So you would think, since I'm on the Disney board and pretty much run the place, and because I'm the most powerful figure in technology and entertainment, a colossus bestride the narrow worlds of Silicon Valley and Hollywood -- you'd think, given all this, that Disney would back me on this fight with NBC. Unfortunately, over the weekend, a low level of grumbling and drum beating inside the Mouse House managed to make its way to the board level, and some of these frigtards actually made me fly down there and address their "concerns" and discuss the merits of bundling and raising prices and whether it's really in Disney's best interest to have someone on their board (me) who is also such an important business partner and isn't there a conflict of interest here and how do we know Jobso is doing what's best for Disney and how can he be negotiating with Disney by day and then making decisions for Disney by night, blah blah mwah mwah.
In other words, screw you, Jobso, we want to bundle our crap with our good stuff and raise our prices too.
In other words, Jobso, we know you're on the board, but the fact is, we've got more in common with NBC than we do with Apple.
First, let me say please check out the frigtards who make up the Disney board of directors. Chairman is a guy whose background is P&G. Then, in alphabetical order, we have Susan Arnold, another P&G robot, and John Bryson, who runs a power utility. John Chen runs Sybase, a software company that died 10 years ago but nobody has the heart to tell Chen. Judy Estrin from Cisco, no comment except to say that her nickname in the Valley is Judy Estrogen. Bob Iger, an ABC lifer. Fred Langhammer runs a cosmetics company. Aylwin Lewis runs Sears and, um, again no comment because I can't possibly imagine any other reason why he's on the board at Disney, honestly I can't. Monica Lozano's big claim to fame is that she speaks near-fluent Spanish. Robert Matschullat is a banker who worked for a booze company. Orin Smith worked at Deloitte and then Starbucks.
These are the people who are going to guide Disney into the digital era? Come on. It's a bunch of old white dudes with a few non-OWDs thrown in for window dressing. I mean, seriously, the word old doesn't begin to describe this room. Jesus. First time I walked into the board room I thought it was a reunion of the extras from "Love Boat." Half of these people wear Depends. No, I'm not going to tell you which ones. But trust me, we keep the meetings short.
I stood there yesterday looking at these stuffed shirts and then thinking about that crowd of teenagers I was watching in Glasgow earlier in the week (I go to all the store openings, in disguise) and I could not imagine two groups of people who could be less able to understand one another. I had this amazing epiphany. I mean these people running networks have just sat up there in their board rooms and conference rooms and private jets for so long that they've become completely untethered. They have no idea about how kids today want to consume media. Let me correct that. The issue is not how kids want to consume media, but how they are demanding media should be delivered.
So what happened at Disney yesterday? Basically I kept it short. I re-hypnotized those frigtards and told them they should not even think about bailing on Apple or trying to renegotiate their terms. They agreed. Then we had a nice lunch brought in and everyone said what a wonderful summer we're having and how awful this heat wave is and man oh man this global warning thing is just going to chew us all up if we're not careful.
Monday, September 03, 2007
Disney, don't even think about it
Posted by
Steve
at
4:29 AM
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23 comments:
Jesus, what a boring rant.
a witless statement...
D'oh! watch him slap his head!
it's Homer Simpson
---
As Old Model dies
Jobs nurtures a seed of hope
Grow strong New Model!
Where did half of this post go?
Amen to that...!
Not a boring rant at all - a true analysis of the industry. I can't understand why the big networks don't see what's going on and embrace it. The first one to do so would make a killing. Maybe that's what NBC thinks they're doing by abandoning iTMS and setting up hulu.com but I doubt it...
Todays NY Times has a big atricle about Rick Rubin at Columbia / Sony. He doesn't get it either. He's talking about using Walkmans to listen to Simon & Garfunkel as an example of the *future* direction of the music industry..! Excuse me..??!! HIs conclusion seems to be that the music distributors will get together and form a cartel of their own and make a subscription model the only method of distribution. The day that happens will be the day I stop buying commercial music and start going directly to unsigned band's web sites and getting my music direct from the content producer. Maybe the same will happen with TV too. I'd love to be able to chose from a worldwide list of content and pay a la carte for what I wanted to watch, rather than wait for my TiVo to scour a week's worth of content on 200 channels to find a few hours of things I'm interested in...
Hey Steve, how do directors get their posts? Oh yeah, shareholders vote for them.
And who is the largest Disney shareholder? Oh yeah, its you.
So these aren't anybody's old white men, these are YOUR old white men.
Did you miss that fact because, let's face it, YOU'RE an old white man?
Almost brought tears to my eyes that was so insightful.
tell them to remember, you're steve jobs. you invented the ipod. have they heard of it?
Let's face this is 'The Colbert Report' for the tech community. Infotainment as a high art. Some stuff works some doesn't in that FSJ in-your-face style. I agree this one was a tad slow but the insight was right on.
Great rant. Jobso and Rick Rubin at Colmbia: the only two who understand the new paradigm.
Steve, why is your Director's portrait 10 years old whilst the others have a freaky blue Disney glow around them? Did they all spring from the pen of a cutesy animator whereas you come to us from another world?
Fascinated me. It was better as one long stream of consciousness riff on the dying industry of network tv and the frigtard untethered boreds that run it.
You INVENTED THE FRIGGIN IPHONE, Mac, Ipod Imac . HAVE Disney HEARD OF IT?
It is pretty unbelievable the (lack of) entertainment industry experience on the Board...
Steve, no! Put the boring rant stuff back, it's just not complete without it. Don't let those bastards from NBC posing as "Anonymous" get you down.
Well said Jobso. Stick to your guns on the pricing, obviously apple's pricing is what consumers want - pay for what we want, forget the crap.
But why do you need the networks? Because they connect the shows to the advertisers, and let's face it, you can't even pay Evangeline Lilly's salary if your only revenue is $1.99 per episode of Lost. TV shows are funded by advertisers, the networks make it happen. Yes, the 30-second spot is going the way of the dinosaur, but somebody needs to come up with another advertising model, or TV budgets are going waaay down. iTunes doesn't do anything about that - the networks are starting to, albeit slowly.
This is why iTunes TV is sure to be a more difficult road than iTunes music - most good bands can record their own music with a few thousand bucks worth of equipment, often a lot less. So if they can sell directly to the consumer through iTunes, everybody wins except the record companies.
Music works without advertisers. TV doesn't, it just costs too much. And iTunes isn't offering much help in that alley.
Steve,
Why does the Disney Corporate page have a photo of you when you were 12 as your director's picture?
http://corporate.disney.go.com/corporate/bios/steve_jobs.html
Weird.
Mike Hunt
hilarious...
thankfully, some jokes just refuse to die
Hell Jobso, you took over Apple without so much as a job there or a share of stock! How hard can it be to clean house at Disney when you're the biggest shareholder and a board member?
The heavies at Disney? Just look at that train wreck of a horror show Michael Eisner has on CNBC. The most boring and pointless show ever put on television. Even the commercials for it make you want to commit suicide. And this guy ran Disney for 20 years.
What I don't understand is why Apple hasn't pulled the trigger on the ability to disable ff/rew in iTunes. Last year a QT demo showed this feature (turned on by content producer). Basically, iembedded commercial cannot be skipped. The networks could put shows on iTunes with commercials for free or without for cost and both would contribute revenue . BTW, FSJ, I just killed my DirecTv account after so many nasty DTV HR-20 DVR problems and got a Maglia HD Mini for my Mac Mini. Now I have a DVR that works, half my viewing comes from free podcasts and I can put all of it on my iPhone (be portable media viewer ever).
Preach it brother.
Nice as "Fake Steve Jobs", that you are willing to tell it as it is, on this content cartel of the last 30 years or so. As you say, the old way of doing things is over.
At some point, wouldn't it be better for artists to just cut their own deals with Apple? ITunes as promoter?
The DANGER to that, of course, is that then the "apple promotions" department, becomes one of those despised producers.
I think the way around that, might be to leverage a Google AdWords type system, whereby, like Google, Apple stays neutral in the promotion network - no favoritism - but for all associated artists that use the promotion system built into ITMS, and Apple gets kickback as the provider of the ad system.
Either that, or do some deal with Google around a content ad and promotion system. Otherwise MySpace is going to become the promoter of choice (and face facts, right now, MySpace is a much better friend to the music artist), and then a**hole Rupert Murdoch will start squeezing. And he's a guy not averse to cutting any competitor off at the knees.
"Why does the Disney Corporate page have a photo of you when you were 12 as your director's picture?"
Even worse, why does it still say "Apple Computer, Inc."? Couldn't you send one of the interns from Cupertino down to straighten out Disney's PR?
@anonymous 6:17AM: I have a relative who works for one of the satellite TV companies, and Congress has tried to push a la carte cable and satellite through more than once. The TV companies keep banding together, fighting that and winning, but some government members have as much as said that they will not vote against a la carte TV programming again.
So...it will get pushed through, eventually. The conversation is about revolutionizing content distribution. A la carte will change the entire playing field, which is why the TV companies are fighting so hard against it.
>> Hey Steve, how do directors get their posts? Oh yeah, shareholders vote for them.
Shhhh. FSJ is just trying to cover for his plant. Iger is a lifer but on good authority he owns an iPod. Not only does he own one but he doesn't even need his grandaughter to operate it for him!
You see, El Jobso got Iger his job as CEO by getting Eisner turfed. And literally the first phonecall Iger made as CEO? That's right, a call directly to the JobsPod. And that was BEFORE El Jobso owned 7% of Disney. How did FSJ do it? He used Pixar as a bigass club. Disney wanted to distribute Pixar films because they are money in the bank. El Jobso told Disney that Eisner was a prick that he just wasn't going to deal with and to SIOOMA. The board freaked and Eisner got booted to the curb faster than you can say "Donald, Daisy, and Pluto in a ménage à trois". Iger got Eisner's job and the axe fell quickly on many, many Eisner suits throughout the Disney.
Then in record time (literally days) Pixar came back AND Dinsey signed up ABC shows for iTS. The later was brilliant because ABC acted as an audience plant to get NBC (being incapable of forming their own ideas for this digital techie thing) to sign up for iTS too.
Then Jobs wrangles a deal to sell Pixar (which Jobs owned slightly over 50% of) to Disney for 7.4 Billion. Jobs becomes the largest single shareholder at Disney (at about 7% right now IIRC). Afterall the Disney board didn't want the chance of getting held hostage again by Pixar. But Jobs also had other strings attached to the deal. A brain transplant. A huge swath of Disney execs got shoved out to make room the people that were now to run the show, the Pixar execs (AKA FSJ's people). Though FSJ pretends he isn't in charge there, and he isn't the face of the operation, when has FSJ ever been content to be second to someone? Yeah, that's right. NEVER!
P.S. Back at the turn of the century Disney was in the top 50 companies on market capitalizations. Apple wasn't even in the top 100. Hell I'm not even sure where it was because nobody even really cared. But now Apple is valuved at nearly double that of Disney. The next time Jobs buys Disney it won't be confusing like when Pixar took over Disney. He'll march right up to the gates of Dinseyland and they'll throw themselves back to let their new master enter. Because they'll know when so few already do, that Steve Jobs in the true heir to Walt Disney's Crown of Childlike Wonderment.
He'll have done it with a duel prong attack coming from both ends of the value chain. First Pixar and then Apple.
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