Time Warner CEO says TV having second golden age

LONDON, Sept 28 (BestGrowthStock) – Media conglomerate Time Warner’s
(TWX.N: ) chief executive said television was enjoying a second
golden age and rejected the notion that innovation had passed
into the hands of technology companies like Google (GOOG.O: ).

Jeff Bewkes said the number of television viewers was
growing, paid-television penetration was increasing and
advertising and subscription revenues were up. He urged the
industry not to undervalue its content when making deals for
digital distribution.

“We’ve been attracting some company lately — companies like
Apple (AAPL.O: ), Amazon (AMZN.O: ), Google, Sony (6758.T: ), the list
goes on and on,” Bewkes said in a speech to Britain’s Royal
Television Society in London on Tuesday.

Time Warner raised its full-year outlook last month after
quarterly revenue grew at the fastest pace in two years, thanks
to a surge in advertising sales at its cable networks and strong
turnouts for movies like “Clash of the Titans”.

Bewkes cautioned against making deals such as Apple and
Amazon have made with others such as News Corp’s (NWSA.O: ) Fox TV
to offer downloads of hit series like Glee for $0.99 an episode.

Time Warner’s HBO network has produced television series
that have been sold around the world including The Sopranos and
Sex and the City. The group also includes the Warner Bros movie
studio and the CNN cable network.

“How can you justify renting your first-run TV shows
individually for 99 cents an episode and thereby jeopardise the
sale of the same shows as a series to branded networks that pay
hundreds of millions of dollars and make those shows available
to loyal viewers for free?” he asked.

“These new entrants must meet a few criteria: They must
provide consumers with a superior TV experience, and they must
either support or improve the overall economics that funds and
creates the programming in the first place,” he said.

In a bid to prevent Internet companies from seizing control
of content distribution, Time Warner is gathering partners
including Verizon (VZ.N: ) and Comcast (CMCSA.O: ) to offer its
content on any platform at no extra cost to subscribers.

The venture, called TV Everywhere, offers programmes on
demand on any device to those who already pay for the service in
their home.

The service is currently in about 20 million homes, and
Bewkes said he expected to have 70 million U.S. households by
this time next year.

“Every single cable, satellite and telephony company is
signed up to deliver this,” he said.

(Reporting by Georgina Prodhan; editing by Elaine

Time Warner CEO says TV having second golden age