Xbox Takes On Cable, Streaming TV Shows and Movies
Executives at Microsoft are fond of saying that its subscription gaming service, Xbox Live, should be thought of as a cable channel.
They want Xbox to be seen not merely as a gaming machine for teenagers, but as a media portal for parents and grandparents, too. The company is even producing shows for users: it is in the middle of the second season of "1 vs. 100," an interactive version of a game show that was on NBC.
The content ambitions do not end there. Microsoft has held in-depth talks with the Walt Disney Company about a programming deal with ESPN, according to people close to the talks, who requested anonymity because the talks were intended to be private.
For a per-subscriber fee, ESPN could provide live streams of sporting events, similar to the ones available through ESPN 360, a service that is available from some high-speed Internet providers. Microsoft could also create some interactive games in association with ESPN, the people said. One of the people said the deal was not imminent. The companies declined to comment.
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Agency Combines Clients' Stocks for a Mini-Mutual Fund
Forget about the Standard & Poor's 500-stock index or the Dow Jones industrial average. The latest gauge of Wall Street performance - at least on Madison Avenue - is the K.B.S.& P. Client Stock Index.
K.B.S. & who? K.B.S.& P. is short for Kirshenbaum Bond Senecal & Partners in New York, part of MDC Partners. It is only coincidental that the S.& P. in the abbreviation echoes the shorthand term for Standard & Poor's.
The index, scheduled to be introduced on Tuesday, is intended to track the performance in the stock market of shares of companies that are publicly traded and clients of the agency. Eighteen of its more than 30 clients have stock that is traded on exchanges, among them BMW, Cablevision, Capital One Financial, Diageo, Kao Brands, TJX and Weight Watchers.
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Time to Acquire StyleFeeder
Deal is Latest Among Media Firms Tapping Into E-Commerce
Time Inc. is acquiring StyleFeeder, an online service that offers personalized shopping recommendations, as the Time Warner Inc. magazine group tries to ease a sharp decline in advertising revenue with a largely untapped revenue stream: e-commerce.
Publications are scrambling for new ways to make money online and in print, prompting some companies to consider charging readers for access to Web sites and to raise subscription prices. Other companies are pushing into selling products, whether it's The Wall Street Journal, owned by News Corp., and Gannett Co.'s USA Today selling wine or fashion or beauty magazines moving from writing about trends in handbags and lipsticks to selling the products themselves.
"Advertising will always be our core, and our primary revenue stream online, but that growth is slowing," said Fran Hauser, who oversees digital strategy for a group of Time Inc. magazines including People, InStyle and Entertainment Weekly. "Our editors are generating significant consumer demand for products in the retail market. And what StyleFeeder allows us to do is share in that value creation."
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At CBS Television City, Tube-Watching Is a Science
Las Vegas Facility Is Being Used to Examine How Viewers Experience and React to Programming
How do you get to Television City? Yes, there really is such a place. But carving a path there has nothing to do with your ability to write a script, or the number of lines from "Mannix" or "One Day at a Time" you can quote from memory.
All you need to do is walk through the casinos and alongside the shops of Las Vegas' MGM Grand Hotel, past a high-end margarita stand and a luxury eyeglass store, and stroll along a corridor that's lit by colorful logos for MTV, Nickelodeon and the CW. If you're there at the right moment, you might take part in a focus group or survey that lets CBS -- or a marketer, ad agency, content player or technology concern -- learn how you react to content and advertising.
The network's Television City is a series of meeting rooms and test centers housed in the hotel that is mainly used to suss out how average viewers feel about programs slated to air on CBS. And it seems fun -- in Vegas, the place is touted as a tourist attraction, and travelers are told they can stop by and take part in screenings, and even sign up as longer-term respondents or win the occasional prize.
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YouTube to Introduce Live Sports Coverage
Google is poised to become a powerhouse in live sports broadcasting after securing the rights to stream cricket's most lucrative annual tournament to a global audience online.
The brand's video-sharing website, YouTube, will show 60 matches from the Indian Premier League (IPL), which starts in March and will feature stars such as England players Graeme Swann and Jonathan Trott.
YouTube wants to sign a global sponsor and multiple local backers as part of its strategy to make money from the coverage.
While BT is set to rival Sky by offering cut-price TV subscriptions to Premier League football and Ashes cricket, Google has, until now, remained dormant in the live-sports arena.
However, YouTube has been buoyed by the interest in a U2 concert it streamed live in October 2009, which attracted 10m viewers. Should the cricket broadcasts succeed, further deals are likely to follow.
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MEDIAWEEK: Google TV Gets Static
By almost any measure, Google is an extraordinary success-except when it comes to traditional media.
After launching ambitious plays to digitize the radio and print businesses in recent years, the search giant eventually bailed on them. Now, several media executives are wondering about the company's long-term commitment to its fledgling Google TV business. "I think 2010 is a make-or-break year for Google TV," said Tracey Scheppach, senior vp/director of video innovation for SMG. "A lot of people are wondering what role it will ultimately play for Google-big, small or not at all."
Scheppach and other media buyers said that while Google TV has always carried tremendous potential, it has seemingly failed to gain traction over the past several years, leading some to question its business model. Essentially, Google sells TV avails using data from set top boxes deployed by its partner Dish Network, as well as data from TiVo and Nielsen's Claritas. It claims to offer advertisers better targeting and down-to-the-second viewership data.
Mike Steib, Google's director, emerging platforms and TV ads, said that the company plans to remain in the TV business for the long haul. "We are endeavoring to solve big problems," said Steib. "We are getting inventory that is undervalued and making it more valuable to the owner and the buyer. Google has the stomach for this…if we're not adding value, they'd pull the plug."
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