Streaming alliances top of mind | Real Time Headlines

Media and tech giants will gather in the Valley of the Sun this week to lay the groundwork for the future of streaming and potential alliances.

Allen & Co.’s annual conference, often referred to as “Billionaire Summer Camp,” kicked off Tuesday at a ski lodge in Idaho. The conference, which has been held since 1983, has been the home of big media deals and a venue for industry leaders to discuss the future of business and the economy as a whole.

Sun Valley invitation list It is said Including traditional media leaders e.g. Warner Bros. Discovery David Zaslav; disney Bob Iger and his potential successors Dana Walden, Alan Bergman, Josh Damaro, and Hugh Johnston; also Netflix Co-CEOs Ted Sarandos and Greg Peters; and tech giants like Amazon’s Andy Jassy and Jeff Bezos; and apple CEO Tim Cook. While these heavyweights are regular attendees at the conference, it’s not certain they will be in attendance this year.

Shari Redstone is a regular and also on the guest list. She will attend the meeting behind her controlling shareholder National Amusements. Paramount Worldwideagree merge The media company followed months of negotiations with Skydance.

Discussions of the dramatic trading process may circulate in the conversation. But more importantly, Sun Valley could also be a key location in moving trade discussions forward. The Skydance agreement includes a 45-day “go-shop” clause, meaning potential bidders still have time to make an offer.

More broadly, the Paramount deal will be the backdrop for a broader discussion about the streaming business and how to make it profitable. Over the past few years, media companies have tried to outdo each other in the race for high subscriber numbers. But this time the focus will be on how to pull together the tricky business of streaming.

“There’s no question that the really important topic here is how these companies can make global TV streaming work for everyone,” said Neil Begley, an analyst at Moody’s Investors Service. “Either use bundled services more aggressively or Form a joint venture, or merge.”

Media mogul Barry Diller – who also created running In acquiring Paramount – there was explain The industry needs to stop chasing Netflix and instead focus on the broadcast and pay TV businesses that can still be profitable.

Paramount Futures ownership executives said during an investor call on Monday that the company plans to explore partnerships or bundles with other streaming players. Former NBCUniversal CEO Jeff Shell, who is set to become Paramount’s next president, said on Monday that he believes bundles and joint ventures are the future of the streaming business.

According to CNBC, Paramount’s current leadership has also been actively discussing with other media and technology companies about merging Paramount+ with another streaming platform report.

“My personal view is that the streaming world will end up being very similar to the (pay TV) world of the past,” Shell said on a conference call Monday, adding that the investor consortium that is acquiring Paramount has received input on the potential of interest in phone streaming partnerships.

Shell believes it will eventually provide consumers with a “one-stop shop” for all streaming apps. “If you’re in that bundle, you’re going to win. If you’re not in that bundle, you’re really in trouble,” he said.

Mergers or joint ventures are one approach. Bundling services together is a second way, and some media companies are already taking action in this regard.

While Disney bundles its own streaming services — Disney+, Hulu and ESPN+ — it also partners with other companies.

Disney and Warner Bros. Discovery Channel plan to launch a hybrid Max, Disney+ and Hulu bundle this summer. Two companies also joined Fox Corporation provide a Sports streaming services It’s expected to launch in the fall.

Jonathan Miller, CEO of Integrated Media, which specializes in digital media investments, said: “There will be real alliances and it is necessary because media is in a desperate state right now and no traditional company can do it alone. “They all realize this. A little, and had taken enough of a beating by now. “

Broadly speaking, the idea is to let users come in and watch their shows and movies, even at a discounted price. Begley said Sun Valley should have some discussions around increasing premium streaming prices and pushing consumers to choose ad-supported options to maximize ad revenue.

“I think Sun Valley is going to be more about ‘What do we do?’ All these diverse media companies once had deep pockets and controlled Hollywood, but now they’re not the kings they once were,” said Salomon Partners, media and entertainment investment banking Supervisor Mark Boidman said.

Current NBA rights holder Warner Bros. Discovery has been considering whether to match competing offers for media rights as the league seeks to finalize smaller package deals. The league is close to signing deals with Disney, NBCUniversal and Amazon, CNBC previously reported report.

“The other big theme (in Sun Valley) is how deep we are in sports,” Miller said. “It’s clear that the NBA is the last deal like this for legacy players. Eight to 10 years from now, they won’t be able to compete.”

Sports remains the glue that binds traditional pay TV together and is proving invaluable to streaming services as well. Live television, especially sporting events and to some extent news, attracts the highest ratings.

“Since there haven’t been more sports rights for quite some time, it’s likely that Amazon and Netflix will play a bigger role the next time those rights come around,” Begley said. There is still a long way to go before monetizing streaming media; when it comes to sports rights, we may see the end of traditional media dominance.”

In recent days, the party’s top donor call Call for Biden to step down.

Growing opposition and donors include media heavyweights For example Diller, Endeavor Group HoldingsAri Emanuel, Netflix co-founder Reed Hastings and screenwriter Damon Lindelof have all said they think Biden should step aside and let a new candidate take his place. Jeffrey Katzenberg, former chairman of Disney Studios Reportedly silent On whether his long-standing support for Biden has changed.

Meanwhile, Disney heiress Abigail Disney says she will Withhold funding from Democrats Until Biden quits.

President defend on his mental health in a recent interview and has repeatedly stated that he has No plans to drop out election.

Revealed: Comcast-owned NBCUniversal is the parent company of CNBC.

Correction: This article has been updated to correct that former Disney Studios chairman Jeffrey Katzenberg has been Reportedly silent On whether his long-standing support for President Joe Biden has shifted. An earlier version misstated Katzenberg’s position.