter. And 492 00:28:19,080 --> 00:28:23,280 Speaker 1: we we believed their vision. So it's not closing what 493 00:28:23,400 --> 00:28:25,520 Speaker 1: once you start saying, we're not going to do fantasy 494 00:28:25,720 --> 00:28:29,240 Speaker 1: or you know, uh, you know, the whole gestalp of 495 00:28:29,320 --> 00:28:33,080 Speaker 1: Westworld was something nobody had ever seen before. Um, and 496 00:28:33,160 --> 00:28:36,480 Speaker 1: I think, uh, they they've done just a remarkable job. 497 00:28:36,840 --> 00:28:40,440 Speaker 1: Jesse Armstrong's Succession, which is coming this summer, a remarkable 498 00:28:40,480 --> 00:28:45,640 Speaker 1: piece of work, I believe, differentiated from anything we've seen. Uh, 499 00:28:46,240 --> 00:28:49,560 Speaker 1: a drama about a media company. Do you sort of 500 00:28:49,720 --> 00:28:52,280 Speaker 1: do you spark to something like that? For obvious reasons? 501 00:28:52,960 --> 00:28:59,000 Speaker 1: The pitch it's actually it's actually not so much about it. 502 00:28:59,000 --> 00:29:05,680 Speaker 1: It's about family, and it's about Faustian deals inside families, 503 00:29:05,720 --> 00:29:08,200 Speaker 1: and it's about fathers and sons, and it's about the 504 00:29:08,200 --> 00:29:12,479 Speaker 1: complexity of dynasties and families. And um, they happen to 505 00:29:12,520 --> 00:29:16,240 Speaker 1: own a media conglomerate. But that's just the subtext. It 506 00:29:16,400 --> 00:29:20,720 Speaker 1: sounds a little like a real world analog think of 507 00:29:20,960 --> 00:29:23,880 Speaker 1: but as you can appreciate, it is hardly specific to 508 00:29:23,920 --> 00:29:28,880 Speaker 1: any one family, but it is. Uh, it's I've seen 509 00:29:28,920 --> 00:29:31,120 Speaker 1: eight out of the ten and hopefully this weekend we'll 510 00:29:31,120 --> 00:29:33,920 Speaker 1: see the other two. They've done just a splendid time. 511 00:29:34,320 --> 00:29:36,240 Speaker 1: Good luck with that, good luck with a lot more, 512 00:29:36,280 --> 00:29:38,120 Speaker 1: and thanks for coming to us a pleasure any thanks 513 00:29:38,160 --> 00:29:43,760 Speaker 1: for having anytime, Thanks for listening to yet another episode 514 00:29:43,760 --> 00:29:47,000 Speaker 1: of Strictly Business. Make sure you subscribe and you'll get 515 00:29:47,000 --> 00:29:50,640 Speaker 1: more episodes every week. Tune in next week when we'll 516 00:29:50,640 --> 00:29:54,040 Speaker 1: have the CEO of Group nine Media and Leer. We'll 517 00:29:54,040 --> 00:29:55,680 Speaker 1: see you next week.