An axiom: Broadcasting is content and distribution. I heard this axiom many, many years ago and I liked it so much that I took it as one of my own. Broadcasting is content and distribution.
This axiom has served the broadcasting industry very well, and then along came other industries that modeled themselves after broadcasting. The cable industry, for example. The cable industry built their network of subscribers on the basis of taking content from broadcast stations and distributing it to subscribers…taking something that was free and charging cable subscribers for the content. Over time, this became a love-hate relationship between the broadcasting and cable industries. Later, the cable industry found that they could make more money by creating some of their own content and distributing that content along with broadcast station content. For the cable industry, satellite distribution ironically created an entirely new market for cable MSOs in the 1970’s…HBO, Showtime, Cinemax and then wrestling and other sports made cable what it is today. Cable was (and is) content and distribution. The very technology and architecture of the classic cable system was based on the broadcast model: content and distribution.
Next in line was the Direct-to-Home satellite industry that took cable and broadcast programming and distributed it directly to the home. It is ironic that the technology that gave the cable industry such a great leap forward (satellite distribution) later comes along to erode the cable subscriber marketplace by distributing content directly to the home via satellite. Satellite broadcasting is about content and distribution.
And then along comes the telecom industry (or telecom industries). For the consumer market, the telecom companies are coming at content and distribution from a different history and background than either the cable or satellite industries. Telecom comes from the world of distributing voice and data and is less influenced by the broadcasting model. The world of telecom has been to focus on distribution and less on the content. In fact, under the old view of telecom (the common carrier view), the telecom carriers was to keep their hands off the content and simply provide the distribution pipes. This tension between content and distribution for telecom companies still exists today…the telecom companies do not have a clear way to define themselves…will they become content companies or will they stay in the distribution world?
Initially, telecom companies, as they deployed broadband networks, were reacting to the cable industry. The cable industry slowly awakened over the 1990’s and began to comprehend what they had in those big bandwidth distribution pipes. They could provide Internet access and plain old telephone service as well as video. The cable pipes did not look much different than the pipes controlled/owned by the telecom companies. Telecom companies reacted…if cable could provide Internet access and voice services, then telecom companies could provide video services. We’re sort of back to the essence of broadcasting: content and distribution.
And then the Internet and “new media”…also about content and distribution. We have telecom companies (including cable) to thank for bringing us the Internet at high speeds and we have millions of people to thank for the content. The Internet and new media tend to follow the broadcasting axiom: it’s about content and distribution. At the present time, the Internet is not quite yet built to be a direct substitute for broadcasting, but it is nearly so. And I think all of us that rely on the Internet think that it will ultimately replace broadcasting in terms of content and distribution.
Now, what does all of this have to do with the NAB Show? To me, the NAB show is about content and distribution. All of the industries that have tried over the past 50 years to emulate broadcasting’s focus on content and distribution have cultivated their businesses at the NAB Show…learning at the NAB Show…buying equipment at the NAB Show…doing deals with other content owners and distribution operators at the NAB Show. So, today, the NAB Show is the centerpiece of those who seek to develop and create content and distribute that content to end users.
Distribution tends to be more of a technology issue than is content. And most distribution issues can be solved, perhaps not without pain, but they can be solved. Clever engineers can solve almost any distribution issue in wireless or wired technologies. It’s not so easy to move from standard definition content (as we now call it) to HDTV, but it can be done. It’s not so easy to put content on a mobile phone, but it can be done through hardware and software technology. And today with the Internet and multiple wireless and wireline technologies, distribution issues are rapidly solved. Even the average consumer can distribute their content with relative ease.
BUT, content…that’s a different story. The development of content is a creative process that is not so easily mapped or understood or learned. Picking hit shows for network TV has never been easy or well understood. It’s sort of like picking hot stocks on the stock market. Taking an idea or a concept and making it into video and sound is not so easy. The tools can be understood, but the creative mind to use the tools in a unique way to make content compelling is mostly a mystery.
This is why the NAB Show is the most intellectually interesting trade show that I attend. Several years ago, when I ran the NAB Show, we used to have the radio and television transmitter companies (and all of the infrastructure for distribution…towers, antennas, transmission line, trucks, etc.,) concentrated physically in the North and Central Halls of the Las Vegas Convention Center. A few exhibitors approached me about creating something that eventually became “MultiMedia World” and was located at the Sands Expo (although it first launched in the Las Vegas Hilton). We used to say that more than a few blocks of Las Vegas separated these two worlds…the old world of broadcasting and the new world of broadcasting. MultiMedia World also eventually dominated the NAB Show and the physical aspects of distribution (transmission line, transmitters, antennas, towers, etc.) faded and became secondary. I think this is because the creation of content is more of a mystery. There is no one best way to create new content.
It really IS about the content. At the time of the launch, MultiMedia World was perceived as many different things: “high tech,” “digital,” “computer companies,” “new media,” etc. The one unique aspect that came from MultiMedia World is that it was about content. How to prepare content? How to edit content? How to produce and post-produce content? How to use a computer? How to manipulate and generate graphics? How to make video sizzle! How can we take someone’s creative ideas and make them compelling?
The NAB Show is about the “back office” (to use a telecom term) of content. It is where content is taken from concept to a script to a story board to a production to post-production and eventually is a video and audio presentation that communicates a message, or makes people cry or laugh…it takes content and the content moves emotions and intelligence. Today, distribution can be achieved through many, many different channels and I’d point out that nearly all of these new distribution networks rely on telecom networks. But beyond distribution (which is easy to solve)…it is that the NAB Show also spawns many other aspects of video creation and distribution…the business models.
I know of no other trade show that does exactly what the NAB Show achieves. It’s one thing to see the final product (as you might see at NATPE) or it’s another thing to see devices on which content is displayed (as you might see at CES)…but where else do you see content come to life? Where else do you see content move from concept to a finished product and see it distributed across many different communication channels and supported through a variety of business models?
Back to that telecom industry. Many times over the past year I’ve been in discussions where we discuss the definition of the new telecom industry…or lamenting that the current crop of telecom companies has little definition. “They don’t know how to define themselves.” Telecom is trying to deal with content and distribution…a newer form of broadcasting, one that has more interactivity and the ability to more narrowly target the content to specialized audiences…even an audience of one.
If you are in the telecom field and you are serious about providing video services…you are on the road to being part of what has been called broadcasting…you are entering the content and distribution domain…then you must be at the NAB Show. The NAB Show is about content and distribution.