MxMIndia

Category: MEDIA

  • As long as all four kinds of news organizations are allowed to exist and flourish – and are subjected to firm and fair regulation and oversight – the news media in India will remain strong and vibrant.

    Comment: Jehangir Pocha on Media’s new Moguls

    By Invitation

     

    By Jehangir S Pocha

     

    Among all the transformations taking place in media, here’s the crucial one – the media baron is being replaced by the media conglomerate.

     

    Corporations are buying news properties once owned by individual proprietors at a rapid pace. Expectedly, media mavens and professionals are crowding conferences to express their angst: Are these oligarchs becoming media’s new moguls only to protect their empires and project their interests? Will they interfere every time a story is done on their favourite babu, minister or party?

     

    But this holier-than-thou approach that automatically assumes a media baron is better for journalism than a media conglomerate is as reactionary as it is wrong.

     

    A corporation owning a news property can be expected to slant or kill a story inimical to its core interests.  But those are few and far between.

     

    After all, how many core interests can a corporation have? On the other hand, many media barons have been notoriously whimsical, politicized, opinioned and ideological, slanting almost every story almost every day, and killing (or overlooking or underplaying) almost every story out of sync with their ideology, views or interests.

     

    In all democracies, the most slanted and ideological journalism has always been driven by media barons, from William Randolph Hearst, to Ramnath Goenka, Thaksin Shinawatra, Rupert Murdoch, Silvio Berlusconi, Michael Bloomberg and others.

     

    Their news properties have openly, sometimes shamelessly, displayed their biases.  Compare Murdoch’s Fox News with its corporate-owned competitors, NBC News (owned by General Electric), CBS (owned by Westinghouse), ABC (owned by Disney) and CNN (owned briefly by AOL). Which is most slanted? Which is most protective of vested interests? Which would any unbiased media professional rather work for?

     

    Yes, a media corporation might protect its pet politicians and restrain its news properties from covering its other businesses fairly. But many media barons do the same. Some appear to have more pet politicians than any corporation. In fact, often the “other business” of media barons is politics (consider Berlusconi, Thaksin, and Bloomberg).

     

    When it comes to coverage of oneself, it is India’s media barons who have constructed the self-serving maxim that “media mustn’t cover media”, leaving them free of all public scrutiny. That’s what’s allowed some of these tycoons to injure Indian media and dupe their viewer/reader by introducing poisonous practices like “paid news” and “private treaties”.

     

    It is highly unlikely that any media conglomerate would allow such practices precisely because of the fear of public scrutiny that publicly-listed and/or publicly known corporations naturally have. Companies run by professionals and overseen by a board of directors that includes independents and representatives from government-owned institutions are generally forced to put in place the systems and standards needed to run a business right.  Media barons exempt from oversight rarely do so.  This is why Murdoch’s newspapers spy on people and others don’t.

     

    This doesn’t mean concerns over how corporations will manage their new media enterprises can be ignored.

     

    As Indian media comes of age it must codify its journalistic standards and rigorously implement them through an independent body akin to Britain’s Media Standards Trust. Such a body should give India’s journalists protections, such as the legal right not to disclose a source, and freedom from prior restraint (attempts to prevent publishing/airing of an opinion/idea/story before it is published/aired).

     

    Every news organization must also be required to have an independent Ombudsman charged with ensuring fair and balanced coverage.  At the same time, this Ombudsman and/or the standards authority should also ensure journalists and news outfits respect the rights and reputations of others (anti-defamation), separate news from views, eschew ‘paid news’ and private treaties, protect national security, public order, and public health, and prevent incitement to hostility, violence or discrimination.

     

    Stringent regulations that prevent any monopolistic control of news are also essential to any democracy. To some extent, digital technologies and social media already ensure this. A smart line on Twitter or great video on YouTube can become more influential than an op-ed in the Times of India. But the government must still work to ensure there are enough voices in the media and that no one voice dominates the national discourse.

     

    Corporations enter (and sometimes dominate) the media business because it is highly capital-intensive. So, one effective way to maintain a plurality of views in news is to keep entry barriers and operating costs in the business low. For example, existing distortions in media policy, such as exorbitant “carriage fees” that benefit the well-heeled and hurt small news operations must be ended. Banks must be encouraged to lend to smaller media companies, capital requirements in the industry should be eased and more journalism schools built to develop a larger talent pool. Building stronger news-related services, like more text and video wire services, freelancer organizations, and shared news infrastructure, would also help newer and smaller players. Lastly, the government must pass laws to separate carriage from content, and control media cross-holdings.

     

    Ultimately, every kind of media owner – the government, individual, the public trust and the corporation – comes with pros and cons. India knows well the short-comings of the first three.  We will now discover the dangers of the fourth.  But as long as all four kinds of news organizations are allowed to exist and flourish – and are subjected to firm and fair regulation and oversight – the news media in India will remain strong and vibrant.

     

    Jehangir Pocha is CEO, INX News.

    The views expressed here are the writer’s and not necessarily those of MxMIndia.

     

  • Bloomberg UTV business head Deepak Lamba is moving on. Destination and his replacement are not known.

    Fm y’day: Deepak Lamba quits Bloomberg UTV

    By A Correspondent (updated)

     

    Bloomberg UTV business head Deepak Lamba has put in his papers. Mr Lamba is reported to be serving notice and he will be at the channel till end-April, sources close to the development informed MxMIndia.

     

    Mr Lamba, has been business head of the channel since January 2010, and earlier reported to Mr M K Anand and more recently to the Board said to be comprising two representatives from Reliance, one from UTV and a fourth from Bloomberg.

     

    MxMIndia has learnt that a replacement for Mr Lamba has not been named. Before joining Bloomberg UTV, he was Director – Viacom Brand Solutions and worked with MTV India for five years.

     

    Mr Lamba is reported to be moving to a larger role in a larger conglomerate, sources tell us.

     

  • Former Bloomberg UTV business head Deepak Lamba joins The Times of India group as President

    First on MxM! Deepak Lamba joins BCCL as President

    By A Correspondent

     

    Deepak Lamba who had moved on from Bloomberg UTV as business head in end-April has joined Bennett, Coleman and Company Limited as President.

     

    Although Mr Lamba was not available for comment and nor has it officially been announced at BCCL, MxMIndia learns that he has joined BCCL today. He is likely to be heading a few new ventures that the group proposes to enter.

     

    Mr Lamba was business head of Bloomberg UTV from January 2010 to April 2012 and prior to that was Director – Viacom Brand Solutions and worked with MTV India for five years.

     

  • Deepak Lamba's rise to President of Bennett, Coleman and Company Limited is phenomenal and inspirational to young media professionals

    The Rise and Rise of Deepak Lamba

    By A Correspondent

     

    When MxMIndia broke the story of Deepak Lamba joining Bennett, Coleman and Company Limited as President, the news spread like wildfire (see link http://www.mxmindia.com/2012/06/first-on-mxm-deepak-lamba-joins-bccl-as-president/). As it spread amongst media circles, it was decidedly the most read story on MxMIndia over the weekend.

     

    Mr Lamba is one of the youngest professionals in Indian media to occupy the position of President of a large Indian media conglomerate like The Times of India group.

     

    Until end-April, Mr Lamba was with Bloomberg UTV as business head. He made a sudden exit with no indicator of his next port of call. Except that it was to be with a leading media corporation with diverse interests.

     

    Although Mr Lamba was not available for comment and nor was it officially announced at BCCL until Friday evening, MxMIndia learns that did join the company on June 1. There is no word on his portfolio except that he is likely to be heading a few new ventures that the group proposes to enter. MxMIndia also learns that the proposed venture may not be in television, the business he has been working with at Bloomberg UTV and MTV, though there may be some linkages.

     

    Mr Lamba’s rise and rise has been phenomenal and is in fact inspirational to those without any godfathers in the business and/or no Ivy League education. A student of Pune’s premier St Bishop’s School later the Wadia College, he did his MBA from the Pune University thereafter. He was business head of Bloomberg UTV from January 2010 to April 2012 and prior to that was Director – Viacom Brand Solutions and worked with MTV India for five years.

     

  • The Association of Indian Magazine's Magazine Engagement Award wins commendation at the FIPP Research Awards

    AIM’s Magazine Engagement Study wins big at FIPP Research Awards

    By A Correspondent

     

    The Engagement Study by the Association of Indian Magazines (AIM), the apex association of the Indian magazine trade, has won the Highly Commended Award for Best Research By Any National Association at the FIPP Research Awards 2012. In a ceremony that took place in London, on May 29, AIM was presented the citation by Chris Llewellyn, President and CEO of FIPP and Kathi Love, President and CEO of US market research company GfK MRI, the sponsors of the Awards dinner. The overall winner for the category was the entry by the Spanish Association.

     

    Commenting on why the survey received a Highly Commended Award, Mr Llewellyn said “The Research Award judges were impressed by the insights provided by the survey, and the technical excellence of its methodology. The survey has demonstrated the key underlying strengths of the magazine medium, strengths which explain why magazines are such an effective medium for advertisers. The judges felt that the survey deserved the international recognition it is receiving.”

     

    Meanwhile, it is learnt that information from the Engagement Study has been included in the forthcoming book ‘Proof of Performance: The Case for Magazine Media’, and an action code in the book will enable readers to play the video on their smartphones. The book is authored by Guy Consterdine, Research Consultant to FIPP.

     

  • Consumer review website MouthShut.com is set to shift from being a reviews-only to a buyer's guide website

    Mouthshut.com to turn a buyer’sguide

    By Robin Thomas

     

    Popular consumer review website MouthShut.com is set to shift from being a reviews-only site to a buyer’s guide. This transition is scheduled to take place within a fortnight.

     

    In its new role, MouthShut will position itself as a company that helps consumers decide which product they want to buy from a host of product categories — ranging from cars, bikes, cellphones and so on. Restaurants and hotels will also be part of the buyer’s guide enabling users to know the type of cuisine available, phone numbers and addresses for deliveries and so on. Moreover, MouthShut will constantly add newer categories on its portal after every few weeks.

     

    Speaking to MxMIndia about the transition to a consumer buying guide, Faisal Farooqui, CEO, Mouthshut.com said, “We realized that a transition from a reviews-only site to buying guide is more important today because the consumer needs are changing fast as they no longer use the internet just for emails and chats but, also for buying. As e-commerce is growing robustly in India, people are getting more comfortable buying products online. Thus we decided that we need to provide consumers not just reviews but also help or guide them buy products.”

     

    Mouthshut.com will partner car dealers and manufacturers and allow for registering for test drives. In fact it has tied with Maruti and General Motors already.

     

    The transformation to a users buying guide will also mean revamping the Mouthshut.com website, which will take place along with the roll-out. Also on the anvil is a mobile version of the site.  “The mobile experience will be totally customized for mobile users and while the look-and-feel will be different, the content will of course be the same” said Mr Farooqui.

     

  • According to Madhukar Kamath, group CEO and managing director, DDB Mudra Group, Maatra is the first attempt by an Indian marketing communications group.

    Maatra to be rebranded Gutenberg Networks India

    By Ravi Balakrishnan

     

    Following close on the heels of shopper marketing specialist TracyLocke and brand consultancy Interbrand, a third specialised offering from the Omnicom group comes to India via DDB Mudra – Gutenberg Networks. Maatra, a company that exists within DDB Mudra will be rebranded Gutenberg Networks India.

     

    According to Madhukar Kamath, group CEO and managing director, DDB Mudra Group, Maatra is the first attempt by an Indian marketing communications group to hive off the functions usually performed by an in-house studio into a separate successful brand.

     

    Its offering includes premedia services, translation, website localisation and film adaptation. Maatra’s offerings sync well with those of Gutenberg Networks, which has 1,200 employees globally and counts Philips, Pepsico Tropicana and Volkswagen among its clients.

     

    Source:The Economic Times

    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • Neo Cricket was rechristened Neo Prime with live action of three major sporting events

    From Cricket to Prime, Neo takes a spin

    By A Correspondent

     

    It was cricket – in the form of the Indian Premier League – that made the most noise amongst all other sports that were being aired on sports channels in India during April-May. But the tide has now turned and has switched partners in the form of Neo Prime, which may now be leading the viewership race by not airing cricket but three different live action sports in India – Azlan Shah Hockey, French Open and Euro Cup (starting next week). For those unaware, Neo Prime is the rechristened channel from Nimbus which earlier went by the name Neo Cricket.

     

    While most broadcast networks have been contemplating launching a channel solely for airing cricket, it is surprising to see Neo take a turn on the same. Then of course, there was the ugly episode that saw the channel losing its rights to host India matches. Explaining the rationale, Prasana Krishnan, COO, Neo Sports said, “We were one of the first channels to go in for cricket and are probably the first one to be going away from it. When we had the BCCI rights, it made sense for us to do that as you had a lot of domestic cricket that was available; there were a number of days that were available at our end. So we kept the channel for the volume of the game that was available with us. But then it is also about reacting and responding to the change. Though we have lost the BCCI rights, we will continue to take part in the bidding process for other cricketing properties as and when the opportunity arrives. As of now, we have our hands full with a lot of live actions sports and are the only channel that has so much on its plate currently.”

     

    In fact the network carried out a vital evaluation exercise months ago before it decided to go in for the change. And it had some interesting facets to throw up apart from just cricket. Explained Mr Krishnan: “The basis for our evaluation was that we have five other sports apart from cricket – tennis, football, golf, badminton and hockey, and what really happens is live sports is played mostly during weekends where you have multiple sports being aired simultaneously. So we were faced with the problem of having more than one event at the same time and therefore airing a certain sport and not being able to relay the others. If you look at the sports being aired right now on our channels, one channel is showing Sultan Azlan Shah Hockey while the other is showing French Open tennis. And next week, we will have French Open and the Euro Cup on at the same time. So the scheduling conflict is a constant problem that arises at our end and our effort has been to maximise and ensure that maximum events are being made available to customers as possible.”

     

    In fact, according to Mr Krishnan, the same pattern was observed in other networks as well where they had scheduling clashes. “What was happening for us was that we were playing hockey and other sports on the cricket channel, which really didn’t make sense. So in that sense, Neo Prime would be more generic and would be playing different genre sports and not just cricket.”

     

    In fact there was another motive for the channel to contemplate the move. Explains Mr Krishnan: “What we are also doing is that all the content that is being produced is likely to switch towards HD mode sooner or later. Those are the kind of properties we plan to put on Neo Prime. Over the next few months, once we are comfortable with the working of the content, we will also provide a HD feed of the channel. So it is a HD-ready channel that is focussed and programmed in a manner that it is ready to relay action as it happens.”

     

    When asked on soft stance taken by the channel to communicate the change, Mr Krishnan said: “It’s not that we are going soft with the new change or anything, it’s just that we got approval from the Ministry for the change only on June 1, 2012. So the action and communication will take place over the next few days. Anyways, it’s not as big a news for us as currently all live sports action is happening on my channel be it French Open, Azlan Shah Hockey or Euro Football starting next week. So the idea was to time it with the best of sports action and combine that with a good campaign.”

     

    Advertisers have been advised of the change and so far the response has been positive. But the channel is not looking at that and has some big plans up its sleeve for the coming months. And yes, it would do so without banking on popular sport – cricket. Affirmed Mr Krishnan: “The change has been communicated to the advertisers and they have been reacting positively to it. But one must understand that it is the property that the brand gets interested in and if they appeal to them then they will obviously come on board to partner the event. And I am proud to state that in the January to March quarter, our network was ranked second by TAM in terms of viewership and that for the April to June quarter, we would easily be the No 1 network for sports in India going by the amount of live properties that we have on our hand right now.”

     

    It may just be the perfect start that the network is looking for by making a rousing comeback with its many live events. After all, as the saying goes: the past is well forgotten but the future is what you make of it.

     

  • Peter Mukerjea: A Real Live Whodunnit?

    By Peter Mukerjea

     

    So the tentpole industry event of last week – Goafest , is over for another year. Advertising , marketing and media industry executives will be back at their desks catching up with the backlog of work and the start of a new week. Some will still be nursing hangovers and some will be recovering from other forms of stimulation, no doubt. Judging by the numerous photos in the various picture galleries, I’m sure many new relationships will have been forged – digitally or otherwise.

     

    Meanwhile the biggest global media business event, so far in 2012 and by all probability, in all of 2012, is about to begin this week in a court room in London. Apart from the employees of News Corporation around the world, all newspapers and media organisations here in the UK, the US, Australia, Canada and other parts of the world will be looking forward to the chart and TRP-topping opportunity of seeing several media owners take the stand this week at the Royal Courts of Justice. Not just any owners but the Barclay brothers , who own The Daily Telegraph newspaper , the junior Lebedev who owns the Evening Standard newspaper, but above all James Murdoch and his father Keith Rupert Murdoch who will be taking the stands – separately on different days this week. All of these will make for very enjoyable viewing for a lot of us, particularly those who have worked at close quarters with these people. A family affair once again.

     

    Hours of television and on line viewing (itn.co.uk on Tue, April 24 / Wed, April 25 / Thu, April 26 ) will take place this week without doubt and journalists all around the world – both pro-Murdoch and anti-Murdoch will be glued to a screen of some sort and will analyse and dissect each and every word for the benefit of their readers/ viewers.

     

    No matter what the result of the findings, public perception of all of this is going to be very interesting and insightful. I’ve asked friends who have never had anything to do with either of the Murdoch’s other than as readers of the newspapers or viewers of TV stations owned by them and their take on it is very simple. It seems they both come across as walking on extremely thin ice and that they should take responsibility for the actions of their executive and their staff, appears to be the most favoured impression so far.

     

    The issues at hand are email hacking and phone hacking which seem to have been committed by journalists, numerous times over, sometimes ‘ in the public interest ‘ and sometimes in the interest of gaining an advantage over competitors. There’s the relationship between politicians and the media and and also the relationship between the police and the media. All of these issues are not uncommon in our own ‘ desi’ world today. Many of us reading this will have had to juxtapose our personal beliefs and interests versus those of the organisation that we work/ed for at some time in our lives. This, should then concern those in media and it’s surely a question that we should be asking ourselves, as to whether we believe this conduct is acceptable or not.

     

    Editorial priority is a critical ingredient as is the question of proportionality and both of these should be written into the charter document of all news channel and newspapers if it isn’t so already. Who takes on the enforcement of this responsibility ? Should we believe and trust the CEOs, Editors and owners of these organisations who advocate self-regulation as the best way forward, given that they are all reasonable, just and responsible citizens. Perhaps ‘fit and proper’ too. Or, should this be the task of a Media Commission?

     

    Do we genuinely believe that media owners should be treated differently to their executives, who run the organisation/s and who are hired hands at the end of the day? Where does the buck exactly stop? Where do investors fit in ? They want profits but very often are not keen on getting their hands dirty with integrity issues. Perhaps Rajat Gupta, who is due to go on trial for alleged insider trading and passing on tips to a friend, will have a point of view here as he’s been an investor in media companies himself and is also going on trial in a month or so.

     

    Is there a conflict of interest if the owner is also the senior-most executive in the organisation or should that be ignored and seen as a mere coincidence? Or should they all be looked at in a similar way and therefore expect to have the same respect for the concept of law and order and governance?

     

    Either way, the next few days will make very interesting viewing and I would advocate that that all news channels, media companies, law firms that have or would like to have media clients, law schools, the regulator etc make this essential viewing for all their staff who are engaged in similar matters so that they can all have a more evolved sense of how to deal with these often complex issues of media ownership, media management, media ethics and governance.

     

    We may not be willing to impose this on ourselves but i would argue that if we are to be seen as a responsible industry, then we must make a note of the developments on this side of the pond. Then make the most of this opportunity and watch the grilling that’s going to take place, of some of the most powerful media people on the planet. There is no doubt however that the barristers who will be doing the grilling over the next few days will do so – ‘very carefully’ and will bear in mind Rupert Murdoch’s comment in July 1995, when the newly elected British PM Tony Blair came to Hayman Island to visit him and Rupert said ” I suspect we will be like two porcupines making love – very carefully”.

     

    Peter Mukerjea, celebrated media professional and former CEO of Star India, mulls frequently for MxMIndia.com

     

  • In Media Mullings, Peter Mukerjea envisages a scenario that will enable the media industry in India to reshape and reinvent and become truly 'world class'.

    Peter Mukerjea: Dream On… after all we’re in March 2012!

    By Peter Mukerjea

     

    So, if I were the next Minister of Information & Broadcasting for the Government (which is about as likely to happen as a month of Sundays) here are the 7 things I would want to do in my first 7 days of taking on the job. Sorry Ambikaji, this, of course, is not to say that you’re not doing a fine job, which you are – but like my school report card said term after term, ‘Could do better’.

     

    1. I’d start with issuing a mandate to privatize Doordarshan asap and thus enable the public to buy shares in the new entity and operate it like a proper commercial organisation and remove all Government control over it. I’d call a Nandan Nilekani, Deepak Parekh kind of person and get him to take on the project of getting this done in no more than a year. He could in turn invite the world’s best financial gurus and merchant bankers to have them pitch for the job. Then to appoint a proper CEO and a management team to develop a growth plan for the business which would include online, social media, cable distribution and task them with getting on with that in the following 12 months. They would report to a Board and be accountable to them and the shareholders.

     

    Benefit: The taxpayer would not need to fund DD any longer and its independence would be ensured. Profitability would emerge which would enable DD to become the largest media company in India and compete with the likes of STAR , ZEE or any of the international companies like the BBC or CBS or SKY or FOX. It would then attract the world’s best talent and be seen as a jewel in the crown for India. The company would bring about an amalgamation of all media activities under one roof and take its place in the list of leading companies of the world. If the Oberois can do that with their hotels, there’s no reason why that cannot happen with DD.

     

    2. I’d create an OFCOM (the regulator in the UK) like organization who would be responsible to the Minister for all the regulatory issues and they would have the power to prosecute and de list broadcasters if they didn’t follow the letter (and spirit) of the law. This would be run by socially responsible individuals with distinction and standing in the community.

     

    Benefit: This would in turn, enable the various media organizations in the country to be mindful of their social and legal responsibilities and not abuse the same. OFCOM would also be required to ensure that the people that run these various media companies are categorized as ‘fit and proper persons’ to do so. Managing media will then not be the direct responsibility of the Minister who could then take an unbiased view on issues if they were ever escalated to the Minister.

     

    3. I’d call TAM and get them to install an overnight rating measurement system and give them one year to do that. No more. Meanwhile, to expand the current system to include rural markets across India and to do this in 6 months. If they were not able to commit to getting this done I would invite other Research and Technology companies from India and the world over to replace TAM.

     

    Benefit: We would move industry to the 21st century and be similar to other developed markets where overnight ratings are the norm. This will help broadcasters , content producers and advertisers alike and will also be a reflection of the consumer. The expansion of the measurement universe would benefit the country as whole and content providers and advertisers would then pay more attention to the needs of the rural consumer and this will help the current imbalance between the urban and rural.

     

    4. All news channels in the country, both Indian and foreign would be required to present their credentials via a barometer of measurement which is based on quality, integrity and depth of journalism rather than GRP’s (ratings) alone. This would apply to all forms of news – be it entertainment, sports, business, current affairs, social etc.

     

    Benefit: The consumer would benefit by being presented with news reporting which is responsible and credible but not driven solely by sensational and scandal. Maybe there will be a news channel from India that will emerge to compete with the BBC or CNN in international markets. Here again, if Infosys can be world class, there’s no reason why a news channel from India cannot be world class.

     

    5. I would remove all financial barriers immediately to foreign participation in all media and would therefore allow 100 percent FDI in media and media related technology businesses. However, those owning and running these media and technology companies must be Indian nationals as is the law in the US.

     

    Benefit: This will attract the world’s largest companies to participate in the growth of Indian media and speed up digitization and internet connectivity in the process. This would provide a base for on line connectivity for all, across the length and breadth of the country from the smallest of villages to the largest of cities which would in turn accelerate communication and exchange of information for all Indians everywhere.

     

    6. I would remove all price control mechanisms instantly for the pricing of cable TV & internet connectivity provided by cable operators, MSO’s, DTH and other service providers as this would urge them to provide their services at prices that are market driven and competitive. None of these services are ‘essential commodities’ and therefore should not come under the purview of price control. However, each such service provider would be required to provide channels from each available genre, in proportion to the viewership they attract e.g. GEC channels – say 25 percent, News say 5 percent, Sport – say 10 percent, Natural History – say 5 percent, Music – say 5 percent, languages – 50 percent and so on.

     

    Benefit: The consumer would benefit the most as services would be provided at commercially viable rates and the quality of service would undoubtedly be enhanced as the various service providers would compete to retain and grow their consumer base for their custom, by improving service levels and quality. The Government should have no role in pricing media and entertainment services.

     

    7. All private FM radio stations would be free to broadcast news and current affairs, weather, traffic info, business news, for as long as they feel is commercially viable. Private FM radio stations would also be free to broadcast any genres that they choose to and the license fee for each genre would be adjusted (by OFCOM) according to the value of the genre – ie talk radio, sport phone in, 24-hour news & current affairs, Bollywood music, Indian classical music, education, health, western pop music, western classical etc etc.

     

    Benefit: Consumers across the country would then receive news on their FM radio stations and be informed rather than exist in the dark as they are currently. If we believe that the right to information is a democratic right for all , then we must live upto that ideal and enable private FM radio stations to provide a news service to their listeners 24 x 7.

     

    I doubt that any of these will see the light of day in the near future but I do hope that decision-makers in India will move quickly to turn all of these into reality as they will help the media industry in India to reshape and reinvent and become truly ‘world class’. Or else we can dream on!

     

  • Sitting on the fence and watching these media moguls do a self-destructing act is motivating for those who don't take life too seriously and recognize that being born with a silver spoon is as much a curse as a blessing.

    Peter Mukerjea: Murdochgate update

    By Peter Mukerjea

     

    As I write this, it’s Sunday 1st April. It’s April Fool’s day and I thought it was an appropriate day to remind myself that one should not take life in media too seriously at all even though each one of us secretly believes that we matter. If that is so, you live in a fool’s paradise as that’s simply not true. It’s almost a case of ‘Mirror Mirror on the wall – who’s the…. of them all? ‘And that doesn’t just apply to Snow White.

     

    Do you believe that James looks himself in the mirror when he wakes up and asks himself that question?

     

    I doubt that somehow. For if he did he would know that he is now toast. Certainly toast when it comes to running his dad’s empire, towards which he was sailing comfortably just over a year ago.

     

    It’s been a while now, almost a year actually, since I suggested that James should step down. I guess he hasn’t yet done so from all his positions but almost 50 percent of them. But it’s not over yet. And it took him longer than I thought it would, but he did. At least from numerous boards in the UK that enjoyed his presence and executive prowess. The decision with regard to the ‘fit and proper’ test is yet to be taken by the regulator in the UK and in due course we’ll find out what their verdict is. The news which broke last week about the hacking of pay-TV codes will not bode well in their decision-making process even though James probably had nothing to do with it even though he was on the board of the company that claims that the allegations are ‘baseless accusations’. Oddly enough, the very same words used by the company last year when the phone hacking story broke. Since then much water has flowed under the bridge (of sighs) and as we now know, those accusations were never really baseless.

     

    From what I hear, shareholders in the company are gathering ammunition and momentum to get James off the other boards too but Rupert seems to be paying them huge dividends to keep them from pushing him to pull the plug on James. How long will that continue? Another six months or a year perhaps? But James cannot be in the consideration set for the top job at the corporation. And I think that’s the right decision anyway. He’s simply not there yet. And Chase – he is by far a more charismatic, knowledgeable and seasoned executive and what he knows on the tip of his little finger is more than the man in the sharp suit with a strange accent and super polite manners that make you feel a touch weird. So why is he still there? Perhaps, because, where else will he go?

     

    In India, where the presence of the Murdochs used to be regarded with the aplomb normally granted to that of a state visit, they now keep their head down and have their executives come to them rather than the ‘let’s visit the troops’ approach because reputations have eroded and some of the earlier public interest litigations may rear their heads once again.

     

    The fact that there’s trouble in the UK across several fronts is now a well logged fact and getting James to the US may do some damage control but can’t stop the avalanche completely. There’s potential trouble in the US, with the possibility of there being an investigation into the companies’ overseas corrupt practices. There’s a possibility of an investigation in Australia. In China there was trouble a few years ago and the company contracted quite heavily when the companies’ offices were raided and executives were shipped out. So far they’ve been safe in India. So, an earlier suggestion of mine in this column that James should consider setting up base in India now must make more sense to him although his presence in India would be regarded as a predatory move, of course, which will raise the shackles of all competitors. But that’s not a bad thing for the corporation and indeed for the man himself to use this an opportunity to reinvent himself.

     

    What finally happens will be known to all of us as time goes by but the there is a lighter side to all this. There’s the case of the horse that Cameron borrowed from Rebekkah (seeing as they have a home next to each other in the British countryside) and her hubby’s (who is Cameron’s school chum) laptop, that was found (and is still in the custody by the British police), in a bin in their garage that was ‘accidentally’ put there ! And then there’s the story of the German lingerie company that ran a series of ads in a campaign (last July) where they used James and his dad to full effect. They’re called Blush and if you were to Google – how to make Rupert Blush – you can see the ads for yourself.

     

    Wonder how far we are from a similar ad campaign like this in India. Piyush, Prasoon, Balki et al, are you listening?

     

    Sitting on the fence and watching these media moguls do a self-destructing act is motivating for those who don’t take life too seriously and recognize that being born with a silver spoon is as much a curse as a blessing. This entire episode to me is reminiscent of the late Robert Maxwell who was the owner of the Mirror Group of newspapers in the UK and who had a rather sad end. There were plenty of stories about Robert Maxwell but the one where he met two of his bankers on the rooftop of his building on Fleet Street and plied them with oodles of champagne is particularly noteworthy. After several glasses of champagne one of the bankers asked if he could go down to the loo for a pee but Robert Maxwell said that the best way was to pee from the edge of the building down on the street. Both Robert Maxwell and the banker then stood at the edge of the building and peed. When the banker asked “Will no one notice down there?” he was told by Maxwell “No – no one notices anything.”

     

    I’m sure there are a few more revelations yet to come and we’ve not seen or heard the end of this saga, but maybe by next year’s Fool’s day we’ll have had enough and will be truly sick of the goings-on, unless the new ones are so juicy and closer to home that they make us all sit up and ask for more. By the way – there’s a movie doing the rounds presently called The Hunger Games and it’s all about reality television and the extent to which broadcast companies will go to get ratings, and how it can be manipulated. If you haven’t seen it – you should. Particularly if you’re in the business of buying ratings or selling them. Never mind the content, it’s all about the ratings. More on that next week.

     

  • In Media Mullings, Peter Mukerjea on why James Murdoch must move to India

    Peter Mukerjea: Rupert & Son

    By Peter Mukerjea

     

    So, it’s finally happened that James, or JRM as he is known within the company, has stepped down. I’d said that he should (see Firstpost.com article) and for whatever it’s worth, I’m glad that he has.

     

    Enough has been written and no doubt more will be written about the rights and wrongs of the people involved in the entire phone hacking case and we will never know who will finally go to jail for the crimes that are alleged to have been committed.

     

    But that would be looking back and surely it’s much more fun looking forward and trying to gauge what’s about to happen next. If Rupert is true to his word, JRM will now be spending more time on international operations and on the TV business at large . Now that leads me to suggest that he should for Newscorp’s sake spend at least 75% of his time in India looking at new business opportunities that exist in the country. STAR experienced it’s highest ever growth in it’s business under JRM’s watch when he was the CEO in Asia. That’s not a coincidence, I can assure you. Conversely, STAR experienced it’s lowest growth when JRM left the Asia region and handed it over to pixies in Hong Kong who had no clue about India. For example, the lady who was given the baton by JRM had never visited India ever in her life. Strange decision, it has to be said.

     

    JRM, on the other hand, was a respected executive and was seen as a path-breaking scion of his father. And the fact that not everyone loved him was simply par for the course and to be expected. He was effective in reshaping STAR’s fortunes and turning a loss making company into a profitable one.

     

    Incidentally I continue to believe that none of the new channels that popped up in 2007/8 would have happened if Rupert had not taken his eye off Asia but he moved JRM to London to run SKY and with that opened up the gates for newcomers. Some channels failed to make the grade – 9X & Imagine for example, and others did well – Colors & 9XM for instance, but none of these should ever have been allowed to get started given the complete dominance that STAR had on the market. And all the people that went to run these channels, including myself , were almost all from STAR.

     

    Since then STAR has held up well, although after a wobbly start. Credit for which should be given wholly to JRM for giving autonomy to the current leadership in managing their business and most importantly cutting them loose from the Hong Kong intermediary, which was rightly cut to size.

     

    JRM’s big opportunity is now to push ahead with developing a range of new TV and other media products for the India market and enable it to grow speedily to create a very clear leadership position with plenty of blue sky space between the No1 and the rest. And only he can make that happen by physically being there and making the big decisions which would otherwise be lost in power point presentations between numerous layers of management.

     

    This would in turn spur ZEE and Sony and MTV and the rest to do the same and compete with each other and with the pace that STAR would have set for them. This will then collectively turbo-charge and accelerate the industry as a whole and taking full advantage of the economic growth that the country is experiencing. The next 10 years for the media business in India will be huge and despite the slowdown in the global economy the pace of growth will be better than almost anywhere else in the world.

     

    JRM once said “let’s make the best use of a crisis” or words to that effect and I think this is a crisis that has presented itself for just that opportunity. He has moved to New York from London but may be he should have a home in Mumbai too and really shake up the market. There’s tons to do with a very exciting future for a 40-year-old – like JRM, which regular or even above average executives will simply not be able to take full advantage of. They can at best take limited risk, if at all – but JRM can and he should.

     

    Will he or won’t he? Or will he slip in and out of the country quietly, once very few months and leave the big opportunity to the pixies once again? If he ends up doing that he will have missed a great opportunity to grow the business and also to get himself back up and be recognised as being one of the best TV executives in the world. After all, he is the son of Rupert.

     

    Although it started as a fortnightly column, Peter Mukerjea’s Media Mullings will now appear regularly on MxMIndia, but with no definite frequency.