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November 21, 2007

Bebo: A social media network becomes a distributor for other media platforms

Bebo, the global social network, opens its doors to media brands, deepening user engagement with popular entertainment. Launch partners include global media brands CBS, MTV Networks, BBC, Turner, ESPN, Yahoo!, Next New Networks, Crackle and more. Breakthrough business model offers powerful social distribution platform to media companies

Bebo's global launch partners include:

-- BBC -- BSkyB -- CBS -- Channel 4 -- Crackle -- Endemol -- ESPN -- FabChannel -- ITN -- JibJab -- Kontraband -- Last.fm -- Ministry of Sound -- MTV Networks -- Music Nation -- Next New Networks
-- Premium TV -- SumoTV -- Turner Broadcasting Systems -- Ustream -- VBS -- Yahoo!

Perhaps The great TV shows of the 21st Century will be made for the networked and connected generation (Gen-C) and The technological & social revolutions bring down the citadel of mass media economics?

The spectrum of social networking is evolving beyond utilities and applications. Bebo is a 'Social Media Network' where culture and content come together and people use media and entertainment as a means of self-expression.

Via PRWeb

Interestingly I was at MediaTech yesterday, where Doug Richard pointed out that the KateModern show on Bebo got 25 million viewers and cost £60,000 to make. Read more about our thoughts on Broadcast.

This is going to be a real headache for mainstream media.

Every period cycle has a Belle Epoque, and broadcasters certainly had theirs. That Belle Epoque began from the late 50’s with the TV establishing itself as the primary medium by viewers would access, news, and entertainment, and of course became the most efficient medium to capture eyeballs and deliver these to advertisers.

The introduction of ITV Britain’s first commercial terrestrial channel was according to Lord Thompson a ‘license to print money.’ ITV viewed itself as a casino, rule number one, the house always wins. And indeed the Morecombe and Wise Christmas Special circa 1975 had a record viewing audience of 29.5 million people all watching at the same time.

But the Belle Epoque is over. ITV lost £50m in advertising revenue in 2005 and broadcaster Channel 4 predict they will go into the red for the first time in 20 years, whilst UK Online advertising surpasses newspaper and radio advertising revenues in 2006. And google in the UK makes more profit than the three major terrestrial commercial broadcasters put together. Five leading media groups including ITV have seen their share price drop between –9 to –30 percentage points since January 2006.

In the US Internet advertising is increasing by 21% pa. Where does that money come from? TV budgets of course.

The change wrought by the digital revolution, impacts on every single piece of a broadcasters platform and business model. New revenue models and ways of operating need to be developed to accommodate the current state of the market.


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