Warner CEO Jeff Bewkes continues to backtrack on earlier statements criticizing Netflix and its business model.
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In just a few short months, Bewkes has gone from dismissing Netflix to saying that it “has a role” in the marketplace, to now calling it a friend.
In his keynote address at the UBS Global Media conference, Bewkes admitted that he had been outspoken in his earlier statements regarding “all you can eat” streaming services and their alleged devaluation of content. Bewkes then declared his studio and Netflix to be downright chummy:
“Netflix is our friend. We’re partners. We sell them programming,”
Bewkes went on to define the role, in his opinion of streamers such as Netflix. He believes that as long as streamers are willing to pay “a lot of money” they should be allowed to offer current TV and movie content.
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Otherwise, streamers are best suited to monetize programming that has been around for a while and already been run through the higher priced distribution windows, according to Bewkes.
It will be interesting to see if Bewkes stays on this new buddy-buddy path with Netflix, or if he returns to his old ways should the relationship not proceed to his liking. Any guesses if Bewkes will still be calling Netflix Warner’s friend a year from now?
(via Home Media Magazine)
At least he demonstrated understanding of the forces at work here.
Since the advent of recording technology (beyond writing and the printing press, or–come to think of it–perhaps including them), good, interesting works have begun piling up, some of which retain their universality and are relatively timeless in appeal; and these works, despite the shameful extension of copyright terms bought from Congress by heavy lobbying and favors, ultimately enter the public domain and can be streamed without payment to authors or copyright assignees, despite the nonapplication of the first-sale exemption to streaming, which must be negotiated or in some cases paid for at statutory rates. Not to mention the bargain licenses that owners of oldie but goodie content are willing to sell because they are not making new stuff and are not controlled by those who are.
Against this is the increasingly difficult fight of new content authors, owners, and distributors to get you to be the first one on your block to see a new movie, etc., to the extent you’ll pay an historically higher price for the privilege. Not to mention the “sharing” that new technology (CD-RW, DVD-RW, and nonvolatile RAM) has enabled to escape the legislated efforts to control and get paid something for the home copying (remember DAT royalties?).
What Jim Morrison said while in film school, that every signficant piece in the history of that art could be viewed in a lifetime, is no longer true; and older customers are not so prone to chase the latest hip thang, but rather appreciate catching up on the many interesting works they missed while working and raising spoiled brats.
Given the backlog, and independently owned and operated pipelines, I can’t see content makers in the driver’s seat in the long run.