DYNASTIES & DESPOTS
The CEO and controlling executive behind the new Paramount who has pursued the acquisition of Warner Bros. Discovery
Comcast, Spectrum and DirecTV are examples of this type of traditional distributor that bundles television networks and pays them carriage fees.
What is an MVPD (Multichannel Video Programming Distributor)? MVPD is essentially the retailer in the television supply chain
This FCC policy required broadcasters to devote airtime to contrasting viewpoints on issues of public importance before it was repealed in 1987.
What is the Fairness Doctrine?
A studio accepts significant upfront financial risk on a series because its initial network deal leaves part of the production budget uncovered, while the studio retains rights it hopes to monetize in later distribution windows. What financing model is the studio using?
What is deficit financing?
Two separate lawsuits sought to block Paramount's acquisition of Warner Bros. Discovery. Who brought those challenges, and on what fundamental antitrust grounds did they argue the merger should be stopped?
Who are a coalition of 12 state attorneys general and the Writers Guild of America, arguing that combining two major competitors would reduce competition in already concentrated entertainment markets?
Which executive is Chairman and CEO of Comcast and a member of the family that has maintained significant control over the company?
Who is C. Brian Roberts
Unlike an affiliate, this type of local station is actually owned and operated by the national television network itself.
What is an O&O (owned-and-operated station)
These 1970 rules attempted to curb network power by separating a broadcaster’s role as an exhibitor of primetime entertainment from its ability to financially benefit from ownership of that programming.
What are Fin-Syn?
The Big Bang Theory could have older episodes licensed to another television outlet while new episodes continued premiering on CBS—an example of this lucrative secondary television market.
What is off-network syndication?
According to Matt Stoller, the Paramount-Warner settlement contained several protections that appeared significant on their face but were substantially weakened by their fine print. Which provision does he argue most broadly threatens the enforceability of the settlement's commitments, and why?
What is the force-majeure provision, because circumstances including a recession, strike or labor disruption could excuse the combined company from performing certain obligations?
Which longtime Disney CEO oversaw the acquisitions of Pixar, Marvel, Lucasfilm and 21st Century Fox?
Who is Bob Iger
Netflix and other streaming services use this three-letter term for delivering television programming directly over the internet rather than through traditional broadcast, cable or satellite distribution.
What is OTT (Over-the-Top)?
Under the old Hollywood studio system, studios could force theaters wanting their biggest movies to also take packages containing less desirable films. The Paramount decision helped end this practice.
What is block booking?
AMC's The Walking Dead and Warner Bros.' Supernatural disputes raised a similar problem: when vertically integrated companies transact with their own affiliated networks, the stated license fee can affect whether outside participants ever reach profits. What valuation mechanism attempts to replicate the license fee that would have resulted from an arm's-length negotiation?
What is an imputed license fee?
Paramount’s $31-per-share offer wasn't the only price associated with winning Warner Bros. Discovery. Another $2.8 billion became payable when WBD changed course from an earlier transaction. Who received that money, and what did it represent?
Who is Netflix, and what is a termination/breakup fee resulting from WBD exiting its prior deal?
Who controlled Paramount through National Amusements before Skydance took control of the company?
C. Shari Redstone and the Redstone family
YouTube TV and Hulu + Live TV are examples of this type of distributor, which delivers a traditional bundle of live television networks over the internet rather than through cable or satellite infrastructure.
What is a vMVPD — Virtual Multichannel Video Programming Distributor?
Greater bargaining leverage, access to capital and advertising helped persuade the FCC to abandon this numerical limit on national broadcast-station ownership in favor of this more individualized regulatory approach.
What are the 39% national ownership cap and case-by-case FCC review?
A studio reports that a highly successful series has generated no payable profits. A contingent participant suspects affiliated license fees and contractual deductions have reduced the backend. What negotiated protection provides the participant a means of testing the studio’s accounting rather than simply accepting the statement?
What are audit rights?
Even after Paramount settled the antitrust litigation, one expensive clock did not immediately stop. Until the Warner Bros. Discovery acquisition actually closes, who continues to benefit from the delay, how much does Paramount effectively owe each day, and what is this M&A provision called?
Who are WBD shareholders; approximately $7 million per day (potentially adding up to $1.2B); and what is a ticking fee?
RedBird Capital Partners was among the financial backers of the Skydance-Paramount transaction. The billionaire whose financial support was also instrumental to the transaction was __________.
Larry Ellison
TEGNA carrying NBC, NBC owning the local station itself, Spectrum bundling channels, YouTube TV offering that bundle virtually, and Peacock delivering programming directly over the internet illustrate these five television-industry terms.
What are affiliate, O&O, MVPD, vMVPD, and OTT?
A merger need not create a monopoly to draw antitrust scrutiny. When only a handful of major firms compete, regulators may examine whether consolidation removes a meaningful buyer or seller and reduces competition—and whether conditions or structural remedies are necessary. This concentrated market structure is known as what?
What is an oligopoly?
Clue: Had Fox Television sold Modern Family to Netflix instead of licensing it to ABC, it could have received its production costs plus roughly 30% rather than covering the shortfall itself—but Fox might also have surrendered much of the later value generated by outlets like USA Network. Name the Netflix deal structure and the traditional-model revenue opportunity Fox would largely be sacrificing.
What are cost-plus and syndication rights?
Paramount’s acquisition of Warner Bros. Discovery comes with enormous financial and regulatory commitments. Identify these four numbers:
the approximate value of the deal;
the combined company’s projected debt;
the minimum number of films it must release annually during the settlement’s first two years; and
the annual requirement during years three through five.
What are approximately $110 billion;
more than $78 billion in debt;
30 films per year for years 1–2; and
32 films per year for years 3–5?