AN INFORMAL SURVEY OF commercial production company executives elicited a mix of angst and excitement over the changing business landscape. Of immediate concern are the ubiquitous tighter margins, increased competition, the higher cost of procuring and developing directorial talent, and uncertainty over next year’s negotiations for a new actors’ spot contract.
Many production companies are increasingly defining themselves in a talent/career management light, keeping a watchful eye on how new media opportunities (i.e. the Internet, interactive television, enhanced TV) will shake out. Off the record, many aren’t sure what the hell is going on relative to these emerging media and the new ad forms they will help spawn. We uncovered considerable interest in the implications of Razorfish’s recent acquisition of Fuel. (See "Fueling Convergence," p. 64). We also found heightened attention being paid to strategic alliances that some production houses have struck up with ITV, convergent media and other technology companies, resulting in such projects as the ad lab under development at Random/Order (see "Come Together," p. 46).
Indeed a significant portion of the aforementioned angst relates to how a production company should intelligently prepare for and diversify into new ad forms. "It’s hard to tell who’s blowing smoke among the so-called expert new media companies," said one veteran spot production exec. "I’ve met several people [from convergent media companies] and my instinct tells me that they are looking to make a killing by going public—but beyond that, I question the seriousness of their long-term commitment."
Besides the puzzle of figuring out whom to align with in the dizzying strategic partner matchmaking game, there’s also the wide array of prognostications in terms of the increased or diminished value of traditional broadcast advertising versus the Internet or enhanced TV, et cetera. (Look for a rundown of predictions and informed research in SHOOT’s 1/7/00 issue.)
But while crystal balling is a daunting task, there are certain key facts production companies can cling to for more than consolation. Despite the angst and the squeeze being felt by many shops, they still have a coveted commodity: prowess in providing content. And the chance for retaining some equity in that content is real in the new millennium.
Secondly, savvy ad agencies and clients are starting to look at production companies/content providers in a different, more important light, coming to view them more as new media partners as they seek help in developing relevant ad forms. Research indicates that a growing number of advertisers are bypassing agencies to pursue new advertising platforms. This can mean either more potential client-direct opportunities for content providers, or an environment in which agencies are partnering more meaningfully with those providers.
Meanwhile, there’s much to be harvested in the peaceful co-existence of traditional and new disciplines, the prime example being dot-com advertising. According to the just-released communications industry forecast by investment banking firm Veronis, Suhler & Associates, the Internet has become a significant ad medium in its own right, accounting for $1.9 billion in ’98, and forecasted to reach $8.2 billion by 2003. Moreover, Internet companies are themselves becoming important advertisers in traditional media. At last count, more than 20 percent of the ad time for the upcoming Super Bowl telecast had been bought by dot-com companies (SHOOT, 10/1/99, p. 1). And earlier this week, Arnold Communications debuted its VW Cabrio ad on the Internet, hoping that would create a bigger splash for the spot when it breaks on television next Monday (11/22). Veronis Suhler concluded that over the next four years, new media will help invigorate old media.
In canvassing a cross-section of production company execs, the clear consensus was that they felt the compelling need to assemble and nurture the best possible collection of directing and creative talent. That’s the prerequisite to prepare for opportunities across all platforms, from traditional spotmaking to longform to developing new ad/entertainment vehicles.
Microsoft Report Says Efforts By Russia, Iran and China To Sway U.S. Voters May Escalate
Foreign adversaries have shown continued determination to influence the U.S. election –- and there are signs their activity will intensify as Election Day nears, Microsoft said in a report Wednesday.
Russian operatives are doubling down on fake videos to smear Vice President Kamala Harris' campaign, while Chinese-linked social media campaigns are maligning down-ballot Republicans who are critical of China, the company's threat intelligence arm said Wednesday.
Meanwhile, Iranian actors who allegedly sent emails aimed at intimidating U.S. voters in 2020 have been surveying election-related websites and major media outlets, raising concerns they could be preparing for another scheme this year, the tech giant said.
The report serves as a warning – building on others from U.S. intelligence officials – that as the nation enters this critical final stretch and begins counting ballots, the worst influence efforts may be yet to come. U.S. officials say they remain confident that election infrastructure is secure enough to withstand any attacks from American adversaries. Still, in a tight election, foreign efforts to influence voters are raising concern.
Microsoft noted that some of the disinformation campaigns it tracks received little authentic engagement from U.S. audiences, but others have been amplified by unwitting Americans, exposing thousands to foreign propaganda in the final weeks of voting.
Russia, China and Iran have all rejected claims that they are seeking to meddle with the U.S. election.
"The presidential elections are the United States' domestic affairs. China has no intention and will not interfere in the US election," the Chinese Embassy said in a statement.
"Having already unequivocally and... Read More