Media Integration and Industry Perspective

Media Integration: An Industry Perspective

  • Focus: How companies integrate production and distribution.
  • Perspective: Primarily from an industry standpoint, considering historical trends in new media.

Convergence

  • Historical Trend: Convergence of media production.
    • Examples: Photography, moving images, computational history (difference engine).
    • Influences: Military, scientists, values, and ethics.
  • Technological Shift: Transition from analog to digital.
  • Modern Example: Cell phone as convergence of technology.
    • Represents 150 years of computational and media tech in one object.
    • Large companies (e.g., Apple) and internet providers collaborate.
  • Personal Level: Individual use of tools for media capture and engagement.

Spreadable Media

  • Platforms: Enhance the ability to share, create, and produce media.
  • Levels: Personal experience vs. large-scale corporate operations.

Company Operations: Production, Distribution, and Marketing

  • Differentiation: Companies specializing in production, distribution, and marketing.
    • Production: Media production (film studios), auto manufacturers, etc.
    • Distribution: Physical (film to theaters) or digital (Netflix).
    • Marketing: Attracting customers.
  • Model: Production company A contracts with distribution company Z and marketing company 3.

Horizontal Integration

  • Strategy: Acquiring competitors.
  • Scenario: Production company A buys companies B, C, and D.
  • Goal: Reduce competition and increase bottom line.
  • Example: Film studios acquiring other film studios.
  • Benefits: Reduces competition, increases success.
  • Drawbacks: Duplication of staff.

Vertical Integration

  • Strategy: Owning the entire life cycle of production.
  • Process: From creation to distribution and marketing.
  • Goal: Control the entire cycle and reduce overhead costs.
  • Example: Company owns studios, distribution channels, and marketing teams.
  • Benefits: Efficiency, control over creative process.
  • Examples: CBS owning production studios, distribution channels, and in-house marketing.

Combined Integration

  • Approach: Combining horizontal and vertical integration.
  • Example: Disney.
    • Horizontal: Owns numerous production houses and film studios.
    • Vertical: Distribution channels (ESPN, Disney+), marketing teams.

Implications and Tensions

  • Democratization: Enhanced ability for individuals to produce, share, and distribute media.
    • Examples: Posting to Instagram, YouTube.
  • Consolidation: Fewer voices controlling platforms.
  • Historical Context: Shift from big three networks (ABC, CBS, NBC) to numerous channels, followed by consolidation.
  • Tension: Between new opportunities for individuals and corporate control.
  • Historical Trend: Periods of consolidation followed by disruption and innovation.
  • Current Tension: Balancing individual creation and corporate control.