1 00:00:06,080 --> 00:00:10,280 Speaker 1: Welcome to another episode of the Variety podcast Strictly Business, 2 00:00:10,320 --> 00:00:12,920 Speaker 1: where we chat with some of the smartest folks working 3 00:00:12,960 --> 00:00:16,079 Speaker 1: in the media industry today. I'm Variety co editor in 4 00:00:16,160 --> 00:00:19,840 Speaker 1: chief Andrew Wollensky. Last week at the c E S 5 00:00:19,920 --> 00:00:22,840 Speaker 1: Show in Las Vegas, I had the opportunity to sit 6 00:00:22,880 --> 00:00:27,640 Speaker 1: down with Viacom CEO Bob Backish, with speculation rampant of 7 00:00:27,680 --> 00:00:31,240 Speaker 1: that a potential merger with CBS Corp. He addressed what 8 00:00:31,320 --> 00:00:34,440 Speaker 1: his strategic approach to leading Viacom is at a time 9 00:00:34,440 --> 00:00:38,279 Speaker 1: when his competitors are all scaling up fast. But as 10 00:00:38,280 --> 00:00:41,360 Speaker 1: Backish explained to me, he's got a plan for building 11 00:00:41,400 --> 00:00:44,320 Speaker 1: on the assets he has without making a so called 12 00:00:44,479 --> 00:00:50,879 Speaker 1: transformational deal. Have a listen, So, I guess what I 13 00:00:50,880 --> 00:00:53,560 Speaker 1: want to get a sense of is two years or 14 00:00:53,600 --> 00:00:57,320 Speaker 1: so into the top job, you certainly inherited your share 15 00:00:57,440 --> 00:01:01,760 Speaker 1: of challenges. Where do you see things now or or 16 00:01:01,880 --> 00:01:04,479 Speaker 1: at it? Maybe it's not quite mission accomplished? But are 17 00:01:04,480 --> 00:01:07,560 Speaker 1: you happy with the progress made or is it more 18 00:01:07,600 --> 00:01:11,360 Speaker 1: about the improvements still to come? Yeah? Sure, well, um, 19 00:01:11,400 --> 00:01:14,440 Speaker 1: I wouldn't. I wouldn't ever say anything's mission accomplished, and 20 00:01:14,480 --> 00:01:16,760 Speaker 1: certainly not in the in the changing world we're living in. 21 00:01:17,240 --> 00:01:19,959 Speaker 1: But if if you looked at Viacom circa the end 22 00:01:19,959 --> 00:01:22,960 Speaker 1: of sixteen, which is when I was given the opportunity 23 00:01:22,959 --> 00:01:27,200 Speaker 1: to lead the company, UM, it was clear that there 24 00:01:27,200 --> 00:01:30,000 Speaker 1: were issues UM that and that the company was in 25 00:01:30,040 --> 00:01:33,760 Speaker 1: need of a turnaround. And and really our journey since 26 00:01:33,800 --> 00:01:36,839 Speaker 1: then has been about a turnaround and an evolution because, 27 00:01:36,840 --> 00:01:38,720 Speaker 1: as I said, as we all know, you know, the 28 00:01:38,760 --> 00:01:41,720 Speaker 1: world is changing, and just merely getting back to where 29 00:01:41,760 --> 00:01:45,840 Speaker 1: we were wouldn't be sufficient. So in the context of 30 00:01:45,920 --> 00:01:47,560 Speaker 1: the company at the end of sixteen, you know, we 31 00:01:47,600 --> 00:01:49,920 Speaker 1: had a Paramount Pictures unit that just came off a 32 00:01:50,000 --> 00:01:53,120 Speaker 1: year where it lost half a billion dollars and consumed 33 00:01:53,120 --> 00:01:55,800 Speaker 1: a billion two in cash, which is pretty good trick 34 00:01:55,840 --> 00:01:57,680 Speaker 1: for a company that's a library that throws off three 35 00:01:57,760 --> 00:02:01,680 Speaker 1: hundred million UM. So that was clearly a problem. UM. 36 00:02:01,720 --> 00:02:06,280 Speaker 1: You know, we had our our domestic networks, UM, iconic brands, etcetera. 37 00:02:06,680 --> 00:02:09,800 Speaker 1: But we had some real friction in the distribution space 38 00:02:10,320 --> 00:02:13,200 Speaker 1: and there was a bunch of noise around that, and candidly, 39 00:02:13,280 --> 00:02:16,959 Speaker 1: the audience performance of some of those networks UM wasn't 40 00:02:17,000 --> 00:02:19,000 Speaker 1: what we'd like to be. And it was really a 41 00:02:19,080 --> 00:02:22,640 Speaker 1: trend line that had been moving in the wrong direction. UM. 42 00:02:22,680 --> 00:02:27,040 Speaker 1: And so we got to work addressing those issues. And 43 00:02:27,280 --> 00:02:31,120 Speaker 1: if you look at Paramount as an example today, UH 44 00:02:31,240 --> 00:02:35,799 Speaker 1: circuit the end of eighteen calendar eighteen, you know, that's 45 00:02:35,800 --> 00:02:38,200 Speaker 1: a business that now we have. We just finished a quarter. 46 00:02:38,200 --> 00:02:41,000 Speaker 1: We haven't reported that quarter yet, so let's skip the 47 00:02:41,040 --> 00:02:43,720 Speaker 1: most recent quarter. But prior to that, you know, we 48 00:02:43,760 --> 00:02:48,960 Speaker 1: had seven straight quarters of earnings improvement UM in eighteen. 49 00:02:49,480 --> 00:02:52,360 Speaker 1: You know, we clearly showed that we could make films 50 00:02:52,400 --> 00:02:55,320 Speaker 1: that matter and make money on them. And I'd offer 51 00:02:55,360 --> 00:02:58,839 Speaker 1: A Quiet Place as an example. I'd offer Mission Impossible 52 00:02:58,880 --> 00:03:01,960 Speaker 1: fall Out as an example, which was the sixth installment 53 00:03:01,960 --> 00:03:05,200 Speaker 1: of that franchise. It was also the most successful on 54 00:03:05,240 --> 00:03:08,480 Speaker 1: a box office basis, not only globally but in the US, 55 00:03:08,520 --> 00:03:12,760 Speaker 1: and that doesn't usually happen in the sixth iteration. UM. 56 00:03:12,800 --> 00:03:16,360 Speaker 1: And we had a television business that came from literally 57 00:03:16,400 --> 00:03:18,680 Speaker 1: nowhere a couple of years ago to deliver four hundred 58 00:03:18,680 --> 00:03:21,600 Speaker 1: million dollars in revenue as we delivered UH nine series. 59 00:03:21,639 --> 00:03:24,960 Speaker 1: So Paramount is in a fundamentally better place. That's the 60 00:03:25,000 --> 00:03:28,880 Speaker 1: result of a really a complete overhaul of the team 61 00:03:28,880 --> 00:03:33,239 Speaker 1: there now led by Jim Jianopolis, who's awesome. UM, as 62 00:03:33,280 --> 00:03:36,760 Speaker 1: well as really rethink on the strategy and the slate 63 00:03:36,800 --> 00:03:39,600 Speaker 1: construction and all those other things. So feeling very good 64 00:03:39,640 --> 00:03:42,680 Speaker 1: about that. UH. The most recent proofpoint on that is 65 00:03:42,720 --> 00:03:46,040 Speaker 1: Bumblebee UM. And you know, while we wouldn't I wouldn't 66 00:03:46,040 --> 00:03:47,640 Speaker 1: get into all of it. If you look at the 67 00:03:47,680 --> 00:03:51,480 Speaker 1: review of that movie versus the last Transformers movie, UM, 68 00:03:51,520 --> 00:03:54,800 Speaker 1: everybody agrees is fundamentally a better movie. The last one 69 00:03:54,880 --> 00:03:57,600 Speaker 1: we lost over a hundred million dollars on UM. This 70 00:03:57,640 --> 00:04:01,560 Speaker 1: one's nicely profitable. UM done about three hundred million in 71 00:04:01,600 --> 00:04:04,839 Speaker 1: box office to date and it will continue to play. UM. 72 00:04:05,000 --> 00:04:08,920 Speaker 1: So paramounts of good place. The distribution landscape in US, 73 00:04:09,000 --> 00:04:14,080 Speaker 1: we all know that's um uh complicated. UM. Back in 74 00:04:14,480 --> 00:04:18,600 Speaker 1: early seventeen, there was a lot of conversation going around 75 00:04:18,640 --> 00:04:21,360 Speaker 1: that we were gonna get dropped by Charter. UH. That 76 00:04:21,480 --> 00:04:24,800 Speaker 1: obviously would have been a problem. UM. And you know, 77 00:04:24,960 --> 00:04:31,000 Speaker 1: through really focusing on UH partnership, evolving our strategy to 78 00:04:31,720 --> 00:04:36,000 Speaker 1: not only provide the right set of access to rights, 79 00:04:36,000 --> 00:04:38,920 Speaker 1: so really trueing up our on demand grant grants and 80 00:04:39,360 --> 00:04:42,560 Speaker 1: TV everywhere and the like, which we hadn't really fully 81 00:04:42,720 --> 00:04:47,640 Speaker 1: UM provided, but also broadening the aperture, entering into advanced 82 00:04:47,640 --> 00:04:51,480 Speaker 1: advertising partnerships UM, as well as in the case of Charter, 83 00:04:51,600 --> 00:04:55,800 Speaker 1: a co production partnership. We got that deal done, very 84 00:04:55,800 --> 00:04:57,240 Speaker 1: happy with that deal, and we went on to a 85 00:04:57,320 --> 00:04:59,520 Speaker 1: new or extend well over half our sub base. So 86 00:05:00,320 --> 00:05:03,120 Speaker 1: that's in a materially different place, uh than it was 87 00:05:03,800 --> 00:05:05,960 Speaker 1: at the time. So there's a lot of great things 88 00:05:06,000 --> 00:05:09,400 Speaker 1: going on, and we'll dig into some of these things. 89 00:05:09,440 --> 00:05:12,159 Speaker 1: But you've been on record recently saying that you know, 90 00:05:12,320 --> 00:05:18,400 Speaker 1: Viacom doesn't require a transformational deal in this environment that 91 00:05:18,560 --> 00:05:22,640 Speaker 1: where companies even bigger than yours are consolidating. How is 92 00:05:22,680 --> 00:05:28,560 Speaker 1: that position tenable? Well, look, UM, we and I continue 93 00:05:28,600 --> 00:05:31,080 Speaker 1: to believe there's a lot of value in the assets 94 00:05:31,160 --> 00:05:34,000 Speaker 1: we already own. You look at that. I mean, in 95 00:05:34,120 --> 00:05:36,679 Speaker 1: the six Team, people thought MTV was dead and buried. 96 00:05:37,360 --> 00:05:41,440 Speaker 1: Today it's the fastest growing network in television. UM. It's 97 00:05:41,520 --> 00:05:45,640 Speaker 1: audiences up again in the current quarter double digits UM 98 00:05:45,720 --> 00:05:49,240 Speaker 1: and we're only beginning to benefit from that resurgence from 99 00:05:49,320 --> 00:05:52,679 Speaker 1: monetization standpoint, So I think there's a lot of value 100 00:05:52,680 --> 00:05:55,520 Speaker 1: in the assets we were we already own. We, unlike 101 00:05:55,560 --> 00:05:59,120 Speaker 1: most media companies, are truly global operating media company. We 102 00:05:59,200 --> 00:06:02,200 Speaker 1: don't just have say sales forces outside the US. You know, 103 00:06:02,240 --> 00:06:05,640 Speaker 1: we own the number one broadcast network in Argentina. We 104 00:06:05,720 --> 00:06:09,080 Speaker 1: have a major broadcast networking Chinnel five. We're making content 105 00:06:09,120 --> 00:06:11,680 Speaker 1: all over the world. Were on half of a leading 106 00:06:11,720 --> 00:06:14,480 Speaker 1: Indian media company called Viacot my team which owns the 107 00:06:14,520 --> 00:06:17,560 Speaker 1: Colors brand. There's a lot of value there. And you know, 108 00:06:17,600 --> 00:06:19,600 Speaker 1: if you think about the transition we're in from an 109 00:06:19,600 --> 00:06:23,520 Speaker 1: industry standpoint, back in February of seventeen, we started talking 110 00:06:23,520 --> 00:06:27,080 Speaker 1: about something called the Flagship brand, and and flagship brand 111 00:06:27,160 --> 00:06:31,279 Speaker 1: was partially about prioritization, but it was also about unlocking 112 00:06:31,360 --> 00:06:35,039 Speaker 1: opportunity through true multi platform expression. And so if you 113 00:06:35,120 --> 00:06:39,120 Speaker 1: look at MTV, it's not only a linear cable network 114 00:06:39,200 --> 00:06:43,360 Speaker 1: with a substantial original programming slate, but it's also has 115 00:06:43,400 --> 00:06:46,680 Speaker 1: a piece of the paramount film slate. We started a 116 00:06:47,560 --> 00:06:52,920 Speaker 1: digital native division called Viacom Digital STUDIOSUM, which produces original 117 00:06:52,960 --> 00:06:57,479 Speaker 1: content for in short form for distribution both in front 118 00:06:57,520 --> 00:07:00,920 Speaker 1: of the wall, social and in other places. UM. That 119 00:07:01,400 --> 00:07:04,359 Speaker 1: consumption has ramped up dramatically, taken us from number twenty 120 00:07:04,360 --> 00:07:07,320 Speaker 1: two in the Space two into the top ten. UM 121 00:07:07,440 --> 00:07:10,360 Speaker 1: we've gotten in the experience. With my point being, there's 122 00:07:10,360 --> 00:07:13,080 Speaker 1: a lot of opportunity. And when you got to our 123 00:07:13,160 --> 00:07:16,320 Speaker 1: fourth fiscal quarter of a team, you saw we returned 124 00:07:16,320 --> 00:07:18,600 Speaker 1: our company to earnings growth, something that hadn't been the 125 00:07:18,640 --> 00:07:20,960 Speaker 1: case since fourteen. So we think there's a lot of 126 00:07:21,040 --> 00:07:23,400 Speaker 1: road ahead. And in fact, I think relative to some 127 00:07:23,480 --> 00:07:27,600 Speaker 1: of our peers, we're further along in making this transition 128 00:07:28,240 --> 00:07:30,600 Speaker 1: UM than others that are. You look at our ad business, 129 00:07:30,600 --> 00:07:33,120 Speaker 1: it's not all thirty second spots. We got an advanced 130 00:07:33,160 --> 00:07:37,560 Speaker 1: ad business where significant branded content assets, significant data driven assets, 131 00:07:37,640 --> 00:07:41,000 Speaker 1: we can insert dynamically and v O D homes in 132 00:07:41,000 --> 00:07:43,960 Speaker 1: the US, something nobody else can do. UM. So there's 133 00:07:44,000 --> 00:07:45,680 Speaker 1: a lot of value there. So we don't need a 134 00:07:45,680 --> 00:07:48,920 Speaker 1: transformational deal. UM. We have been doing M and A. 135 00:07:49,520 --> 00:07:52,200 Speaker 1: We've been doing what what I call accelerant deals. So 136 00:07:52,240 --> 00:07:56,240 Speaker 1: we bought a company called who say, branded content company, 137 00:07:56,480 --> 00:07:59,560 Speaker 1: materially increased our capabilities and kind of the lower end 138 00:07:59,600 --> 00:08:02,640 Speaker 1: of the ended content space from a price perspective, which 139 00:08:02,640 --> 00:08:05,560 Speaker 1: is important. We bought a company called vid Con, which 140 00:08:05,600 --> 00:08:10,800 Speaker 1: is ground zero for social influencers. Really UM strengthened our 141 00:08:10,960 --> 00:08:14,400 Speaker 1: kind of legacy with young adult audiences and talent and 142 00:08:14,440 --> 00:08:17,920 Speaker 1: associated talent. UH, and it's also an extension of our 143 00:08:17,960 --> 00:08:22,600 Speaker 1: experiential business. We most recently bought a company called Awesomeness, 144 00:08:22,680 --> 00:08:26,080 Speaker 1: which people think of as a web company, and it's 145 00:08:26,080 --> 00:08:29,040 Speaker 1: true that they're expert in marketing of content on the web, 146 00:08:29,040 --> 00:08:31,720 Speaker 1: but it's also true that it's a studio in its 147 00:08:31,720 --> 00:08:37,400 Speaker 1: own right, and increasing our participation in the creation of content, 148 00:08:37,800 --> 00:08:40,880 Speaker 1: including for third parties, as a big push we're making 149 00:08:40,880 --> 00:08:44,600 Speaker 1: as a company, and that that Awesomeness asset proved among 150 00:08:44,640 --> 00:08:47,440 Speaker 1: other things this year, or the eighteen um to All 151 00:08:47,480 --> 00:08:49,080 Speaker 1: the Boys I've Loved Before, which is one of the 152 00:08:49,120 --> 00:08:53,199 Speaker 1: most consumed films on Netflix. But these are there all deals? 153 00:08:53,240 --> 00:08:55,720 Speaker 1: Are you gonna need to make bigger deals or are 154 00:08:55,760 --> 00:08:57,720 Speaker 1: you just gonna be looking for more of the same 155 00:08:57,760 --> 00:09:01,720 Speaker 1: smaller deals? You know, scale is very much in vogue. 156 00:09:02,000 --> 00:09:05,560 Speaker 1: Vertical integration is very much in vogue. Um. If you 157 00:09:05,600 --> 00:09:09,640 Speaker 1: look at the history of industry and certainly media, vertical 158 00:09:09,640 --> 00:09:13,680 Speaker 1: integration doesn't tend to work. Um, Bigger is not always better, 159 00:09:14,200 --> 00:09:17,839 Speaker 1: you know, So I don't think that is um the 160 00:09:17,880 --> 00:09:21,040 Speaker 1: necessary path. What is really important is that your plan, 161 00:09:21,160 --> 00:09:23,360 Speaker 1: you know where you're going, and you're executing against it 162 00:09:23,679 --> 00:09:25,880 Speaker 1: and you're achieving growth, and that's exactly what we're doing. 163 00:09:26,200 --> 00:09:28,840 Speaker 1: Of course, we look at lots of different things, UM, 164 00:09:28,880 --> 00:09:31,120 Speaker 1: but again, I feel very good about the path we're on. 165 00:09:31,200 --> 00:09:34,319 Speaker 1: We've got a couple other things UH in the pipeline 166 00:09:35,040 --> 00:09:37,280 Speaker 1: that are of a commercial nature, and you know, some 167 00:09:37,360 --> 00:09:40,160 Speaker 1: other smaller things we're looking at UH And I think 168 00:09:40,360 --> 00:09:43,400 Speaker 1: just as a team, we tracked through and it had 169 00:09:43,400 --> 00:09:46,600 Speaker 1: its twists and turns, but we emerged as a stronger 170 00:09:46,640 --> 00:09:49,120 Speaker 1: company than we were at the beginning of eighteen. I 171 00:09:49,160 --> 00:09:51,959 Speaker 1: believe nineteen will be the same. But let's address the 172 00:09:52,000 --> 00:09:55,600 Speaker 1: elephant in the room. There's plenty of speculation that Viacom 173 00:09:55,679 --> 00:09:59,880 Speaker 1: and CBS could be combined as as soon as this year. 174 00:10:01,160 --> 00:10:05,719 Speaker 1: How do you manage for an uncertain future? Are you 175 00:10:06,000 --> 00:10:08,000 Speaker 1: do you have this distinct vision of the one you're 176 00:10:08,000 --> 00:10:11,719 Speaker 1: trying to build it Viacom through these smaller acquisitions, or 177 00:10:11,960 --> 00:10:13,800 Speaker 1: are you trying to like build for a bunch of 178 00:10:13,840 --> 00:10:17,960 Speaker 1: different possible futures at once. Well, I'm a huge believer 179 00:10:18,080 --> 00:10:21,000 Speaker 1: in having a plan. UM. I think that is one 180 00:10:21,040 --> 00:10:23,160 Speaker 1: of the big reasons I got the job, because when 181 00:10:23,200 --> 00:10:25,400 Speaker 1: when all our management met with the board, you know 182 00:10:25,440 --> 00:10:29,120 Speaker 1: in sixteen uh, we were I ran international and running 183 00:10:29,160 --> 00:10:32,080 Speaker 1: for a decade. UH. And we came in and we said, yeah, 184 00:10:32,160 --> 00:10:33,880 Speaker 1: here's where we are. By the way, here's where we 185 00:10:33,880 --> 00:10:36,960 Speaker 1: came from, and here's where we're going. Because it's hard 186 00:10:37,000 --> 00:10:38,760 Speaker 1: to get where you want to go if you don't 187 00:10:38,760 --> 00:10:41,080 Speaker 1: know where that is. So it's very important to have 188 00:10:41,120 --> 00:10:45,200 Speaker 1: a plan. UM. Our plan is fundamentally based on the 189 00:10:45,240 --> 00:10:48,400 Speaker 1: assets we have, because that's the only thing I can 190 00:10:48,400 --> 00:10:51,160 Speaker 1: bet on for sure. UM. But of course you have 191 00:10:51,360 --> 00:10:55,040 Speaker 1: plan A, Plan B, plan c UM, and you know 192 00:10:55,120 --> 00:11:01,040 Speaker 1: we track out accordingly. UM. And regarding the current narrative, look, 193 00:11:01,320 --> 00:11:03,600 Speaker 1: the more things change, and we all know our our 194 00:11:03,720 --> 00:11:06,600 Speaker 1: our world is changing, the more things data saying this 195 00:11:06,640 --> 00:11:08,760 Speaker 1: is now the third time this whole narrative has come 196 00:11:08,840 --> 00:11:13,360 Speaker 1: up in a relatively brief time. And I'll tell you 197 00:11:13,520 --> 00:11:16,439 Speaker 1: what I totally before and what more importantly I tell 198 00:11:16,480 --> 00:11:20,600 Speaker 1: my management team every day, which is we gotta focus, UM, 199 00:11:20,880 --> 00:11:23,560 Speaker 1: we gotta play through, we gotta execute, we gotta grow 200 00:11:23,640 --> 00:11:26,600 Speaker 1: because there's only one thing I know for sure. At 201 00:11:26,600 --> 00:11:28,240 Speaker 1: the end of the year, you're either gonna be talking 202 00:11:28,240 --> 00:11:30,040 Speaker 1: to me or you're gonna be talking to somebody else. 203 00:11:30,600 --> 00:11:33,200 Speaker 1: And what you don't want to have to say is, well, yeah, 204 00:11:33,240 --> 00:11:36,000 Speaker 1: we had this opportunity, but we kind of got distracted 205 00:11:36,280 --> 00:11:40,160 Speaker 1: and we didn't get it done. And so our mission 206 00:11:40,200 --> 00:11:43,400 Speaker 1: continues to be focused on the assets we have, focus 207 00:11:43,440 --> 00:11:48,040 Speaker 1: on execution, you know, look broadly to capture value, uh, 208 00:11:48,080 --> 00:11:51,080 Speaker 1: and then opportunistically see what else happens. And that's what 209 00:11:51,120 --> 00:11:52,439 Speaker 1: we do day in and day out, and that's what 210 00:11:52,480 --> 00:11:54,360 Speaker 1: we're gonna keep doing. So let's talk about some of 211 00:11:54,440 --> 00:11:59,000 Speaker 1: those core assets. Those flagship brands, MTV, Comedy Central, great 212 00:11:59,040 --> 00:12:03,200 Speaker 1: brands to have of However, in this climate where the 213 00:12:03,280 --> 00:12:07,560 Speaker 1: pay TV businesses challenged, Uh, you guys are dealing with 214 00:12:07,600 --> 00:12:10,679 Speaker 1: your tensions with some of the major distributors. Distributors that 215 00:12:10,720 --> 00:12:14,040 Speaker 1: could end up dropping key channels. MTV and a lot 216 00:12:14,080 --> 00:12:16,000 Speaker 1: of these channels were big for so many years because 217 00:12:16,040 --> 00:12:20,120 Speaker 1: they spun off all these additional channels. How do you 218 00:12:20,200 --> 00:12:23,320 Speaker 1: manage a future when there seems to be a secular 219 00:12:23,800 --> 00:12:26,640 Speaker 1: decline playing out for the business model that got you 220 00:12:26,720 --> 00:12:29,640 Speaker 1: so big in the first place. Sure, so, UM, I 221 00:12:29,640 --> 00:12:31,880 Speaker 1: think the essence of it is you have to make 222 00:12:31,920 --> 00:12:35,000 Speaker 1: sure you're adding value. Point one and point two is 223 00:12:35,000 --> 00:12:37,760 Speaker 1: you have to recognize how the world is changing. And 224 00:12:37,840 --> 00:12:41,320 Speaker 1: so to the first point, UM, you know, if we 225 00:12:41,360 --> 00:12:43,880 Speaker 1: talked about what we're doing in distribution, we broadened our 226 00:12:43,920 --> 00:12:47,160 Speaker 1: ability to add value for our mutual benefit both our 227 00:12:47,160 --> 00:12:51,600 Speaker 1: partners benefit an m v P d UH and Viacom's benefit, 228 00:12:51,720 --> 00:12:56,040 Speaker 1: and and certainly our whole extension into advanced advertising what 229 00:12:56,040 --> 00:12:59,079 Speaker 1: we call a MS UH you know, is fundamental to that. 230 00:12:59,160 --> 00:13:00,960 Speaker 1: The second thing I say, in terms of how the 231 00:13:00,960 --> 00:13:04,920 Speaker 1: world is changing, the fundamental thing that's going on UM 232 00:13:05,120 --> 00:13:09,440 Speaker 1: is fragmentation in terms of how people access content. The 233 00:13:09,520 --> 00:13:11,760 Speaker 1: world we used to live in was relatively simple. That 234 00:13:11,880 --> 00:13:14,240 Speaker 1: this is in the television space. Obviously we operate in 235 00:13:14,280 --> 00:13:17,840 Speaker 1: other spaces, but in the television space, you know everyone okay, 236 00:13:17,920 --> 00:13:21,280 Speaker 1: eighty five percent of people got the same product and 237 00:13:21,280 --> 00:13:25,560 Speaker 1: that was big basic UM and that was very nice structure. UM. 238 00:13:25,640 --> 00:13:28,680 Speaker 1: Today that's no longer true, and it continues to fragment. 239 00:13:28,760 --> 00:13:31,280 Speaker 1: So you have people still the vast majority of people 240 00:13:31,280 --> 00:13:34,400 Speaker 1: in the highest priced UM segment, but you've got people 241 00:13:34,480 --> 00:13:37,200 Speaker 1: at forty oh actually no forty five dollars because that 242 00:13:37,240 --> 00:13:39,920 Speaker 1: price is starting to creep up as people try to 243 00:13:39,920 --> 00:13:43,000 Speaker 1: make economic businesses there. You've got people in the teams, 244 00:13:43,480 --> 00:13:46,040 Speaker 1: you got uh you know, people are on ten bucks. 245 00:13:46,080 --> 00:13:48,040 Speaker 1: In terms of the s FOD space, you even have 246 00:13:48,120 --> 00:13:50,280 Speaker 1: some single digit numbers, and you have free out a 247 00:13:50,440 --> 00:13:53,040 Speaker 1: VOD and so that world is not gonna change. That's 248 00:13:53,080 --> 00:13:55,040 Speaker 1: the world we're gonna be living in. And what's important 249 00:13:55,080 --> 00:13:57,280 Speaker 1: is that we take these what we can now call 250 00:13:57,360 --> 00:14:00,000 Speaker 1: flagship brands and we make sure we can we participate 251 00:14:00,000 --> 00:14:03,679 Speaker 1: eight in all those levels, um, the big basic levels. 252 00:14:03,720 --> 00:14:07,040 Speaker 1: That's fairly obvious. Uh. You know we are active in 253 00:14:07,120 --> 00:14:09,439 Speaker 1: the V M, v P, D or O T T space. 254 00:14:10,320 --> 00:14:13,600 Speaker 1: We are also active, uh in in the s VOD 255 00:14:13,679 --> 00:14:16,600 Speaker 1: space through our third party production business, where we are 256 00:14:16,640 --> 00:14:20,200 Speaker 1: making product really for everyone, and we're not just making product, 257 00:14:20,240 --> 00:14:23,280 Speaker 1: we're making hits. Did you watch Jack Ryan on Amazon? 258 00:14:24,000 --> 00:14:29,080 Speaker 1: We made that? Um? Did you watch um Maniac on Netflix? 259 00:14:29,160 --> 00:14:31,080 Speaker 1: We made that? Did you watch to All the Boys? 260 00:14:31,120 --> 00:14:35,480 Speaker 1: We were I Love before we made that? Um? And 261 00:14:35,640 --> 00:14:38,480 Speaker 1: you know we in terms of paramount television is are 262 00:14:38,560 --> 00:14:41,520 Speaker 1: We're gonna go from nine series to sixteen series in 263 00:14:41,520 --> 00:14:45,320 Speaker 1: this fiscal year, growing that revenue about fift At the 264 00:14:45,400 --> 00:14:48,200 Speaker 1: same time, we've gotten the domestic brands. If you're gonna 265 00:14:48,200 --> 00:14:51,400 Speaker 1: watch the Real World this year, you're gonna watch it 266 00:14:51,560 --> 00:14:54,520 Speaker 1: on Facebook and you could watch it the US version, 267 00:14:54,560 --> 00:14:57,160 Speaker 1: you could watch a Latin version, you can watch an 268 00:14:57,240 --> 00:14:59,960 Speaker 1: Asian version, all of which will be produced and by 269 00:15:00,040 --> 00:15:02,080 Speaker 1: the way, they'll be interactive. So that's another way we're 270 00:15:02,080 --> 00:15:03,920 Speaker 1: participating in that space. And you could think of that 271 00:15:03,960 --> 00:15:10,040 Speaker 1: as an a VOD space. So UM our brands are evolving. UM. 272 00:15:10,120 --> 00:15:13,760 Speaker 1: The product we're providing is segmenting across price points. Don't 273 00:15:13,760 --> 00:15:17,720 Speaker 1: be surprised if you shortly see our brands participating in 274 00:15:17,760 --> 00:15:21,240 Speaker 1: a differentiated mobile bundle. Today, our brands are carried on 275 00:15:21,360 --> 00:15:23,560 Speaker 1: a T and T watching the US and by the way, 276 00:15:24,040 --> 00:15:26,280 Speaker 1: that whole mobile carriage. And there's been a lot of 277 00:15:26,280 --> 00:15:28,600 Speaker 1: conversation up five G as there should be. You know, 278 00:15:28,680 --> 00:15:31,640 Speaker 1: at at CES this year. UM I probably went to 279 00:15:31,720 --> 00:15:34,160 Speaker 1: Mobile World for the first time five or six years ago. 280 00:15:35,080 --> 00:15:37,840 Speaker 1: UM And in the last eighteen months we've done mobile 281 00:15:37,840 --> 00:15:40,680 Speaker 1: deals outside the US. We have about thirty of them 282 00:15:40,680 --> 00:15:46,240 Speaker 1: now where Telefonica carries our flagship brands across Latin America. 283 00:15:46,480 --> 00:15:49,240 Speaker 1: UM in terms of it's in a real kind of 284 00:15:49,920 --> 00:15:53,400 Speaker 1: substitute abal video product. There's other We have a Paramount 285 00:15:53,400 --> 00:15:56,520 Speaker 1: Plus product in Europe which is rolling out, which combines 286 00:15:56,600 --> 00:16:00,080 Speaker 1: Paramount first window you could think of as HBO window, 287 00:16:00,600 --> 00:16:05,840 Speaker 1: UM films with women, Vico Media Networks, television product all 288 00:16:05,880 --> 00:16:09,120 Speaker 1: in a consolidated app available both on set top and 289 00:16:09,560 --> 00:16:12,920 Speaker 1: UM with leading mobile operators. Are those deals the future? 290 00:16:12,960 --> 00:16:16,760 Speaker 1: Are they big enough? They're absolutely future. I mean the 291 00:16:16,840 --> 00:16:18,840 Speaker 1: thing like we're in this We're in the state of 292 00:16:18,880 --> 00:16:21,560 Speaker 1: transformation of our industry. And you can either view that 293 00:16:21,640 --> 00:16:23,920 Speaker 1: as glass half full or half empty. I view it 294 00:16:23,920 --> 00:16:30,400 Speaker 1: as half full. And mobile distribution really is the catalyst 295 00:16:30,440 --> 00:16:33,840 Speaker 1: that will turn this whole decline of television argument on 296 00:16:33,880 --> 00:16:39,320 Speaker 1: its head because you have multiples UM of today three 297 00:16:39,440 --> 00:16:43,040 Speaker 1: G soon four G, never mind five G because five 298 00:16:43,080 --> 00:16:46,600 Speaker 1: G initially is more about fixed broad them. But whatever UM, 299 00:16:46,680 --> 00:16:50,560 Speaker 1: it will eventually be hand sent UM. Those are if 300 00:16:50,600 --> 00:16:56,320 Speaker 1: you have maybe outside the US five million pay TV 301 00:16:56,480 --> 00:17:00,440 Speaker 1: homes at the high side, UM probably more like three 302 00:17:00,480 --> 00:17:03,360 Speaker 1: hundred million quality ones. If you take out India and China, 303 00:17:03,960 --> 00:17:06,600 Speaker 1: you've got a billion five three G homes and growing. 304 00:17:07,440 --> 00:17:09,680 Speaker 1: And so I think these kind of deals where you're 305 00:17:09,680 --> 00:17:13,040 Speaker 1: bringing product either product that looks like what you get 306 00:17:13,080 --> 00:17:17,680 Speaker 1: exactly on television. So that's Telephonica example, UM an aggregated 307 00:17:17,720 --> 00:17:20,359 Speaker 1: product UM that combines a lot of different things under 308 00:17:20,359 --> 00:17:22,760 Speaker 1: one brand. So that's like a paramount plus. With Telenore 309 00:17:22,880 --> 00:17:27,040 Speaker 1: product UM, you know, we're on We're in Indonesia with 310 00:17:27,119 --> 00:17:29,119 Speaker 1: a with a mobile care that's a hundred and sixty 311 00:17:29,160 --> 00:17:32,320 Speaker 1: million subs. Uh. We're on their data tier with our 312 00:17:32,440 --> 00:17:35,959 Speaker 1: Nick Play and Nick jr Play apps, which provides access 313 00:17:36,040 --> 00:17:38,800 Speaker 1: to you know that product on an on demand basis. 314 00:17:38,880 --> 00:17:41,120 Speaker 1: So and and by the way, some of these are 315 00:17:41,960 --> 00:17:44,679 Speaker 1: D two C, so you're opting in as a consumer 316 00:17:44,960 --> 00:17:48,400 Speaker 1: through an app store. We're taking sevent somebody's taken thirty. 317 00:17:49,400 --> 00:17:54,280 Speaker 1: Some of these are UM through a third party intermediary. 318 00:17:54,359 --> 00:17:57,959 Speaker 1: You could think Amazon Channel store, UM. Some of these 319 00:17:58,080 --> 00:17:59,960 Speaker 1: are what we call B two B two C deal. 320 00:18:00,000 --> 00:18:03,119 Speaker 1: Those with carriers you could think about Telefonica or Telenore 321 00:18:03,920 --> 00:18:06,760 Speaker 1: or UM telcom Cell which is the Indonesian one and that. 322 00:18:07,280 --> 00:18:10,040 Speaker 1: So I think this this kind of hybrid economy of 323 00:18:10,080 --> 00:18:14,800 Speaker 1: distribution where unfortunately everybody doesn't get the same thing. People 324 00:18:14,800 --> 00:18:19,439 Speaker 1: are getting different products, bigger bundles, smaller bundles UM, but 325 00:18:19,680 --> 00:18:22,720 Speaker 1: fundamentally you have more reach. And by the way, all 326 00:18:22,840 --> 00:18:27,479 Speaker 1: those type platforms are addressable advertising. So you look at 327 00:18:27,480 --> 00:18:31,800 Speaker 1: the difference between UM sling and Dish in the US. 328 00:18:31,840 --> 00:18:35,240 Speaker 1: For us, we're carried on both. That's good, UM, but 329 00:18:35,400 --> 00:18:38,679 Speaker 1: actually all the sling ads are dynamic. We can insert 330 00:18:38,680 --> 00:18:41,879 Speaker 1: a specific add to a specific person based on specific data. 331 00:18:42,520 --> 00:18:45,280 Speaker 1: On the Dish platform. We can't do that for obvious reasons. 332 00:18:45,320 --> 00:18:47,439 Speaker 1: It's the DTH going down. I mean, you can do 333 00:18:47,480 --> 00:18:51,159 Speaker 1: it because with some technical work. But that is another 334 00:18:51,520 --> 00:18:54,639 Speaker 1: UM big move forward in terms of our ability to 335 00:18:54,640 --> 00:18:56,199 Speaker 1: create value in the space, and we are in the 336 00:18:56,280 --> 00:18:59,960 Speaker 1: super early days of that UM so anyway, exciting time. 337 00:19:00,320 --> 00:19:03,800 Speaker 1: So you're focused more and more on production though, And 338 00:19:04,000 --> 00:19:07,360 Speaker 1: what's interesting about that is I wonder if there's sort 339 00:19:07,400 --> 00:19:10,320 Speaker 1: of a double edged sword to the success there. You 340 00:19:10,560 --> 00:19:13,159 Speaker 1: empower the Netflix is and the facebooks of the world 341 00:19:13,200 --> 00:19:17,080 Speaker 1: with your content. That makes it harder, doesn't it for 342 00:19:17,119 --> 00:19:20,920 Speaker 1: the comedy centrals and mtvs to get as many eyeballs 343 00:19:20,960 --> 00:19:25,679 Speaker 1: on their content because there these people are watching on Facebook. 344 00:19:25,960 --> 00:19:29,359 Speaker 1: So doesn't it kind of hurt your core business? Now 345 00:19:29,640 --> 00:19:32,439 Speaker 1: it doesn't, but here because for two reasons. One is 346 00:19:32,960 --> 00:19:35,080 Speaker 1: whether we make a show for Facebook or not, it's 347 00:19:35,080 --> 00:19:38,600 Speaker 1: not going to influence whether they have shows on their platform. Right, 348 00:19:38,640 --> 00:19:40,600 Speaker 1: So I'd rather have a young adult show with the 349 00:19:40,680 --> 00:19:44,159 Speaker 1: MTV brand than not. Point one point two is the 350 00:19:44,240 --> 00:19:49,399 Speaker 1: most important thing for from Rykom from a consumer perspective 351 00:19:49,440 --> 00:19:52,400 Speaker 1: is to continue to have our flagship brands be top 352 00:19:52,440 --> 00:19:55,439 Speaker 1: of mind for consumers as they think about entertainment. And 353 00:19:55,480 --> 00:19:58,000 Speaker 1: that entertainment might be going to see a movie in 354 00:19:58,000 --> 00:20:02,480 Speaker 1: the theater. That entertainment might be flipping on your flat 355 00:20:02,520 --> 00:20:05,280 Speaker 1: screen and watching a pay video bundle, that might be 356 00:20:05,600 --> 00:20:08,040 Speaker 1: accessing product on an app. That might be going to 357 00:20:08,119 --> 00:20:11,159 Speaker 1: a festival like slime Fest outside of Chicago, which we 358 00:20:11,200 --> 00:20:13,840 Speaker 1: do in the summer with Nickelodeon. That's what we want 359 00:20:14,000 --> 00:20:19,919 Speaker 1: and having a extended ecosystem of entertainment experience associated with 360 00:20:19,960 --> 00:20:23,720 Speaker 1: these brands that cross this fragmenting environment is what it's 361 00:20:23,720 --> 00:20:27,120 Speaker 1: all about because it will reinforce itself. It provides great 362 00:20:27,160 --> 00:20:30,840 Speaker 1: solutions for advertisers. I was with a major CMO last night, 363 00:20:31,160 --> 00:20:35,320 Speaker 1: UM talking about this before one of the many parties UM. 364 00:20:35,600 --> 00:20:39,439 Speaker 1: Just last week we were with another UM and with 365 00:20:39,520 --> 00:20:43,240 Speaker 1: another CMO in a different category, and it's all about 366 00:20:44,240 --> 00:20:47,840 Speaker 1: being able to get reach into say men eighteen and 367 00:20:47,920 --> 00:20:50,000 Speaker 1: thirty four, which is not an easy demo to reach 368 00:20:50,080 --> 00:20:54,480 Speaker 1: these days. Harder than ever use UM a cross section 369 00:20:55,080 --> 00:21:00,240 Speaker 1: of platforms, you know, leveraging our linear distribution at NG, 370 00:21:00,280 --> 00:21:05,440 Speaker 1: our app distribution, adding um are over the top distribution, 371 00:21:06,040 --> 00:21:09,919 Speaker 1: adding our vds, Vacom Digital studios, product that's resident, and 372 00:21:10,080 --> 00:21:15,800 Speaker 1: variety of social media platforms. UM doing branded content in 373 00:21:15,880 --> 00:21:18,920 Speaker 1: and UH in a program that's synchronized to reach that. 374 00:21:19,000 --> 00:21:22,760 Speaker 1: In this example, man male eighteen to thirty four, who 375 00:21:23,000 --> 00:21:25,080 Speaker 1: this particular client and a whole set of clients for 376 00:21:25,119 --> 00:21:30,119 Speaker 1: that matter, you know, are interested in influencing to buy 377 00:21:30,160 --> 00:21:32,640 Speaker 1: a product or service. And I think that's very much 378 00:21:32,640 --> 00:21:36,880 Speaker 1: the future. And and unless you believe, unless you realistically 379 00:21:36,960 --> 00:21:39,919 Speaker 1: understand that's what's going on. If you go to crawl 380 00:21:39,960 --> 00:21:42,600 Speaker 1: into the ivory tower of we got to only stay here, 381 00:21:42,800 --> 00:21:46,800 Speaker 1: you'll never go your company and as a as a 382 00:21:47,040 --> 00:21:50,120 Speaker 1: you know, public company, UM and a company that wants 383 00:21:50,119 --> 00:21:53,440 Speaker 1: to create opportunities for its employees. By the way, and 384 00:21:53,480 --> 00:21:55,440 Speaker 1: we've been doing lots of work on culture and made 385 00:21:55,520 --> 00:21:59,040 Speaker 1: a lot of progress there as well. UM that growth 386 00:21:59,119 --> 00:22:01,600 Speaker 1: is very important. People have to see that there's opportunity 387 00:22:01,640 --> 00:22:03,359 Speaker 1: they can grow with. And so you've got to deal 388 00:22:03,400 --> 00:22:05,680 Speaker 1: with this environment. So let's talk about that culture though, 389 00:22:05,720 --> 00:22:09,479 Speaker 1: because via Com has been through a lot prior to 390 00:22:09,520 --> 00:22:13,919 Speaker 1: you coming in there, How do you energize thousands of 391 00:22:13,960 --> 00:22:17,719 Speaker 1: employees who especially it's not even about via conversation when 392 00:22:17,760 --> 00:22:21,520 Speaker 1: you look at it that broader macro media world. There's pessimism, 393 00:22:21,560 --> 00:22:25,160 Speaker 1: there's negativity. So how do you get people going? Well, 394 00:22:25,200 --> 00:22:27,480 Speaker 1: I think it starts with you gotta have a plan, 395 00:22:27,960 --> 00:22:29,840 Speaker 1: and you have to make sure people understand what it 396 00:22:29,920 --> 00:22:32,159 Speaker 1: is so they can understand how they fit in. And 397 00:22:32,200 --> 00:22:34,520 Speaker 1: they can and you both you and they can understand 398 00:22:34,560 --> 00:22:36,480 Speaker 1: if you're making progress and if so, you can put 399 00:22:36,520 --> 00:22:38,840 Speaker 1: more fuel in the tank, or if you're not making 400 00:22:38,880 --> 00:22:40,520 Speaker 1: progress in one area, you can you can decide to 401 00:22:40,560 --> 00:22:43,760 Speaker 1: go some you know, a different direction. That's fundamental. And 402 00:22:44,000 --> 00:22:46,879 Speaker 1: I can tell you you know, circa sixteen when I 403 00:22:46,920 --> 00:22:48,840 Speaker 1: was running international, I didn't know if I was gonna 404 00:22:48,880 --> 00:22:51,440 Speaker 1: stay black because I didn't believe there was a plan 405 00:22:51,520 --> 00:22:54,800 Speaker 1: with the future. If you talked to and I'm somewhat 406 00:22:54,800 --> 00:22:56,920 Speaker 1: biased obviously, but I think you'll find if you talk 407 00:22:56,960 --> 00:22:59,560 Speaker 1: to people in Vitam today, they fundamentally believe we have 408 00:22:59,560 --> 00:23:02,920 Speaker 1: a plan. They see there's no question that we've effectuated 409 00:23:02,920 --> 00:23:05,679 Speaker 1: a turnaround. You know at our at our studio on 410 00:23:05,720 --> 00:23:08,399 Speaker 1: the West coast, that we have. We are in a 411 00:23:08,480 --> 00:23:11,760 Speaker 1: far better place from a distribution relationship standpoint, and I've 412 00:23:11,760 --> 00:23:15,720 Speaker 1: been expanding that business. That we are actively participating in 413 00:23:15,760 --> 00:23:20,200 Speaker 1: places that we hadn't before, including, you know, providing original 414 00:23:20,240 --> 00:23:22,679 Speaker 1: content on a day and day out basis to the 415 00:23:23,280 --> 00:23:28,120 Speaker 1: avid you know, Digital um, I don't know, Stratosphere um. 416 00:23:28,200 --> 00:23:30,800 Speaker 1: That we're active in events and that in total, we 417 00:23:30,880 --> 00:23:34,200 Speaker 1: actually grew the earnings of the company and and we're 418 00:23:34,240 --> 00:23:36,640 Speaker 1: doing in such way and I'm talking about it. We're 419 00:23:36,680 --> 00:23:38,800 Speaker 1: just kind of starting to talk about this. But what 420 00:23:38,920 --> 00:23:43,720 Speaker 1: unites all of that is a culture of content. That 421 00:23:43,920 --> 00:23:48,520 Speaker 1: is what viacom is. Whether you make short form, long form, 422 00:23:48,800 --> 00:23:51,320 Speaker 1: feature length, or an event, whether you're actually on the 423 00:23:51,359 --> 00:23:54,600 Speaker 1: creative side, the monetization side, of the sports side, they're 424 00:23:54,640 --> 00:23:58,640 Speaker 1: all working in this culture of content. And they see 425 00:23:58,680 --> 00:24:00,760 Speaker 1: the progress we're making. I know because I talked to 426 00:24:00,800 --> 00:24:03,400 Speaker 1: them at least quarterly. I talked to the whole employee 427 00:24:03,400 --> 00:24:05,879 Speaker 1: based on Facebook Live and take questions and do all 428 00:24:05,880 --> 00:24:08,359 Speaker 1: those things, and obviously talk to people every day, but 429 00:24:08,520 --> 00:24:10,880 Speaker 1: they see the progress and that's how you get people excited, 430 00:24:11,080 --> 00:24:13,760 Speaker 1: because at the end of the day, people are pretty simple. 431 00:24:14,320 --> 00:24:17,200 Speaker 1: It comes down to what's in it. For them, and 432 00:24:17,280 --> 00:24:20,440 Speaker 1: what's in it for them is a future. And if 433 00:24:20,480 --> 00:24:25,240 Speaker 1: you look at Viacom circa you know, January of versus 434 00:24:25,680 --> 00:24:32,520 Speaker 1: January of, there's a lot broader and deeper understanding that 435 00:24:32,760 --> 00:24:35,919 Speaker 1: the future is looking pretty interesting. And and that's how 436 00:24:35,920 --> 00:24:39,639 Speaker 1: you keep you engaged. We're here in Las Vegas and cees. 437 00:24:40,240 --> 00:24:42,600 Speaker 1: You know you're gonna spend your time on the show floor. 438 00:24:42,600 --> 00:24:46,560 Speaker 1: What are the kind of technologies that are catching your 439 00:24:46,640 --> 00:24:50,160 Speaker 1: eye that are relevant to your business? Is future? Sure? 440 00:24:50,200 --> 00:24:53,720 Speaker 1: So I actually was on the floor yesterday, um and uh, 441 00:24:54,000 --> 00:24:55,760 Speaker 1: because I think this is an opportunity to be a 442 00:24:55,760 --> 00:24:57,679 Speaker 1: bit a bit of a sponge and see what's going on. 443 00:24:58,480 --> 00:25:01,080 Speaker 1: And if you think about the fun the metals of 444 00:25:01,119 --> 00:25:04,680 Speaker 1: our business, the entertainment business, UM, there's kind of two 445 00:25:04,720 --> 00:25:08,280 Speaker 1: things that are important. One is you get consumers to 446 00:25:08,480 --> 00:25:11,440 Speaker 1: want to spend time with your product. That's important, um. 447 00:25:11,440 --> 00:25:13,639 Speaker 1: And two as you get paid for it. If you 448 00:25:13,640 --> 00:25:16,520 Speaker 1: can have those two things, everything else can probably sort 449 00:25:16,560 --> 00:25:19,959 Speaker 1: itself out. And if you look at the arc of consumption. 450 00:25:20,560 --> 00:25:22,840 Speaker 1: I remember, because I've been in this business, you know, 451 00:25:23,040 --> 00:25:28,080 Speaker 1: thirty years when second television sets started really showing up 452 00:25:28,119 --> 00:25:31,159 Speaker 1: at scale in kids bedrooms and other places and that 453 00:25:31,320 --> 00:25:34,320 Speaker 1: drove more minutes. That was a good thing. And then 454 00:25:34,600 --> 00:25:39,199 Speaker 1: you know, more recently computers with infrastructure started showing up 455 00:25:39,240 --> 00:25:42,080 Speaker 1: in places like offices and that you know, that wasn't 456 00:25:42,119 --> 00:25:44,800 Speaker 1: really a heavy video space, but there was more impressions. 457 00:25:45,200 --> 00:25:47,200 Speaker 1: And then, of course much more recently you get into 458 00:25:47,240 --> 00:25:49,520 Speaker 1: over the top and you get into mobile, and that's 459 00:25:49,600 --> 00:25:52,800 Speaker 1: much more time with product. And what I saw yesterday, 460 00:25:53,119 --> 00:25:56,720 Speaker 1: UM was clearly you know, there's two things that are coming, 461 00:25:56,880 --> 00:26:00,680 Speaker 1: and they're coming like a freight train, and they're fundamentally good. UM. 462 00:26:00,760 --> 00:26:05,840 Speaker 1: One is the continuing acceleration of broadband infrastructure, both in 463 00:26:05,880 --> 00:26:09,120 Speaker 1: the name of five G, which is definitely coming, as 464 00:26:09,160 --> 00:26:11,960 Speaker 1: you all know. Maybe it's fixed broadband first, but it'll 465 00:26:12,000 --> 00:26:15,160 Speaker 1: be wireless that's gonna fun. And and all the wireless 466 00:26:15,160 --> 00:26:17,359 Speaker 1: carriers and we talk to them all we do business 467 00:26:17,359 --> 00:26:20,040 Speaker 1: fall and they're all times we need use cases, and 468 00:26:20,119 --> 00:26:23,439 Speaker 1: certainly entertainment is is a use case. UM. And the 469 00:26:23,440 --> 00:26:28,320 Speaker 1: other thing that's gotten less less uh press at CES 470 00:26:28,440 --> 00:26:32,680 Speaker 1: is ten G. And that's the cable industry talking about 471 00:26:32,720 --> 00:26:35,840 Speaker 1: their next line because they're delivering one G right now. Uh. 472 00:26:35,840 --> 00:26:38,439 Speaker 1: They're the only people doing that, by the way. UM. 473 00:26:38,520 --> 00:26:41,000 Speaker 1: And now their next pushes to deliver ten x that 474 00:26:41,359 --> 00:26:43,879 Speaker 1: over the next you know, five years or something. So 475 00:26:43,960 --> 00:26:46,920 Speaker 1: you put those two things together, you have a lot 476 00:26:46,960 --> 00:26:51,120 Speaker 1: of people wanting to drive increased broadband consumption and needing 477 00:26:51,119 --> 00:26:53,520 Speaker 1: stuff to put through it. That's good and so that's 478 00:26:53,560 --> 00:26:56,040 Speaker 1: the one. And the second thing was if you walk 479 00:26:56,119 --> 00:26:59,960 Speaker 1: the floor of the cars, Um, that's another freight train 480 00:27:00,119 --> 00:27:03,840 Speaker 1: that's coming, five G autonomous cars that people don't have 481 00:27:03,920 --> 00:27:06,399 Speaker 1: to drive. Now. I don't know what you're gonna do 482 00:27:06,520 --> 00:27:10,760 Speaker 1: if your brand is the ultimate driving machine. It's a 483 00:27:10,840 --> 00:27:16,879 Speaker 1: serious question because that's gonna be a niche business. But 484 00:27:17,119 --> 00:27:19,280 Speaker 1: people are going to be look at them. They've got people, 485 00:27:19,320 --> 00:27:22,080 Speaker 1: movers and monitors. People are gonna be And so just 486 00:27:22,160 --> 00:27:24,840 Speaker 1: like adding a TV set to a bedroom or adding 487 00:27:24,880 --> 00:27:29,560 Speaker 1: mobile on the go, the last vestige of video free 488 00:27:29,640 --> 00:27:33,719 Speaker 1: consumption is the automobile. And that's coming and that's going 489 00:27:33,760 --> 00:27:37,760 Speaker 1: to be thinking about how it plays in absolutely absolutely 490 00:27:37,800 --> 00:27:39,800 Speaker 1: And so what do you fork is that like relevant 491 00:27:39,840 --> 00:27:41,600 Speaker 1: two years from now? Five years? So now are you 492 00:27:41,680 --> 00:27:45,360 Speaker 1: able to say at this point, um, look, I think 493 00:27:45,400 --> 00:27:47,560 Speaker 1: you know, in terms of at at scale, it's more 494 00:27:47,640 --> 00:27:49,960 Speaker 1: five years than two years for sure, because I think 495 00:27:49,960 --> 00:27:52,200 Speaker 1: there's still some liability issues that got to get worked 496 00:27:52,240 --> 00:27:55,200 Speaker 1: out in that space. Um, like, you own the car, 497 00:27:55,280 --> 00:27:57,520 Speaker 1: but you didn't drive the car and it crashed. Who's 498 00:27:57,520 --> 00:28:01,000 Speaker 1: who's that on? I don't know, But but at those 499 00:28:01,000 --> 00:28:03,680 Speaker 1: are details that will get worked out. The fundamental thing 500 00:28:03,840 --> 00:28:06,879 Speaker 1: is time. And yeah, sure some people will work in cars. 501 00:28:07,760 --> 00:28:09,520 Speaker 1: You know, when I'm when I'm being driven, I typically 502 00:28:09,520 --> 00:28:11,439 Speaker 1: have a loptome I'm working. But a hell of a 503 00:28:11,440 --> 00:28:13,399 Speaker 1: lot more people are going to be entertained in cars 504 00:28:14,240 --> 00:28:16,840 Speaker 1: and that's a good thing. So between what's going on 505 00:28:16,880 --> 00:28:19,440 Speaker 1: in broadband, which is only going to accelerate on a 506 00:28:19,480 --> 00:28:24,400 Speaker 1: global basis, including mobility and this next wild card, which 507 00:28:24,480 --> 00:28:28,600 Speaker 1: is the automobile, there's just gonna be more demand and 508 00:28:28,960 --> 00:28:30,960 Speaker 1: everyone and their brother is trying to get a piece 509 00:28:30,960 --> 00:28:33,840 Speaker 1: of that pie, and most of them don't make content. 510 00:28:35,200 --> 00:28:38,440 Speaker 1: So back to our studio production initiative, there's a lot 511 00:28:38,520 --> 00:28:40,840 Speaker 1: of legs to this game, and what what we're focused 512 00:28:40,840 --> 00:28:44,560 Speaker 1: on is making sure our brands Paramount, MTV, Nickelodeon, etcetera, 513 00:28:44,840 --> 00:28:50,400 Speaker 1: are resident in this growing, albeit complicated ecosystem. Well, it's 514 00:28:50,440 --> 00:28:52,920 Speaker 1: going to be interesting to see where your brand is 515 00:28:53,080 --> 00:28:56,600 Speaker 1: in this very interesting future. Bob, thanks for coming in 516 00:28:56,680 --> 00:29:01,760 Speaker 1: and talking with me about it. It's like pure This 517 00:29:01,840 --> 00:29:05,120 Speaker 1: has been another episode of Strictly Business. Tune in next 518 00:29:05,160 --> 00:29:08,920 Speaker 1: week for another helping a scintillating conversation with media movers 519 00:29:08,920 --> 00:29:11,560 Speaker 1: and shakers, and please make sure you subscribe to the 520 00:29:11,600 --> 00:29:15,640 Speaker 1: podcast to hear future episodes. Also, leave a review in 521 00:29:15,720 --> 00:29:18,640 Speaker 1: Apple Podcast let us know how we're doing. M