Source : GenuineVc "The Royal Throne in the Entertainment Business – Don’t Kill the Messenger"
Analyst Spencer Wang of Bear Stearns just published a very good overview of the dynamics of the entertainment industry
which argues that “aggregation & context and not content are king.”
There isn’t anything entirely ground-breaking in the report, but it’s a
great overview synopsis of a lot of the trends occurring in the
industry. (You can download the presentation here)
Nicholas Carr summaries the report
well, “Wang argues that both ends of the value chain - content creation
and content distribution - are increasingly characterized by oversupply
and hence weak profitability. Value, as a result, is migrating to the
center of the
value chain, where content aggregation and branding take
place. The profit, in other words, is in packaging.”
[Leafar: And we are in an era of personalized packaging, think about creating your nike, writing text on the back of your ipod .... etc / People are gonna ask for a personnalized packaging that fit their identity]
I largely agree with Wang’s conclusions – that “new competitors… [of]
viable aggregators [are going] to emerge” and that “startups are likely
to be more nimble [than incumbent creators of content],” However, I’d
like to add that messaging with others, and the intersection of that
activity with content creation is a large piece in the puzzle. Yes, the profit is in the packaging of entertainment, but also in the packaging of messages as well.
Digging blog is efficient when done by the writer : found in a previous note from GenuineVc
Connectivity over content – or being content? I haven’t been able to shake the theme from the (long and somewhat dated academic) article written by Andrew Odlyzko, “Content is Not King,” which has stuck with me since I read it last September. Maintaining “that connectivity is more important than content,”
November 2006 will get a Hall of Fame, it's a 24 months of work that come under the spolights over the last 3 weeks. Leweb3 is gonna be awesome, speaking with smart people about what we have been thinking about probably for almost 5 years ... and working over for the last 2. Great discussions mean good inputs & outputs.
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