NBC Universal Chairman Bob Wright tells B&C that this is the last chance for big media to move into an unguarded digital media world.
From Broadcasting & Cable:
“For a survey of the “state of the media” for the magazine’s Jan. 29 edition, Wright says that the media are generally strong, with some weakness in more narrowly-focused, ad-driven businesses.
But he says that “even the healthy are infected with a low-grade fever of confusion, which needs to be closely monitored and treated over the next few years.”
The confusion stems from the decline in revenues from traditional business lines coupled with uncertainty about the best strategy for replacing them with revenues from new, digital-based businesses with lower margins, principally the result of start-up and overhead costs,” he told B&C.
“This is the last business cycle in which a traditional media company can deliver good results without digital constituting 20-30% of its business,” says Wright. “Three years from now, success will require your traditional areas to be performing at the top of their games while at the same time deriving significant income – not just revenues – from digital media.”