Media & Entertainment

At Walt Disney, the G in ESG stands for goofy

11 Jan 2023

Nike Chairman Mark Parker will run the media giant’s board and a search for boss Bob Iger’s successor. It’s odd considering Parker was part of previous ill-fated CEO decisions. He also looks stretched as Disney squares off with pushy investor Nelson Peltz. The drama never ends.

Sky spinoff is Comcast’s least-bad option

3 Jan 2023

The U.S. cable giant spent $40 bln on Rupert Murdoch’s European pay-TV provider in 2018. Now consumers are under duress and it’s probably worth less than half that sum. Though boss Brian Roberts is a reluctant seller, listing Sky will shortcut challenges on the horizon.

Disney’s next 100 years hinges on a metaverse

3 Jan 2023

A century ago, the media giant crafted theme parks that withstood decades of changing technology. It isn’t a huge leap from a real Disneyland to a virtual one that melds brands and streaming. Innovation is necessary, but for it, boss Bob Iger’s days need to be numbered.

Female fans will fuel Formula One in 2023

23 Dec 2022

Liberty Media’s testosterone-powered franchise is ready to shift gear. A docuseries following its drivers was among Netflix’s best-watched shows and lured more women to the racing stands. Forget Lewis Hamilton: finding a Louise Hamilton could rev up that trend and boost revenue.

Netflix will be next on Microsoft’s shopping list

20 Dec 2022

The video-streaming service is expanding into gaming as the software titan fights for Activision Blizzard. Ever-bigger deals, including LinkedIn and Nuance, have been a staple of boss Satya Nadella’s tenure. And there’s logic behind fortifying its Xbox even more.

A solo Ticketmaster might attract financial fans

15 Dec 2022

Drums are beating to break up $17 bln Live Nation after it flubbed ticket sales for Taylor Swift and Bad Bunny. Lawmakers reckon a 2010 merger with Ticketmaster made the company too powerful. Setting aside legal and regulatory questions, there’s an investment case for a split.

Hollywood’s latest siren call comes from Brad Pitt

13 Dec 2022

KKR-backed French studio Mediawan, co-founded by dealmaker Matthieu Pigasse, is buying a stake in the film star’s Plan B production firm. Many previous attempts to plant foreign flags in Tinseltown have gone awry. This script promises to be more “Moneyball” than “The Big Short.”

Disney’s board needs some magic

6 Dec 2022

Nearly all the media giant’s directors were picked during Bob Iger’s first term as CEO. He’s back and part of his job is to find a replacement, something he failed to do. He needs people to challenge his thinking and prepare to exit. That requires dismantling the inner circle.

Capital Calls: Twitter’s news problem

6 Dec 2022

Concise views on global finance: If the U.S. Congress passes a law that allows news organizations to band together and negotiate with online platforms, Elon Musk may have one more challenge to add to his growing list.

Disney offers an Iger solution to an Iger problem

21 Nov 2022

The media giant tapped its former boss to, among other things, find a successor. Shareholders seem relieved. But Iger failed to cultivate a replacement in his 15-year tenure, and left the $180 bln firm laden with debt. His legacy hinges on a refreshed board, boss, and company.

Capital Calls: Ticketmaster and Taylor Swift

18 Nov 2022

Concise views on global finance: A meltdown involving the pop star’s upcoming “Eras” concert tour is attracting an audience on Capitol Hill and risks an unwanted corporate fight with the artist herself.

Murdoch deal will struggle to be fair and balanced

17 Nov 2022

Reuniting TV and tabloids may suit the media mogul, but others could be harder to sway. News Corp’s Aussie property portal accounts for 65% of its $10 bln value, implying big discounts on Dow Jones and the rest. It’ll take clever Fox spin to craft a merger shareholders support.

Adland veterans play tortoise to Big Tech’s hare

10 Nov 2022

Once deemed ex-growth, WPP and peers collectively grew revenue faster than Snap and Meta last quarter. New services like building apps and crunching client data helped. But if big adland clients like Nestlé keep spending while small businesses drop out, it may be no one-off.

Liverpool could be a rare soccer M&A victory

8 Nov 2022

Club owners are often more interested in glory than profit. But Fenway Sports Group, which may sell the English team, could score a near 10 times uplift on its 300 mln pound purchase price. The timing is odd, but Liverpool may be an exception to the rule that soccer doesn’t pay.

For your consideration: Warner-Discovery part two

3 Nov 2022

Since the companies behind “House of the Dragon” and Shark Week merged, it has trimmed its outlook, written down Batgirl and Elmo content, and lost nearly half its market value. For boss David Zaslav, big may not be big enough. A deal with Paramount or NBC would be worth a look.

Adidas’s Kanye West bet is still in credit

27 Oct 2022

The 18 bln euro sportswear maker severed ties with the musician over offensive comments. In this Viewsroom podcast, Breakingviews columnists discuss how the financial benefits to Adidas nevertheless outweighed the costs. That may spur other brands to pursue outspoken stars.

Spotify will have to keep an eye on TikTok’s clock

25 Oct 2022

The $19 bln Swedish company grew subscribers by 20% to 456 mln in the latest quarter. Its operating loss also widened from investments in podcasts and staff. At least it has some time on its side as the short-video firm’s Chinese parent ByteDance explores music expansion.

Big Tech risks a reversion to Web Finance 1.0

24 Oct 2022

Meta, Alphabet and Twitter were noobs to the ad game during the last recession. Back in 2009, digital claimed just a 16% share. Now, the online giants are far more heavily exposed to deep marketing budget cuts. With costs also out of whack, it could start to feel more like 2000.

Debt adds to the heap of media problems

18 Oct 2022

Disney, Paramount and Warner Bros.’ leverage ratios are above the median for peers as the chances for a recession increases. That's as an economic slump pressures advertising and subscriptions. It bodes ill for cash gobbling streaming services.

Satellite mogul SPAC talks are poker game for one

13 Oct 2022

Charlie Ergen set up Dish and is now in talks to sell Boost Mobile to the blank-check firm he also backs, putting him across the negotiating table from himself. There are ways for Dish to get an arm’s-length partnership with Boost but adding SPACs brings unnecessary conflicts.