Why Networks Are Finished

 

The confluence of two piece up in today’s blogosphere drives home the point of why conventional network television is deader than a doornail.

First, a fascinating blog on Empire Avenue.

Blogger Ric Williams went to CES and attended a presentation by YouTube VP Robert Kyncl. Some of the YouTube stats are just astonishing.

First, YouTube is now the second largest search engine in the world, after Google.

Second, by 2015 90% of Internet traffic is going to be video.

Third, YouTube streams 3 billions hours of video a month.  3 billion hours is 30 minutes for every man, woman and child on the planet.

Fourth, Michelle Phan, a cosmetics blogger on YouTube has more viewers on her videos, done at home, than The Style Network has viewers.  750K for Style. 1.5 Million for Michelle.

Put all this together and what do you have?

Clearly, the rise of online video is astonishing.  The growth rates are unlike anything anyone has ever experienced before.

3 billion hours of video a month!  In a month NBC broadcasts 750 hours of video.

I can’t even make a chart to make a comparison. NBC’s monthly output (and at what cost???) is represented by this dot  .

YouTube, the Island of Manhattan.

Or maybe the distance from NY to LA.

It’s not even worth talking about.

And Michelle Phan vs Style Channel.  If you were an advertiser, where would you rather place your ads – on Michelle’s video or buy slots on The Style Network.  You don’t even have to answer.  Loreal just signed Michelle.

And Styles advertising is linear. If you buy an ad slot at 3PM on Tuesday, that’s when it gets shown.  Michelle’s are non-linear. All the time, any time you want to see her stuff.

Finally, the cost.  Michelle works from home with a video camera. The Style Channel?  Not exactly.  And what Michelle can do for Style and makeup you can do for Travel or Food or Sports or just about anything else.

Oh, and one more thing.

Terry Heaton sent me a fascinating piece from Gawker this morning

Michael Rosenblum

For more than 30 years, Michael Rosenblum has been on the cutting edge of the digital video journalism revolution. During this time, he has lead a drive for video literacy, and the complete rethinking of how television is made and controlled. His work has included: The complete transitioning of The BBC's national network (UK) to a VJ-driven model, starting in 2002. The complete conversion of The Voice of America, the United State's Government's broadcasting agency, (and the largest broadcaster in the world), from short wave radio to television broadcasting and webcasting using the VJ paradigm (1998-present). The construction of NYT Television, a New York Times Company, and the largest producer of non-fiction television in the US. Rosenblum was both the founder and President of NYT TV, (all based on this paradigm (1996-1998). The President and Founder of Video News International, a global VJ-driven newsgathering company, with more than 100 journalists around the world. (1993-1996). Other clients include Spectrum News, Verizon and CBS News.

6 Comments
  • Ken Boff January 26, 2012

    I don’t want print/video/radio/etc. in the hands of a dozen people, but I also don’t want it int the hands of a billion people who can’t construct a coherent piece. What we get it a million hours per day of YouTube karaoke, videographer wannabes who think they can shoot video with an iPhone 4s that they are as good as the pros. They’re not.

    • Michael Rosenblum January 27, 2012

      Hey Ken. I hear you. But in the world of print we have billions of people with their hands on pencils or word processors. Most of what they make is also junk. Over 500 years of dealing with the democratization of print we have developed filters and publishing mechanisms. Now video has to do the same. There’s a ton of talent out there in people’s living rooms and kitchens. It’s just buried under a hundred thousand tons of crap.

  • steve January 26, 2012

    i look forward to your critique of arianna’s web channel launch next week.

  • Eric B January 25, 2012

    “YouTube is now the second largest search engine in the world, after Google….”

    Ah, Google owns Youtube.
    Which in itself magnifies an already huge image of the future.

  • Ken Boff January 25, 2012

    Yeah, but how much of that video content on YouTube is worth watching? Video content on the web is like text content: 10% good, 90% junk. Love them or hate them, the networks produce high-quality video that is at least watchable, which is more than I can say for a lot of what I see on YouTube.

    • Michael Rosenblum January 26, 2012

      Yes, well junk is the side effect of a free press. How much junk is written every day. But that doesn’t mean we want print in the hands of a dozen people