Video Games – OnMedea

January 5, 2016September 6, 2024

If CES Were Held In Fresno, No One Would Go

I think Tech reporters really only care about CES because it is in Las Vegas.

If the show were held in a place like Fresno or Akron does anyone really believe reporters would trek from all over the world to see LG’s new roll-up screen?

Of course not.

Here’s the way it plays out every year in Vegas:

Nearly every major online publication (and print for that matter) send at least one reporter (and some send teams) to Las Vegas for the Consumer Electronic Show (CES) – and no one, except those reporters, actually cares what comes out of the show.

These writers start off strong with elaborate write-ups before they get to Las Vegas of “What To Expect From CES This Year!” or “The 10 Must-Sees @CES!”

– then they go to Vegas

– they do a decent write up of Day 1 and feign interest in a couple of redundant panels that reveal little

– then they party hard the first night because they have been so focused on the build up of CES that they just want to unwind

– and then they write a lackluster Day 2 report (because they are hungover)

– party some more

– and then sort of disappear until it’s time to drag themselves home.

Because it’s not about “new technology” (the gadgets are really just variations on themes from the past 10 years), it’s about “Vegas” and being able to get drunk on the company dime.

The same goes for the legions of companies that attempt to break new products and show off their brilliant innovations.

It’s a snow job – everyone is reprinting the same press release and then heading to dinners and cocktail parties to talk about the press release.

99.99% of the world’s population really don’t care to read about a $150,000 8K television, or a self-driving car or wearable tech – they might buy it once it hits the market if the products are good – but to read about it from hundreds of tech reporters and bloggers? Not so much.

But 99.99% do care about Vegas. Just write about your debauchery (like this CEO from last year – CES After Dark) and forget the gadgets.

No one cares.

Jill Kennedy – OnMedea

October 20, 2014February 6, 2015

Hollywood Studios’ Only Chance For Long-Term Survival

Manka Bros., Khan Manka, Manka Bros. Studios, The World's Largest Media Company, Newt Gingrich, Callista Gingrich, Jackie Battley, Marianne Ginther, Jeff Weiner, Ben Silverman, Rob Johnson, Sonny Perdue, Rick Tyler, Hermain Cain, Mitt Romney, Rick Perry, Michele Bachman, Rick Santorum, Ron Paul, Joseph Smith, Thomas S. Monson, Elder Cook, Elder Nelson, Elder Holland, Elder Perry, Elder Bednar, George Romney, Ann Romney, Brigham Young, Sean Hannity, Bob Dole, Ann Coulter, James Grisham, Eric Stanger, Allen & Company retreat, Anne Mulcahy, Ari Emanuel, Barry Diller, Ben Silverman, Bob Iger, Bobby Kotick, Carol Bartz, Charlie Rose, Cory Booker, DumbDumb, Electus, Eric Schmidt, Erin Burnett, Gina Bianchini, Harvey Weinstein, Herb Allen, Herb Allen Sun Valley Conference, Herbert Allen, Jean-Bernard Levy, Jeff Bewkes, Jeff Weiner, Jeff Zucker, Jeffrey Immelt, Jerry Yang, John Donahue, Ken Auletta, Khan Manka, Lachlan Murdoch, Lady Gaga, Leslie Moonves, Lionel Barber, Lloyd Grohl, Manka Bros., Marc Andreessen, Marissa Mayer, Mark Pincus, Mark Zuckerberg, Martin Sorrell, Mathias Dopfner, Mike Bloomberg, Niall FitzGerald, Peter Chernin, Phillippe Dauman, Reid Hoffman, Richard Parsons, Ricky Van Veen, Rob Wiesenthal, Robert L. Johnson, Ron Meyer, Rupert Murdoch, Sergey Brin, Sheryl Sandberg, Steve Jobs, Sun Valley Retreat, Sun Valley Retreat 2010, Terry Semel, Tom Freston, Tom Friedman, Ursula Burns, Vivi Nevo, Warren Buffett, World's Largest Media Company, Rupert Murdoch, Jose Maria Aznar, natalie Bancroft, Peter Barnes, Chase Carey, Kenneth Cowley, David DeVoe, Viet Dinh, Rod Eddington, Joel Klein, Andrew S.B. Knight, James Murdoch, Lachlan Murdoch, Thomas Perkins, Arthur Siskind, John Thornton, Stanley Shuman, Rebekah Brooks, Les Hinton, Teri Everett, jack Horner, Julie Henderson, Reed Nolte, Roger Ailes, Janet Nova, John Nallen, Beryl Cook, Michael Regan, Genie Gavenchak, Brian Lewis, Irena Briganti, Dan Berger, Rosabel Tao, Steven Rubenstein, Suzanne Halpin, Elisabeth Murdoch, Sarah Palin

GO PRIVATE.

There will never – ever – be enough growth and margin improvement to satisfy Wall Street.

Maybe short-term the studios will get a bump by telling investors they are going to make 100 comic book movies over the next 5 years – but after that flattens out – there’s nothing left to grow on top of that.

And it’s all Wall Street’s fault. You can’t blame studio executives. They have to appease Wall Street or they’re out.

I mean, my company, Manka Bros. just announced a trilogy of films based on the board game CHECKERS!

Wall Street’s insistence for high margin growth in such a mature business is destroying creativity (again, note all the sequels and re-makes and re-hashes and re-dos) and in it, ruining any realist opportunity for growth.

To grow the way Wall Street would like, 21st Century Fox (for instance) would need to have an “Avatar” one year (and double the amount of TV production); two “Avatars” the next year (and double again the doubled amount of TV shows); four “Avatars” the following year – and so on and so on. And they would all have to preform as good or better than the first!

And the market is saturated already.

There are too many choices and studios don’t have the monopoly on content creation that they once did.

And the moguls long for those days.

Sorry, fellas, they are not coming back.

It won’t be cheap to go private – billions and billions – but there is plenty of private equity out there that would love an asset that consistently pumps out up to $1 billion in pure profit.

Without the need to top profits year after year, the content produced can be more experimental, and thus, much more interesting and exciting for the consumer.

It would even allow for the occasional down year when things just didn’t work out. Hollywood IS a cyclical business, after all.

Hollywood Studios are sacred treasures in this country (and around the world) and should not be allowed to just fade away because Wall Street wasn’t happy with the growth prospects.

We must do what we can to save these institutions and going private is the best way.

Jill Kennedy – OnMedea

July 15, 2014July 17, 2014

Another Genius Move By Marvel

And that is not sarcastic.

Today, on “The View“ it was announced that the Marvel character “Thor” will now be a woman in the comic books.

This is NOT the real God that people actually worshiped a thousand years ago or so (Manka Bros. is a producing an event series based on his life).

This doesn’t necessarily mean that the movie character of Thor will change to a woman – but it is an absolutely genius move on Marvel’s part being that it was announced one week before Comic-Con.

Marvel now has stolen a bit of thunder from others who are seeking publicity. This will be the number one subject discussed (most likely in a negative way based on early message boards posts I’ve read).

DC Comics will now have to answer questions about which characters they may change to a woman – or what do they think of Marvel’s move. It’s just a no win for them as they get things rolling with several comic book properties that are about to launch (5 TV shows in the fall).

The Internet is already blowing up with this story and it’s all pretty silly.

The only people who should actually care if Thor is a male or female are those who still worship the Norse Gods (and you gotta love those Norse Pagans hanging on to a dream) as their Gods. In the actual religion, Thor is most likely a guy.

In a comic book, you could even change the gender of Jesus and Mohammed and no one should care.

IT’S A COMIC BOOK!

(Though I would probably hesitate to do that Mohammed if I were a publisher who wanted to stay alive.)

So, congratulations Marvel.

For better or worse, you own Comic-Con 2014.

Jill Kennedy – OnMedea

P.S. – And now you’ve announced that “Captain America” will be black – another master stroke!

January 6, 2014January 22, 2014

Only Tech Reporters Care About CES

Ari Emanuel, Ben Silverman, Bob's Big Boy Burbank, Electus, Fred Willard, Jeff Weiner, Jeff Zucker, Jill Kennedy, kara swisher, Khan Manka, Les Moonves, Manka Bros., Melinda the first lady of magic, nikki finke, Nokia Theater, OnMedea, Philippe Dauman, Rupert Murdoch, sharon waxman, Sherry Lansing, Sumner Redstone, Taylor Swift, Terry Semel, The black Eyed Peas, thewrap.com, Viacom's Holiday party, Accel Partners, Alan Eustace, Allen Blue, Ann Mather, Arvind Rajan, Ben Silverman, Bob Iger, Bret Taylor, Chamath Palihapitiya, Chris Hughes, Christopher Cox, Dan Rose, David Drummond, David Ebersman, David Fischer, David Henke, David Kirkpatrick, David Sze, Deep Nishar, Dustin Moskovitz, Eduardo Saverin, Ellen Levy, Elliot Schrage, Emilie Choi, Eric Schmidt, Erika Rottenberg, Gerald Levin, Greylock Partners, HBO, Jean-Luc Vaillant, Jeff Bewkes, Jeff Weiner, Jeff Zucker, Jill Kennedy, Jim Breyer, Joanna Shields, John Doerr, John Hennessy, Jon Miller, Jonathan Heiliger, Jonathan Rosenberg, Justin Aselage, Katrina Hau, Kevin Eyres, Khan Manka, Li Ka-shing, Lori Goler, Manka Bros., Marc Andreessen, Mark Cuban, Mark Zuckerberg, Matt Cohler, Mike Gamson, Mike Murphy, Mike Schroepfer, MySpace, Nicolas Carlson, Nikesh Arora, OnMedea, Owen Van Natta, Patrick Crane, Patrick Pichette, Paul Buchheit, Paul Madera, Paul Otellini, Peter Thiel, Ram Shriram, Reid Hoffman, Robby Kwok, Rupert Murdoch, Sergey Brin, Sheryl Sandberg, Shirley Tilghman, Shona Brown, Steve Cadigan, Steve Patrizi, Steve Sordello, Sumner Redstone, Ted Ullyot, Tony DiSanto, Toy Story 3, CES

Nearly every major online publication (and print for that matter) are sending at least one reporter to Las Vegas for the Consumer Electronic Show (CES) – and no one, except those reporters, actually cares what comes out of the show.

It’s all the same – year after year.

Reporters write up an elaborate post about “What to expect from CES this year!” –

– then they go to Vegas

– they do a decent write up of Day 1

– then they party hard the first night because they have been so focused on the build up of CES that they just want to unwind

– and then they write a lackluster Day 2 report (because they are hungover)

– party some more

– and then sort of disappear until it’s time to drag themselves home.

Believe me, if CES were held in Fresno, even the Tech reporters wouldn’t show up.

Because it’s not about “new technology” (the gadgets are really just variations on themes from the past 10 years), it’s about “Vegas” and being able to get drunk on the company dime.

The same goes for the legions of companies that attempt to break new products and show off their brilliant innovations.

It’s a snow job – everyone is reprinting the same press release and then heading to dinners and cocktail parties to talk about the press release.

99.99% of the world’s population really don’t care to read about a $150,000 4K television, or a self-driving car or wearable tech – they might buy it once it hits the market if the products are good – but to read about it from hundreds of tech reporters and bloggers? Not so much.

But 99.99% do care about Vegas. So just write about your debauchery (like this CEO from last year – CES After Dark) and forget the gadgets.

No one cares.

Jill Kennedy – OnMedea

November 22, 2013May 12, 2014

The Great Media Bloodbath of 2014

5/12/14 UPDATE: AT&T to acquire DirecTV! Lock the doors – it’s scary out there.

2/12/14 UPDATE: Holy Crap, 2014 just got a whole lot uglier (and it was already hideous) with the announcement of Comcast acquiring Time Warner Cable!

ORIGINAL POST:

It’s coming.

Holy shit is it coming.

Millions are getting pummeled with a horrible winter but brace yourselves further, because you are in for a shitstorm of job cuts in 2014.

It will not be pretty.

It seems that media company CEOs are hell bent on proving to Wall Street that their companies can be growth companies.

Unless they fire every employee and start a new company by themselves in a garage, they cannot be growth companies the way Wall Street would like.

20% margins just will never happen again in the movie, TV, print, or music industries – so deal with it.

But these CEOs are guys (all guys) who think they can do anything.

But they will fail.

And then they’ll CUT.

And… it will not be pretty.

Tribune got things started.

Sony will be next.

My company’s CEO has called 2014 “The Year of the Hammer.”

No one will make it through unscathed.

First to go will be the packaged media folks. Those who support the production and distribution of DVDs and CDs and magazines, etc.

Gone.

Next will be the slow growth businesses – like movies and Broadcast TV production (serious like a heart attack).

Slates will be slashed, storytelling risk-taking will cease to exist.

Since no one can seem to do comedy anymore on Broadcast, they will be relegated to the epic mini-series format like “Under The Dome” and live Sports to stay afloat.

Then, finally, the low margin businesses will be hit – like console games. With the exception of a few huge titles, it’s a tough business and it certainly doesn’t help these overly-ambitious / delusional CEOs hit their targets.

So what’s going to be left? TV production for cable and Over-The-Top (OTT).

Why TV gets ownership of Internet content production is baffling to me. But they do.

By the end of 2014, giant media companies with their film studios, broadcast networks and massive real estate leases will be much MUCH leaner and the quality of the product will be much MUCH worse.

Hey, but a point of margin here and a point of margin there adds up to… 2 points.

But lighten up, Spring is coming.

Jill Kennedy – OnMedea

December 18, 2012December 23, 2012

2013: Endgame For Moguls

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Old Hollywood just got another year older and closer to death.

In fact, it’s getting harder and harder for Old Hollywood to get out of bed in the morning.

Food doesn’t taste as good. Hangovers are a daily occurrence.

In short, Old Hollywood is not well.

And with each passing year, as movie studios and broadcast networks become increasingly irrelevant, my thoughts are about real estate.

What is going to happen to all those soundstages and sprawling campuses scattered around Los Angeles and the world when no one needs them anymore?

Soundstages built in the early 20th century by visionaries from Poland, Hungary, New York and Kansas City.

Clearly they won’t be used as much in the future as production costs for high quality content continue to drop and new visionary kids from everywhere else in the world are able to compete head-to-head with the best Hollywood writers and directors.

Perhaps they will be torn down and apartments built. But apartments in those areas are for young writers and actors who move to L.A. to chase that Hollywood dream.

They don’t have to move here anymore.

Perhaps one studio will be turned into a museum of what Hollywood used to look like.

It’s a lot of land, man, and the shopping mall business isn’t so good these days either.

It’s going to be a real problem one day.

As I said earlier this year, YouTube’s Original Content Strategy Is Working and that should put every remaining media mogul on high alert.

The 1975 when millions of families crowded the television on a SATURDAY NIGHT to watch one of the three networks is over.

Now, in all likelihood, a family of five is watching or doing five different things on a Saturday night (and the rest of the week for that matter).

And this has been true for a few years.

In 2013, another profound and symbolic pillar will crumble in the epic story of the Decline and Fall of the Hollywood Empire.

The Mogul.

2013 will see most of the remaining media moguls pathetically fade away from relevance with little fanfare. And that’s sad.

WHO IS LEAVING?

1. Sumner Redstone – Many would say he has already left (despite his attempt to look youthful with that shocking sprayed on orange hair). Sumner has desperately clung to power just as he clung to the side of the hotel ledge years ago to survive a fire. Sumner will be the first to leave in 2013 either by death or senility (though many would argue he has been dead and senile for the past 25 years).

2. Rupert Murdoch – Enough with this guy and his phone tapping and continued interest in buying newspapers. He’s done. There is an outside chance the family empire could continue if Rupert appointed his daughter Elisabeth to the top job (I would buy the stock if that happened). But his continue insistence on giving his idiot sons top jobs will, no doubt, destroy all that he spent his entire life building.

3. Barry Diller – Barry Diller is just tired of it all. Does anyone really think he is excited about owning Ben Silverman’s ridiculous company or CollegeHumor or The Daily Beast or Zwinky or Sports Pickle? Sail away, Barry. The media world no longer needs you. You had a good run. Now go get drunk.

4. Jeffrey Katzenberg – The last mogul standing of DreamWorks SKG (one of the last valiant attempts made to build a true media empire like the old days), Katzenberg will sell DreamWorks Animation for a few billion less than he would have hoped and leave the Hollywood scene. He will go on to become equally annoying in the Art Collection scene.

CLINGING TO POWER

1. The Weinstein Brothers (Harvey and Bob) – Despite several high profile movies (Silver Linings Playbook, The Master, Django Unchained) that will probably win quite a few awards this season, the Weinsteins are working with a business model from 1985. Attempted diversification into TV, publishing and interactive nearly cost them everything a few years ago. What they know is how to buy, market and get Awards for small to medium sized movies. And we know where that business is headed.

2. Ryan Kavanaugh – Calling him a mogul is generous (to say the least). Attempted mogul more like it. For some reason people keep giving him money. Hopefully, that stops soon and he is forced to land his helicopter not in Beverly Hills but somewhere out in Palmdale where he can live out his existence with a few other characters from “Day of the Locust.”

WHO IS STAYING?

Khan Manka, Jr. – Despite horrible performances year-over-year in both film and television (and publishing and music, etc.), Khan Manka, Jr. remains firmly at the top of the world’s largest media company. Even though he publicly states how much he hates the job and would rather be at his house in the Seychelles, he continues to stay year-after-year and I don’t see that changing anytime in the near or far future.

2. Thomas Tull (Legendary) – Even though Legendary is more of a high-end financing and production outfit than a media empire, Tull is eyeing much larger things and has the money to do it. How far he actually takes the media empire concept is the question. Is Legendary a new DreamWorks or actually something that will be successful?

3. Hed family of Rovio (Angry Birds) is the closest thing we have these days to a new generation media mogul (and I wish Raj, Mikael and Niklas Hed nothing but the best. DON’T SELL – BUILD!). Like Walt Disney and George Lucas before them, the Heds have a real chance to build an empire from a single group of characters. Their passion and ambition is infectious and they see enormous potential while others laugh in their face. The perfect scenario for global conquest.

—————–

So, 2013, endgame for moguls.

The big ones will fall.

Some smaller ones may rise (on a lower scale).

It will never be the same.

Where is Ted Turner when you really need him?

Jill Kennedy – OnMedea

P.S. – John Malone and Brian Roberts may be considered moguls in today’s terms. I just find them too boring to write about.

January 27, 2012May 15, 2012

Facebook And The Disappearing Valuation (A Fairy Tale)

1000Memories, Accel Partners, Amish Jani, Andrew Hyde, Andrew Mason, Andy Sack, Ashton Kutcher, Aydin Senkut, Ben Silverman, Bin 38, Bob Davis, Bob Iger, Brad Feld, Brian Kempner, Chris Hughes, Christopher Steiner, Dan Nova, Daniel Gaisin, Danielle Hootnick, Dave McClure, David Brown, David Cohen, David Kirkpatrick, Demi Moore, Demo Day, Diego Gutierrez, Dustin Moskovitz, Edmond Yue, Eduardo Saverin, Emmett Shear, Eric Lefkofsky, Fergal Mullen, FirstMark Capital, Founders At Work, Francis Duong, Gaurav Tewari, Gerald Levin, Gerald Poch, Greg McAdoo, Greylock Partners, Harjeet Taggar, HBO, Highland Capital Partners, Irena Goldenberg, Jared Polis, Jeff Bewkes, Jeff Weiner, Jeff Zucker, Jessica Livingston, Jessica Mah, Jill Kennedy, Joanna Shields, John Hsin, John Palfrey, Jon Miller, Jr., Justin Kan, Justin.tv, Khan Manka, Larry Wilson, Laurence Albukerk, Lawrence Lenihan, Li Ka-shing, Loopt, Manish Patel, Manka Bros., Mark Cuban, Mark Zuckerberg, Matt Cohler, Matt Nichols, Michael Arrington, Michael Gaiss, MySpace, Nick Marsh, Nicolas Carlson, OnMedea, Owen Van Natta, Paul Buchheit, Paul Cianciolo, Paul Graham, Peter Bell, Peter Thiel, Reddit, Richard de Silva, Richard Heitzman, Rick Heitzmann, Robert Morris, Ron Conway, Rudy Adler, Rupert Murdoch, Sand Hill Road, Scott Shane, Scott Switzer, Sequoia Capital, Sergey Nazarov, Shabbir Dahod, Shawn Broderick, Sheryl Sandberg, Sterling Phillips, Sumner Redstone, Tapzilla, TechCrunch, TechStars, TextPayMe, Toy Story 3, Trevor Blackwell, Y Combinator, google, Eric Schmidt, Tina Brown, The Daily Beast, Barry Diller, Dan Lyons, Google Smear campaign, Burson-Marsteller, Chris Soghoian, Jim Goldman, John Mercurio, Mark Pincus, Zynga, Spotify

Once upon a time, in the tiny hamlet of Menlo Park, California, there was a company called Facebook.

This company was unlike any other (sorry, make that ‘like MANY others’) in that it connected people from around world through a magical and glorious technical achievement called the Internet.

Everyone loved Facebook:

“Oh my God, it is so easy to upload pictures of my baby!”

“I can’t believe I found all my old high school and college friends so easily!”

“Hey everyone, I’m off to get a coffee – can’t start my day without coffee!”

People from around the world chatted, and shared, and reconnected. There was something really exciting going on in the tiny hamlet of Menlo Park.

But then, one day, because Facebook was growing so so so very large – and its bills were growing so so so much – it needed to somehow make money.

Facebook was so kind that they didn’t want to charge people for the privilege of using its service – so it added advertising. Advertising so tiny that the people of the world didn’t even noticed the ads were there.

“There are ads on Facebook? You know, I’ve never seen one – and I certainly have never clicked on one! Good for them.”

Perhaps Mean Old Mr. Advertiser started to realize that no one was clicking or even noticing his ads.

But little Facebook still needed to get paid – I mean, even a whore has to eat – so they decided to work something out with Mean Old Mr. Advertiser.

Maybe they could somehow leverage their size and sell the personal information of their 900 million users. Would that keep Mean Old Mr. Advertiser off their backs so they could resume their happy life of connecting the world and bringing nothing but joy?

Facebook was so kind to its users that they even added a “Like” button (because “Like” is much nicer than “Dislike” and Coca-Cola doesn’t want to see how many people “Dislike” Coke Zero).

It was so simple, users could either “Like” something or choose not to hit the “Like” button. It was up to the user.

That worked for awhile until the users of the world started to realize what was happening. Many users got angry and felt their privacy was being invaded.

About 15 people actually quit Facebook (while another 100 million signed up).

After a few months, things calmed in the tiny hamlet of Menlo Park and the people on Facebook – to a lesser degree – felt fairly happy again.

But then, one day, Facebook decided that the users of the world needed to share every bit of information about their lives – from birth to even death – and put it all into a very conforming and dizzying glop of data called Timeline.

Mean Old Mr. Advertiser LOVED the idea of Timeline.

Finally, Facebook was thinking like him. Now they got the idea. Mean Old Mr. Advertiser could scour the lives of the people of the world and target them with goods and services that they may or may not enjoy.

And somehow, in just a brief eight years of existence – little Facebook grew and grew and grew and became worth $100 BILLION FUCKING DOLLARS! Oh, goodness, pardon me. (An IPO last year would been insane! What a missed opportunity!… but I digress.)

Well, from here the story gets a little tragic.

The beaten down people of the world and users of Facebook grew so exhausted from the daily overhauls of the site (which were necessary to maximize revenue) that they actually stopped spending time on Facebook – instead reading real books to their children and enjoying the outside world.

Comments started to appear on other websites (yes, there are actually other websites) saying they hate Facebook, are never going back and are quitting.

Poor little Facebook. They just wanted to HELP the world – not FUCK OVER the world.

How could a crappy redesign and a selling of their soul piss people off so much?

It’s just a website after all (one that is on its way to becoming WORTHLESS and must be STOPPED for the good of the world!… one more digression).

I mean, why do the people of the world care so much?

Well, we all know how the story ends.

Disgruntled engineers (and let’s assume an MBA or two) who helped create the chaos from the direction of Uncle Mark and Aunt Sheryl, began grumbling about their need to become millionaires and billionaires like so many of their friends.

The only way to stop them from leaving the tiny hamlet of Menlo Park – and going to, oh, say, the dangerous crack alleys of Mountain View and Cupertino to seek their fortune – was to take the company public.

By selling $5 or $10 billion dollars in stock to the ‘public’ (at a BULLSHIT valuation of $100 billion!) everyone could become rich and (yes) happy.

So at least the employees of Facebook will now be happy. The people of the world, who are seriously beginning to hate Facebook and are either leaving or staying away in droves, are less and less happy every day.

But Mean Old Mr. Facebook couldn’t care less – the users can go fuck themselves.

“Just put your freakin’ family photos in the template we have provided, “Like” the new Coke Zero, play the stupid Zynga games, pay for a movie rental, pay for a music subscription, and keep your stupid mouth shut. We’re not getting to a trillion dollar valuation from pictures of your goddamned baby!”

Mean Old Mr. Facebook is right. The User is wrong.

The moral of the story: Don’t screw your users. They’re the ones that built you up and they’re the ones that will bring you down.

Jill Kennedy – OnMedea

November 8, 2011November 8, 2011

The X Factor Is Terrible

Allen & Company retreat, Anne Mulcahy, Ari Emanuel, Barry Diller, Ben Silverman, Bob Iger, Bobby Kotick, Carol Bartz, Charlie Rose, Cory Booker, DumbDumb, Electus, Eric Schmidt, Erin Burnett, Gina Bianchini, Harvey Weinstein, Herb Allen, Herb Allen Sun Valley Conference, Herbert Allen, Jean-Bernard Levy, Jeff Bewkes, Jeff Weiner, Jeff Zucker, Jeffrey Immelt, Jerry Yang, John Donahue, Ken Auletta, Khan Manka, Lachlan Murdoch, Lady Gaga, Leslie Moonves, Lionel Barber, Lloyd Grohl, Manka Bros., Marc Andreessen, Marissa Mayer, Mark Pincus, Mark Zuckerberg, Martin Sorrell, Mathias Dopfner, Mike Bloomberg, Niall FitzGerald, Peter Chernin, Phillippe Dauman, Reid Hoffman, Richard Parsons, Ricky Van Veen, Rob Wiesenthal, Robert L. Johnson, Ron Meyer, Rupert Murdoch, Sergey Brin, Sheryl Sandberg, Steve Jobs, Sun Valley Retreat, Sun Valley Retreat 2010, Terry Semel, Tom Freston, Tom Friedman, Ursula Burns, Vivi Nevo, Warren Buffett, World's Largest Media Company, Rupert Murdoch, Jose Maria Aznar, natalie Bancroft, Peter Barnes, Chase Carey, Kenneth Cowley, David DeVoe, Viet Dinh, Rod Eddington, Joel Klein, Andrew S.B. Knight, James Murdoch, Lachlan Murdoch, Thomas Perkins, Arthur Siskind, John Thornton, Stanley Shuman, Rebekah Brooks, Les Hinton, Teri Everett, jack Horner, Julie Henderson, Reed Nolte, Roger Ailes, Janet Nova, John Nallen, Beryl Cook, Michael Regan, Genie Gavenchak, Brian Lewis, Irena Briganti, Dan Berger, Rosabel Tao, Steven Rubenstein, Suzanne Halpin, Elisabeth Murdoch, Simon Cowell, Paula Abdul, L.A. Reid, Nicole Scherzinger, Steve Jones, Drew, Melanie Amaro, Rachel Crow, Lakoda Rayne, The Stereo Hogzz, inTENsity, Josh Krajcik, LeRoy Bell, Stacy Francis, Astro, Brian Bradley, Chris Rene, Marcus Canty, Ben Thursby, Jason Sands, Andrew Kimmel, Cecile Frot-Coutaz, Siobhan Greene, Richard Holloway, Andrew Llinares, Jason Sands, Rob Wade, Autumn DeVitry, Heath Luman, Steve Bae, Kari Killion, Robin Koethcke, Karla LeCroix, Shelby Wagner, Caroline Abaecheta, Maggie Brockmann, Tim Byrne, Vira Chhay, Jessica Devlin, Paul Fishman, Ryan Goble, Mike Hofferth, Dan Keats, Pete Ogden, Yasmin Rawii, Marla Roberts, David Silberman, Jacqui Denker, Elaina Fish, Drew Fontes, Brian Friedman Henri Hebert, Ben Idom, Michelle Kirschner, Ian Mallahan, Tyree McLyn, Sara Sanders, Greg Matthews, Florian Wieder, Louis Borreli, Chad Cohen, Tiffany Hoss, Vanessa Rose Ioppolo, Reilly Oliver, Zach Jarosz, Jen Muccia, Stephanie Cieplinski, Abigail Doyle, Katie Franzeo, Maxwell Harris, William Lacey, Michael Boeder, Tammy Raab, Donald Hudson, Tom Riles, Natalie Threlkel

First of all, I am not a television critic. I am a critic of the television industry – but not really on the content itself.

That said, last week, while at a Manka Bros. corporate retreat, I actually sat and watched a full episode of “The X Factor” – and it was terrible.

Seriously, this is a really bad, over-produced mess.

A massive train wreck.

I can see now why the ratings have been just “okay” (considering the enormous pre-season expectations).

I thought this was going to be a huge show and even killed “American Idol” last year after it was announced that Simon Cowell was leaving (to ultimately start “The X Factor”).

I will admit now, my killing of “American Idol” was wrong. That show is alive and surprisingly well after more than a decade.

That’s more than I can say for “The X Factor”.

From what I saw (to be fair – on my one viewing), this show is complete disaster and won’t be alive two years from now (much less a decade). I know it was renewed for next year but I have a feeling that was part of the original deal (though they made a press announcement like it was a big surprise). Maybe there’s a chance this show could improve and grow into something – but I doubt it. There are too many problems.

The main advice I have for this show: Calm the fuck down.

Here are the key problems as I see it:

1) SIMON COWELL. The man who single-handedly turned “American Idol” into a must see phenomenon, is the biggest hindrance of his own show.

Why?

Because he has to DO stuff on this one. Not just sit in the chair, look disinterested, and throw out barbs that make America scream at the television. That was the biggest strength of “American Idol” – his laziness.

Now, he’s pitching products, reading off cue cards – it’s a disaster. He is so far out of his comfort zone that he has destroyed the one thing “The X Factor” has going for it – himself.

He needs to fire himself – simple as that.

2) THE OTHER JUDGES. No chemistry and embarrassing to watch – especially when they try to stir up some sort of controversy or generate angry banter.

The carefully choreographed verbal jabs between the judges is as convincing as a 6th Grade production of “Who’s Afraid Of Virginia Woolf?”.

Why is that?

Because we all know Simon hired all the judges (in almost a reality show of its own) and we know that Paula was sort desperate for this gig – so any little “fights” she has with Simon ring false.

On “American Idol” it worked a little better because they were all hired guns that negotiated separate deals. Simon negotiated all of “The X Factor” judges deals. He owns them which is why it doesn’t work.

3) THE TALENT. Is it just me, or does nearly every act in the Final 12 suck?

As I was watching them all perform, there were so many moments that took me out of the music – bad notes, awkward stage presence – so many moments that I yelled at the television: “These people are singing for $5 million bucks?!”

Maybe because there are so many singing competitions on TV these days the talent pool is getting shallow – but, to me, this is a pretty pathetic crop of finalists. Especially the children!

4) THE PRODUCT PLACEMENT. Good God, the product placement is completely out of control. Seriously. The Verizon X Factor App (or whatever)? And Simon introduces the Verizon App while drinking a Pepsi. It’s comical.

They are probably looking for ways to sponsor the sponsorships: “The Verizon App brought to you by Pepsi and Depends disposable adult diapers (so you don’t have to miss one second of “The X Factor” – just go in your pants!).”

5) THE PRODUCTION VALUES. What in the Hell is up with that set design? These crappy singers are singing in a pinball machine from 1986. The lights and the moving panels and the smoke and mirrors and lasers.

What the fuck?

We all know whoever wins is going to be singing at County Fairs with Kellie Pickler this summer. The sets there will be bales of hay and deep-fried bacon machines. Just calm the fuck down.

Plus, there are those power “X Factor” dancers that gyrate around these poor contestants as they try to make it through “Moon River” without their voice cracking.

On “American Idol”, Simon always used to emphasize that it was a “singing competition”.

He could obviously care less about that now.

Other than that, it’s a pretty awesome show. Fox has done it again!

Jill Kennedy – OnMedea

September 1, 2011December 12, 2011

Facebook Must Be Stopped

There is an evil temptation that far too many companies are having trouble resisting – the temptation to launch a new product or service on Facebook.

Every month, when the number of Facebook users seem to go up by 100 million or so – to a current tally of 750 million (let’s be serious, about half are most likely fictional or animals), the CEOs of most entertainment and technology companies get the crazy urge to somehow “tap into that customer base.”

This crazy urge must be resisted. Why? So Facebook is destroyed and the people of the world can go on to a much more interesting existence.

In my opinion, doing business with Facebook is the equivalent of doing business with China. Companies feel they need break into the Chinese market because there is FREAKING 1.3 BILLION PEOPLE THERE! “If we just get 0.0001% we’ll be successful. It’s a no brainer!”

And nearly every company goes there with their hat in their hand – giving every insane concession imaginable just to get in the door – and, eventually, come home with a giant footprint on their ass.

Reminder: The Chinese government can do whatever they want. The deal signed means nothing. If they don’t like your attitude or your product or just feel you’re getting a little “too friendly”, they’ll cut you off and send you home a miserable failure. And it doesn’t matter how many cartons of cigarettes or bottles of Slivovitz you give local officials. When it’s over, it’s over.

This is also true of Facebook.

I firmly believe Facebook could absolutely destroy Zynga (and numerous other companies) overnight. They have that power.

Granted, there is too much money at stake with Zynga’s upcoming IPO, so they probably won’t exert that power. But do you think the Zynga executives are going to do anything to antagonize Facebook… ever? Mark Zuckerberg knows the power he has over Mark Pincus.

That is another reason why Facebook must be stopped. Too many people are believing the hype and are afraid of being left behind.

Every day, Facebook dominates technology news. Press release after press release announces Facebook’s new initiatives and services. Their PR department sends out a press release, websites rewrite them slightly and, pow, you have technology news with a narrative controlled by… Facebook.

This week came a “leak” that they will be going into the Music business by blending streaming services such as Spotify, rdio and MOG into the Facebook user experience.

After all, why should anyone have to leave Facebook to listen to music? Why should anyone have to leave Facebook ever?

(I am working on a product that integrates Facebook into my morning shower. There must be a way to combine my Facebook news feed with the water from the shower head so my friend’s status updates directly enter my pores and absorb into my brain. But I digress….)

Spotify is a great service. They don’t need Facebook. People on Facebook don’t complain about having to toggle away from Facebook in order to go onto Spotify. It ain’t broke, don’t fix it!

Spotify and other media companies need to resist the temptation of the 750 million non-paying users (which includes millions of dogs and cats who don’t really care what songs they listen to).

And look at this growth chart (left). 7.3 billion users in 2015 vs. only 7.2 billion people alive on the planet!

Major media companies (including my parent company Manka Bros. Studios) need to realize that Facebook needs them more than they need Facebook. (Manka Bros. is actually working on a ‘Facebook Killer’ – Caligula – to launch later this year but I fear it will be more of the same.)

Content is the driver of everything in media. Put a great movie on a crappy 13 inch black & white TV and it’s still a great movie and people will watch it. Put a shitty movie on a 110″ inch HD television screen with Dolby SurroundSound, movie lighting and a cocktail, and it’s still a shitty movie that no one will watch.

Facebook needs to realize that the only reason they are popular is because we all have this urge to see what our friends from high school and college look like now. That’s it really. It’s not to watch “The Dark Knight” for 30 Facebook Credits or buy pigs on “Farmville” (millions do it, I know, and why not? – it’s right there in front of us and we’re freakin’ bored with our lives).

But I think it’s time to break away and see what else is out there in the world.

Jill Kennedy – OnMedea

August 3, 2011December 2, 2011

OnMedea Raises $50 At A $1 Billion Valuation

I did it!

So, my mom sent me a check for $50 because she wanted to buy a piece of my growing media empire. (The growing part is a yet-to-launch blog on the insane nightlife of La Canada, CA called “La Canada Nights”.)

I told my mom her share of the company would be based on a $1 billion valuation (as it seems that’s the only valuation there is for a company these days).

For that $50 she will own 0.00000005% of the company. As part of my deal with Manka Bros., I own 50% of OnMedea (valued at $500 million), Manka Bros. owns another 20%($200 million) and Khan Manka, Jr. owns the remaining 30% ($300 million). My mom’s share will come out of my piece.

While some would say this is an outrageously high valuation and a sign that we are truly in a bubble – it’s really no more ridiculous than Airbnb, LinkedIn, Zynga, Groupon, Facebook or (fill in Y Combinator’s next spin-off here).

You could argue – hey, your annual revenues are in the low four figures, Zynga makes hundreds of millions (mid nine figures).

Point taken.

But here’s my point: A pumped up valuation is exactly that.

The key question for the entire financial ecosystem of Silicon Valley is, why do you do it? Answer: Because you can’t stop yourselves.

A fair valuation is not even on your radar because greed and jealousy take over. ‘That guy over there is 21 and got $200 million, I’m 25 and I’m only getting $100 million? F that!’

Why is everyone so desperate to reach THE BIG $B? Is just because of that one line of dialogue in “The Social Network”? Goddamn that is shallow… oh, yeah, right… I forgot who I am writing about.

Seriously, what’s wrong with a $350 million FAIR valuation and then show the world that you can grow and be worth more? Or a $50 million FAIR valuation? This obsession with “BILLION” is going to bring the entire system crashing down in the next year or so.

Bullshit is bullshit is bullshit…

But I digress… today, yippee-ki-yay, OnMedea is worth $1 billion dollars!

Suck on it.

Jill Kennedy – OnMedea