00:00 Speaker a
Well, joining me at the Cannes Lions is the former CEO of BET and the author of I Am Debra Lee, Debra Lee, and I’m so happy to see you.
00:09 Debra Lee
OK Thanks.
00:11 Speaker a
So the bet is still under the Paramount Umbrella. Therefore, Paramount is still seeking to close its deal with Skydance. No one stepped up the effort, just opening up a checkbook real scope for assets like BET and historical assets that are still rolling out some good stuff?
00:31 Debra Lee
Correct.
00:32 Debra Lee
Yes, I don’t understand. Well, you know, I wasn’t involved when I tried to sell it a few years ago. I’ve heard of some buyers, potential buyers, think the price is too high. Uh, but BET is still very unique. When they have something like BET awards or something that’s going on in the black community, uh, black audiences and other audiences go there first. Well, so it still does a great job. They have just celebrated their 45th anniversary. I stayed there for 32 in those 45 years. So I still feel my tongue facing it. Well, but I don’t know. I, I really hope it does it by merger and someone takes it under their arms and really continues the bet. When I was there, Viacom bought BET, Redstone, Mel Karmazin, Mel Karmazin was the carrier, he was the COO, he liked Bet. And, you know, he said once in the negotiations, what do you think two Jews will run away? I don’t think I’ve said that publicly. But he lets us do our things and as long as the ratings go in the right direction, he is happy and he is very supportive. Well, so I, I hope they get this support and what new structure is there. Now, a lot of things are happening in the media business. Everyone is trying to survive online, streaming networks. I’ve seen it over the past 40 years. I’ve never seen anything like this volatile.
02:59 Speaker a
Yes, this Cannes Lions came a long time ago. I mean, I know you can’t speak specifically, but Warner Bros. decided to split. Comcast is split and Paramount is approaching them, hoping to end the deal with Skydance. But what I don’t know is what happens to linear TV networks? They ultimately mean that you have a manager there. They cut a lot of expenses because advertising revenue is falling. Where are these assets from now on?
04:03 Debra Lee
Correct.
04:14 Debra Lee
Comcast.
04:20 Debra Lee
Correct. Correct.
04:29 Debra Lee
This is a good question. I think they still have a strong life. I just don’t know how long it will take. I mean, they are still generating a lot of revenue right now. I left Bet and Viacom about eight years ago and saw this source. I mean, honestly, I saw it coming. Resources are pushed to streaming. Linear networks are seeking resources. But the viewers still exist. You know, you look at channels like BET, TNT, or DISCOVER. So the audience is still there and not everyone wants to stream on the streaming. It was fun for me because I remember the cable operator said, Oh, we need an order. People don’t want to pay for all of these networks. So they try to force this. It never happened. But now you have five or six streaming services, people who love content, put all of these streaming services together, and we’re back to the cable the way we were 20 years ago. So, I think there will be a merger on the streaming side. You know, I think there might be some merger on the linear side. But linear networks are still strong and they will last for a while. Just in what form.
06:55 Speaker a
How difficult is it to separate linear operations from streaming networks? I think there is a feeling that we are going to split these companies. One person will trade publicly. Another one is going to another place. I mean, it doesn’t work that way.
07:24 Debra Lee
No, I think it’s harder than most people realize. Well, it’s interesting that we’ve been putting them together for the last five to ten years. You know, oh, we have to have a linear network with a streaming network.
07:48 Speaker a
Linear TV, which creates streaming content, we all make a lot of money. Correct. Finally, Debra can use linear TV networks as separate assets and they will be exposed. What do I think Comcast is doing and what can they be like? Is it a company to save costs? And they might have to launch the most amazing shows because they are very careful about this shift to streaming.
08:26 Debra Lee
Yes.
08:37 Debra Lee
Correct.
09:00 Debra Lee
Yes, I think they have to do it at the same time. They have to cut costs like streaming and have to continue investing in programming, maybe not as much as they used to because they are competing with streaming, but they have to keep consumers interested. You know, consumers find the programming they want. So they have to create content in succession and they have to sell it. So why we are at the Lions Club in Cannes, because marketing is very important and brand is very important. You know, cable introduces the idea of diversity in media and programming. Before that, if you calculated FOX, we had four networks. And you know, wired is a commitment to diversity. Oh, you can have a network of women, you can have a network for Hispanic, golf because you know. So suddenly you have 500 channels. Now, this has been cut, but people still want their favorite brands. And if they can’t see them on streaming, they will continue to watch linear. So we have some reorganizations that can be passed.
11:03 Speaker a
OK, fair enough. Former BET CEO and author of I Am Debra Lee, Debra Lee. Nice to meet you here. Thank you for stopping. I appreciate it.
11:12 Debra Lee
Great. Thank you, Ryan. Thank you for having me.
11:15 Speaker a
certainly.
