(Editor’s Note: The following is part one of a copyrighted--excerpted interview with Mark Cuban conducted by TV technocrat Phillip Swann. Cuban's roots are from Western Pennsylvania. Part two will be posted tomorrow, but you can always peak ahead by going to his website. Wednesday will be a special post titled, “Why Nobody in Erie Cares about HDTV”…or How To Successfully Market Consumer Technology in Erie And Become Number #1--An Erie Case Study.)
The TV Predictions Interview
Mark Cuban Speaks Out!
By Phillip Swann
Washington, D.C. (August 30, 2006) -- Mark Cuban, owner of the Dallas Mavericks basketball team, is not one to pull his punches.
Just ask NBA Commissioner David Stern. The hoops czar has slapped Cuban with repeated fines for criticizing the officiating in Mavericks' games.
However, the subject of High-Definition TV might incite Cuban even more than whether Dirk Nowitzki gets the call while driving to the basket.
Cuban, co-founder of HDNet, the high-def network available on satellite and most cable systems, believes that HDTV will revolutionize television. However, he says many industry types -- and journalists -- don't understand what Americans really want from HDTV.
Today, in part one of a two part TVPredictions.com interview with Cuban, he reveals which new HDTV DVD player he would buy….…
In part two, Cuban comments on whether 1080p provides a better HD picture;… and what's next for HDNet.
TV Predictions: The HDTV industry has done a great job of reaching males and the tech-savvy. But who does the industry need to win over before it becomes a mass product? Females? Older people? Younger people? The middle class?
Mark Cuban: In terms of TV sales, it's (HDTV) already a mass product. It's the same cycle as PCs went through. It's purely about price. When replacing or adding a TV, people try to get the most for their money. HDTV is the far better deal right now and getting better by the minute. Add to the utility of the TV, the furniture and coolness factor, and the work is already done.
If prices continue to fall, and the (Digital TV) switchover happens in (February) 2009, you will see the end of analog, except for small portable (TVs) and off off brands, within 3 years.
TVP: Are sports still the main driver of HDTV sales? Or, are we starting to see other forms of entertainment (movies, documentaries, dramas etc.) bringing in new HDTV buyers?
MC: I don't even think it's content driving the sale of the TV. It's price and picture quality. Content is the driver in the competition between video providers. As the TV becomes a bigger focal point in the living room and consumers realize they can get far better than SD (Standard Definition TV) on LCDs, they are going to startdemanding more and more real HD (not upconverted) and it will make more sense to consumers to order it from their providers.
"Why in the world would you want to do (HDTV) content built around a talking head?"
TVP: Many people are saying (particularly Swanni) that TV personalities and celebrities are becoming increasingly concerned about how they look in HD. Is this a real issue or just a fun topic for journalists?
MC: It's a fun topic for journalists and you guys are missing the point. HDTV adds wide screen ability, resolution and great audio. Why in the world would you want to do content built around a talking head?
The value in a journalist like Dan Rather (just hired by Cuban to host a weekly news show on HDNet) isn't sitting at a desk reading the news, It's being a journalist, uncovering stories and then leveraging the video and audio abilities of the medium to tell the story in a more compelling fashion.
It would be a waste to do news the way it's always been done. Which is exactly why we think we have a great opportunity with Dan Rather Reports (debuting in October) and HDNet World Report (HDNet's other weekly news program.)
TVP: There are two new High-Definition DVD formats on the market. If you were a cost-conscious consumer, would you buy a HD-DVD (backed by Toshiba) or a Blu-ray player (backed by Sony)? Or, would you wait until the HDTV DVD format war is settled?
MC: I would buy a $399 PC and connect it to my HDTV and buy and play all the Windows Media HD Content out there. And then I would buy a DVR from my provider and hack it to add a Terabyte drive and record everything and anything. But that's me.
If I had a beautiful Home Theater that I used to impress my friends, I would buy HD-DVD today and wait till the dual use boxes came out to upgrade to them.
Editor's note: A few electronics companies have hinted they will soon launch DVD players that can play both Blu-ray and HD-DVD discs; the two formats are not compatible with each other, meaning one DVD won't play on the other's machine.
"I don't even think it's content driving the sale of HDTV. It's price and picture quality."
TVP: Several cable TV operators jointly own INHD, a rival HDTV network carried on cable systems. Is cable's ownership of INHD blocking their carriage of HDNet?
MC: We are told that bandwidth is tight, which I truly believe. But as customer expectations of true HD content increases, and it absolutely will, then having more HD, and in particular original content only available in HD, will make a big difference. As will having only pure HD content and no upconverts.
(Note: Upconverting is when a TV network or provider converts a sub-HD picture to HD; the picture may be improved, but it's not real high-def.)
More HDTVs were sold than analog in 2006. The delta will increase exponentially in 2007. Even if only 50 to 60 percent subscribe to HD services, that's a big number with higher expectations.
Far more important is the growing number of educated HD consumers. The HD sub who has had their TV for several years knows the difference between HD and upconverted and every bit of research says the more HD experience, the more they want. (Editor’s Note: This scares the crap in certain Erie TV circles)
We hear every day -- and in ever increasing numbers -- from subscribers who have switched to satellite from cable (operators) who don't offer the HDNet (channels) because they prefer watching great content in HD.
Click Cuban to read part two of our interview with HDNet's Mark Cuban.Disclosure Note: HDNet is an advertiser at TVPredictions.com
Click TVPredictions.com to see the rest of today's Swanni Sez.
© TVPredictions.com
"Congress passed a law on February 1, 2006, setting a final deadline for the DTV transition of February 17, 2009. Most television stations will continue broadcasting both analog and digital programming until February 17, 2009, when all analog broadcasting will stop.." FCC http://www.dtv.gov/
The EYE is STILL watching and doesn't like what they can't (W)SEE.
6 comments:
Gee Jack, what do you mean the "Eye" is watching? Don't think for one minute that CBS actually is preoccupied with Erie, PA for one single minute!
I think people have snowed you. CBS is a multibillion dollar corporation. If you have this wetdream that they are going to buy WSEE if it goes bankrupt then you are smoking hemp!
CBS doesn't care, Lilly doesn't care and therefore NOBODY cares!
"FLY ME TO THE MOON, LET ME PLAY AMONG THE STARS!"
Why don't people like Mark Cuban own Television Stations? Mr. Cuban would immediately be a first-class broadcaster. This is the type of individual I would like to see own WSEE-TV!
8455....
(I note that your name is the address of WJET/WFXP.)
I agree that CBS would not want to own a station in Erie. I repeat, CBS has certain standards for its affiliates and those standards in Erie have not been met. It is time to sell to those who do. The management of SJL/Lilly is well aware of the network’s feelings from the highest levels.
The solutions are in SJL’s/Lilly’s hands, not mine. Build the digital HD station expeditiously or sell to someone who can. The network wants… the FCC demands it and the law says they have no choice. There is no middle ground.. If SJL/Lilly can’t afford it, they have no business being in broadcasting. Not having the cash is not an option. There business plan should have included it. They should have done their homework on Erie as well. The day they signed the papers for the station, they knew that digital was the mandate.
They have ruined a fine station and dismembered working families of the station as they have done in other cities. You can assume WICU is next. It’s a wonderful company for anyone throw your support behind. Perhaps CBS is the perfect entity to give them a similar swift kick in the butt.
NOW YOUR DREAMING ABOUT MARK CUBAN? JACK I MEAN THIS SINCERELY ERIE WONT BE FULLY DIGITAL EVER! EVERYONE KNOWS WSEE HAS ALWAYS BEEN THE WEAK LINK IN THIS MARKET. IT IS TIME FOR THE STATION TO GO DARK. ALL THIS TALK ABOUT THE LAW AND THEY HAVE TO GO DIGITAL IS POINTLESS UNLESS THEY HAVE AN OWNER WITH DEEP POCKETS.
WSEE HAS ALWAYS DONE EVERYTHING ON THE CHEAP. FIRST LIVE TRUCK...A CONVERTED OLD RADIO LIVE TRUCK. STATION RENOVATION...BRAENDEL PAINTING TRADE COMMERCIALS THAT HAVE BEEN RUNNING FOR YEARS.
WSEE HAS NEVER HAD AN OWNER WITH DEEP POCKETS AND IT IS HIGHLY DOUBTFUL THEY EVER WILL. THE COUNTDOWN CLOCK IS RUNNING IT IS TWO MINUTES TO MIDNIGHT. THE TIME IS NEAR WHEN WSEE WILL CEASE TO EXIST.
DO YOU REALLY THINK WSEE WILL SPEND MILLIONS OF DOLLARS IT DOESN'T HAVE ON DIGITAL? THIS IS ONE LAW THAT WILL NOT BE ENFORCED. BESIDES, THEY WILL GO DARK BEFORE ANY DEADLINE NEARS.
YOU STUPID, STUPID MAN!
DeSantis....
Why are you shouting? I guess with your logic, that you want to go blow up a bridge it is ok. The law was meant to be broken.
I hope they don't go dark and I think there are other things that can prevent that from happening. The truth is that WSEE has the potential to be a great CBS station at this time better than at anytime in their history. It will take deep pockets. You are right about that and those pockets don't exist in Erie. But I believe it still can happen.
Ok if believing in Erie broadcasting makes me stupid...Than I am guilty as charged. Take me away.
I've often wondered how the stations stack up in billing? Who is top billing station? What would you guess is the total dollar amount spent on Erie Commercial TV advertising in a given year?
I have often wondered why Nexstar paid $18 Million for WJET-TV? Myron sold because he knew he could never recoup the investment to go Digital/High Def. What did Nexstar know that made them (definitely) overpay?
Why do companies willingly overpay to buy broadcast properties then bitch about not making money?
I enjoy your blog!
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