January 9, 2019
LAS VEGAS — For Viacom, content truly is king, according to CEO Bob Bakish, who is forging a “culture of content” at the company.
“I continue to believe there’s a lot of value in assets that we already own,” he said Jan. 9 during the Variety Entertainment Summit at the CES show in Las Vegas.
While the Walt Disney Co., with its Fox merger and pending SVOD service, and WarnerMedia, through the AT&T merger and its own pending streaming service, are leveraging consolidation for greater distribution clout in the fragmented market, big deals aren’t necessarily the best path, he said.
“Vertical integration is very much in vogue,” but historically it “doesn’t tend to work,” Bakish said.
“Bigger is not always better,” he said.
In fact, rather than bulking up to compete with online services, he pointed out Viacom produces shows for Netflix, Amazon and Facebook. For instance, the show “Jack Ryan” is on Amazon. The company launched Viacom Digital Studios to produce social media friendly content for outlets such as Facebook.
“Viacom doesn’t really require a transformational deal,” he said. Instead, the company is doing what he calls “accelerant deals,” such as recent pacts to acquire VidCon, which celebrates online video creators, and Awesomeness TV, which produced To All the Boys I’ve Loved Before released on Netflix.
The goal is “unlocking opportunity through truly multi-platform distribution,” whether it be AVOD, SVOD, legacy platforms or other models, he said.
“Relative to some of our peers, we’re further along in this transition,” he said.
One of the new technologies he is enthused about is the coming 5G mobile delivery standard.
“Mobile distribution is what will turn this [content monetization] decline on its head,” Bakish said.
5G and the move to 10G for traditional TV distribution will both expand the pipelines for content, he noted.
He’s also intrigued by self-driving cars, which will open up more free time for consumers to view entertainment.
Content owners cannot “crawl into the ivory tower” and hope the future will go away, he said.
“You can look at this transformation as glass have full or half empty. I’m half full,” he said.