MC 101 Lecture Notes - Lecture 4: Satellite Radio, News Corporation, Vertical Integration

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Media Organizations
In the US, media organizations are typically for-profit companies
Primary goal: make profit
Exceptions include: BBC (in britain), PBS, NPR, Wikipedia, and government websites
Many for-profit media companies are consolidated under a few major conglomerates,
including:
The Walt Disney Company
Time-Warner
Viacom and CBS
Newscorp and Fox
Comcast/NBC-Universal
Google
Facebook
These conglomerates own a number of technically separate but intertwined media
companies
Producers/Publishers
Approve (greenlight) or deny content ideas
Pay content creators for their work
Acquire necessary licenses and agreements
Set and enforce deadlines
Market and advertise content
Fund creation and distribution of content
Content creators/developers
Create the content
Invent ideas
Record ideas in appropriate medium
edit/network as necessary
May be company or individual artist
In-house: creator owned/hired by a publisher
Ex: Pixar is a subsidiary of the Walt Disney Co.
contracted : creator is independent but funded by a publisher for a specific project and/or
period of time
Independent: creator is independent and self-publishes
Distributors: manufacture, distribute, and sell content to consumers
Vertical Integration
Media conglomerates control all steps in the production chain
Ensures they profit from each step while controlling costs
Most conglomerates play more than one role
Synergy
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