WEBVTT - Howard Stringer Talks Trump's Threats to BBC

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<v Speaker 1>Bloomberg Audio Studios, Podcasts, radio News. I need to set

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<v Speaker 1>this up for our American audience. Sir Howard Stringer is

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<v Speaker 1>from the low side of Wales called Cardiff. David Blanchflow

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<v Speaker 1>of Dartmouth is from Cardiff as well, and he had

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<v Speaker 1>the most interesting, interesting start to his career. You know

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<v Speaker 1>him of course from Sony. You know him perhaps from CBS.

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<v Speaker 1>Paul Sweni and I can do a three hour discussion.

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<v Speaker 1>We're stringing. He's seventy nine and holding you know, Paul,

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<v Speaker 1>Just so you sure understand. Sir Howard Stringer joins us

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<v Speaker 1>this morning here but specifically on the BBC and what

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<v Speaker 1>it means for his United Kingdom. Sir Howard Stringer, thank

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<v Speaker 1>you so much for joining Bloomberg this morning.

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<v Speaker 2>My pleasure.

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<v Speaker 1>I look, Sir Howard, at the debacle of the BBC

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<v Speaker 1>and let me just get out of the way. The

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<v Speaker 1>arch question may be alluded to by the former Prime

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<v Speaker 1>Minister Johnson, Well, should the BBC leave as a publicly

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<v Speaker 1>funded effort and join private enterprise?

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<v Speaker 3>I would say not. I would say the brilliance of

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<v Speaker 3>the BBC. It was designed as an institution that would

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<v Speaker 3>be fairer and offer truth and fairness to a British

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<v Speaker 3>audience and subsequently to a worldwide audience with a worldwide

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<v Speaker 3>news network, and in many ways American television was built

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<v Speaker 3>on that standard. And so giving that trust up, giving

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<v Speaker 3>that opportunity up, I think would be a mistake.

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<v Speaker 1>How do they restructure emotionally? How do they recapture the

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<v Speaker 1>minds of the United Kingdom to say you can trust us.

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<v Speaker 1>It's been shattered with its debate with the president, the

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<v Speaker 1>President Trump folks suggesting you will sue the BBC for

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<v Speaker 1>many billions of dollars. Howard Stringer, what is the first

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<v Speaker 1>step to rekindle a new trust with the British.

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<v Speaker 3>Well, I think with all great institutions, leadership is critical,

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<v Speaker 3>and presumably there will be discussions about who runs the

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<v Speaker 3>BBC now very quickly and how the board is constructed,

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<v Speaker 3>and lessons will be learned. I think that's been true

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<v Speaker 3>across the board. When I was at CBS News we

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<v Speaker 3>were under attack by the government. I had conversations in

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<v Speaker 3>a lawsuit with General Westmerland, and before that, I had

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<v Speaker 3>conversations with Presidents Nixon and Reagan that news divisions. News

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<v Speaker 3>division is only a part of the BBC, but news

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<v Speaker 3>divisions are always the threat to politicians, and politicians tend

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<v Speaker 3>to dislike you if you suggest they're wrong. BBC has

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<v Speaker 3>always been had a reputation for fanness. Now it's under

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<v Speaker 3>attack now and I think I think lessons will be

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<v Speaker 3>loned regardless of what we feel about it. But the

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<v Speaker 3>BBC is very important to global democracy and I think

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<v Speaker 3>President Trump knows that.

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<v Speaker 1>Howard Stringer with this, Sir Howard Stringer, folks this morning

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<v Speaker 1>here with all of his work with Sony and CBS

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<v Speaker 1>News over the years, we welcome all of you in

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<v Speaker 1>particularly the United Kingdom this morning with the uproar over

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<v Speaker 1>the bb C. Paul Sweeney with Sir.

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<v Speaker 4>Howard Howard, how does the BBC? How is it positioned

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<v Speaker 4>in the UK today in the media overall media landscape?

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<v Speaker 4>Maybe how has that changed over time?

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<v Speaker 2>Well? I think.

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<v Speaker 3>I think it's misunderstood or dimly perceived in the in

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<v Speaker 3>the US. After all, I spent most of my life

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<v Speaker 3>in a matter, I worked thirty years at CBS. But

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<v Speaker 3>today the BBC still has the top rated entertainment broadcasts

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<v Speaker 3>in a way that would be CBS today would be proud,

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<v Speaker 3>or NBC would be proud. I mean before Christmas, the

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<v Speaker 3>top ten programs on television at England were BBC programs.

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<v Speaker 3>But this story is about news. News is always the

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<v Speaker 3>catalyst for politicians who disagree with opinions that they perceive

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<v Speaker 3>to be either unfair or inappropriate. That was true when

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<v Speaker 3>I was at CBS, and it's true it's true in

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<v Speaker 3>England today. So it's a it's a lesson for both sides.

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<v Speaker 3>If you're going to deal with presidents and deal with issues,

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<v Speaker 3>you have got to be fair and you've got to

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<v Speaker 3>have the audience believe in the in the institutions you represent.

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<v Speaker 3>And for many years, the BBC was a byword for

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<v Speaker 3>trust and fairness around the world worldwide news. The BBC

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<v Speaker 3>operation is the most trusted globally, and I've had people

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<v Speaker 3>call me many times in the last few weeks of saying,

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<v Speaker 3>protect us because we watched the BBC, because nothing else

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<v Speaker 3>works for us in wherever country they're calling from. So

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<v Speaker 3>the President of the United States observed a moment that

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<v Speaker 3>is a challenge to the BBC News operation, which I

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<v Speaker 3>think they understand and accept, and apologies should maybe have

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<v Speaker 3>been offered earlier. But I think the BBC knows what

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<v Speaker 3>its responsibilities are.

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<v Speaker 4>Howard, do you believe that the damages being sought by

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<v Speaker 4>President Trump are reasonable or how do you think about

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<v Speaker 4>that side?

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<v Speaker 3>I think it's reasonable. But I also think that the

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<v Speaker 3>President Trump knows Britain very well. I knew him person

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<v Speaker 3>and he was very generous to me. And suing the

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<v Speaker 3>BBC is sending a message that be fair, be true

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<v Speaker 3>to yourself. Whether or not England will play a billion dollars,

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<v Speaker 3>I don't. I doubt that they will, and I doubt

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<v Speaker 3>that President Trump really wants that. I think he wants

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<v Speaker 3>the BBC in a funny kind of a way to behave.

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<v Speaker 1>We welcome all of you worldwide on YouTube, our new

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<v Speaker 1>digital distribution, and of course on radio from our various

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<v Speaker 1>sources ninety nine one FM in Washington, ninety two nine

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<v Speaker 1>FM in Boston, Ploomberg eleven three or New York. Sir

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<v Speaker 1>Howard Stringer with us this morning. With his decades of work.

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<v Speaker 1>You hear heard him speak of General Wes Moreland. There

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<v Speaker 1>what takes us a star back? Just to give you

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<v Speaker 1>a little vignette, Sir Howard Stringer at a very young

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<v Speaker 1>age answering telephones backstage for the Ed Sullivan Show. This

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<v Speaker 1>goes back a few decades, Sir Howard, let me ask

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<v Speaker 1>a delicate question of the United Kingdom. The present beliaguered

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<v Speaker 1>and resigned leader of the BBC is perceived as a

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<v Speaker 1>marketing guy. You were in the New York Times talking

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<v Speaker 1>about this. How does the BBC get back to the

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<v Speaker 1>intensity you're speaking about? Do they have to find a

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<v Speaker 1>world class journalist to drive forward?

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<v Speaker 2>Well?

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<v Speaker 3>I think that the mistakes that were made, which have

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<v Speaker 3>been accumulative presented accumulatively, gives a mistaken impression that there's

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<v Speaker 3>something institutionally wrong with the BBC news. These were mistakes

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<v Speaker 3>that have now been acknowledged and should have been acknowledged earlier.

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<v Speaker 3>But I don't think there's anything about the BBC that

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<v Speaker 3>should be suspect. I think the BBC, like Britain, is

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<v Speaker 3>an astonishing ally of the United States, that an important one,

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<v Speaker 3>and I think the President of the United States know that.

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<v Speaker 3>In my dealings with him, I think he knew it,

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<v Speaker 3>and he was always fair and generous. I think he's

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<v Speaker 3>fired a shot across the brows of the BBC. They

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<v Speaker 3>will pay attention. They are made changes and that will

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<v Speaker 3>be good. But the BBC is an important global institution

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<v Speaker 3>and I don't believe he's not breaking up great institutions

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<v Speaker 3>during a crisis.

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<v Speaker 1>Look sir, just one final question if we could in

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<v Speaker 1>the BBC, and we must turn to so much going

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<v Speaker 1>on in Paul Sweeney's world in New York is well

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<v Speaker 1>in talking to our Eric Larsen off our desk on

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<v Speaker 1>Queen Victoria's Street and looking at the litigation here as well,

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<v Speaker 1>how will that play out in the United Kingdom and

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<v Speaker 1>form our American audience of how a lawsuit in London

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<v Speaker 1>is different than a lawsuit wherever in the United States.

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<v Speaker 2>I'm not sure I really understand that question.

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<v Speaker 1>Well, I mean, the litigation is going to be in

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<v Speaker 1>the United Kingdom, how is it different there? If the

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<v Speaker 1>President sues the BBC, then it would be here.

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<v Speaker 2>Well, I was sued in America, as you remember, over

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<v Speaker 2>the General westbl I think, and it went on for years.

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<v Speaker 3>And I don't think. I don't think President Trump will

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<v Speaker 3>keep at this. I think he is much bigger fish

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<v Speaker 3>to fry. I think he has made sent a very

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<v Speaker 3>important message. I think the BBC will respond accordingly, and

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<v Speaker 3>I hope he doesn't expect the British public to pay

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<v Speaker 3>that kind of money. I think his generosity will will

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<v Speaker 3>save the day.

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<v Speaker 1>Sir heartstringer with a sok thrilled to have them with

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<v Speaker 1>us this morning. Let me migrate, Sir Howard to the

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<v Speaker 1>United States and ask a question that so many will

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<v Speaker 1>resonate with so much of our listeners and viewers. Could

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<v Speaker 1>Dan rather do the news today?

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<v Speaker 2>Does Dan rather?

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<v Speaker 1>What? Could he do the news today? Could Dan rather

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<v Speaker 1>grind out his leadership in news off the desk of

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<v Speaker 1>CBS as he did years ago? Could he do that

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<v Speaker 1>in this environment today?

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<v Speaker 2>Well, he can't do it now.

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<v Speaker 3>I mean he's he's still in good shape the last

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<v Speaker 3>time I spoke to him, and I spoke to him

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<v Speaker 3>quite recently. But no, I don't think he would want

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<v Speaker 3>to become an anchorman in his nineties, and I don't

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<v Speaker 3>want to become a director general in my eighties either.

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<v Speaker 3>But I think so much has changed in America, has

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<v Speaker 3>been fractionalized, and the networks aren't as strong as they

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<v Speaker 3>used to be. When I was running the evening news,

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<v Speaker 3>we had a twenty six share of the news compared

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<v Speaker 3>to ABC twenty and NBC twenty. That combined audience was

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<v Speaker 3>almost seventy percent of the national audience. That isn't possible

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<v Speaker 3>in the United States today because of the fractionalvisation and

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<v Speaker 3>the growth of competitive social media. So you know, another

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<v Speaker 3>Dan rather is likely to be unlikely. But I am

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<v Speaker 3>not watching from a distance all the current ankormen, and

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<v Speaker 3>I don't know who. I don't know anyone will ever

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<v Speaker 3>have the power of Walter and Down again or Tom

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<v Speaker 3>Broke or and Roger mud and so forth. It's just

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<v Speaker 3>the nature of the world. It's changing. But I think

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<v Speaker 3>retaining some of the values, and the values that the

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<v Speaker 3>most important are trust and honesty, and as long as

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<v Speaker 3>we abide by those, and the BBC resurrects itself its

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<v Speaker 3>reputation by concentrating on what it does best, we'll survive this,

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<v Speaker 3>just as CBS did survive.

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<v Speaker 4>General Westmorland, Sir Howard, from your years at Sony Corporation,

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<v Speaker 4>a major global media entertainment company, what do you make

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<v Speaker 4>of the lands now? So much has changed with Netflix

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<v Speaker 4>and streaming and so on and so forth. How do

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<v Speaker 4>you feel like some of these traditional large global media

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<v Speaker 4>companies like Sony, like the Walt Disney Company, like Warner Brothers.

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<v Speaker 4>How do you think that landscape shakes out here?

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<v Speaker 3>That's a billion dollar question. Unfortunately, it is a billion

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<v Speaker 3>dollar question. Money plays a much bigger role than it

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<v Speaker 3>used to. There were three networks and then Rupert Modoch

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<v Speaker 3>built up Fox, so there were four networks, and now

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<v Speaker 3>it's scattered and so forth, and people get what they want.

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<v Speaker 3>But I think keeping keeping solidarity and solidity at the

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<v Speaker 3>center of the core institutions, you will find an audience,

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<v Speaker 3>just as movies do. So I'm not prone to despair.

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<v Speaker 3>I keep myself amused today doing radio dramas, and I

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<v Speaker 3>still reach people in America and England, So I I

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<v Speaker 3>don't think there's plenty of good material. It's just not

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<v Speaker 3>as concentrated as it used to be. But you can't

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<v Speaker 3>look at the past. As somebody once said, the past

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<v Speaker 3>is a foreign country, and they did things differently there.

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<v Speaker 4>Sir Howard. So going forward here, I mean, it's interesting

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<v Speaker 4>the world's changed so much in terms of delivering content

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<v Speaker 4>to consumers. Consumers can now get anything they want, whenever

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<v Speaker 4>they want, wherever they want. Is this a better world

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<v Speaker 4>for consumers and content? Do you believe?

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<v Speaker 1>Well?

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<v Speaker 3>I think it's more complicated because so many choices are

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<v Speaker 3>a bit confusing, and so truth becomes a little more obscure.

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<v Speaker 3>As people listen to whoever they listened to yesterday, they

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<v Speaker 3>switched to somebody else today. So I think our customers

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<v Speaker 3>are maybe a bit confused. But we still have to

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<v Speaker 3>provide great content and people will find it, we'll watch it.

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<v Speaker 3>And I saw the other day a new movie about

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<v Speaker 3>Shakespeare as a young man and his and his family,

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<v Speaker 3>and I thought, well, there's a lot of talent in

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<v Speaker 3>America and it still will attract an audience. So breathe

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<v Speaker 3>a sigh of relief and keep on trying.

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<v Speaker 1>Sir Harard, thank you so much for joining Bloomberg this morning.

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<v Speaker 1>Sir Hard Stringer, of course, with all of his work

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<v Speaker 1>at Sony, I should note that he had a radio

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<v Speaker 1>broadcast earlier this year on the BBC called Central Intelligence,

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<v Speaker 1>which won many different awards in the United Kingdom.