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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. THE DYNAMICS OF MASS COMMUNCATION Joseph R. Dominick University of Georgia--Athens
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Chapter 10 Television History History Contemporary Television Contemporary Television Television in the Digital Age Television in the Digital Age Defining Features of Television Defining Features of Television Organization of the Broadcast Television Industry Organization of the Broadcast Television Industry Ownership in the Television Industry Ownership in the Television Industry Producing Television Programs Producing Television Programs Economics Economics Public Broadcasting Public Broadcasting Cable Television Cable Television Home Video Home Video Direct Broadcast Satellites Direct Broadcast Satellites Feedback Feedback The Television Industry The Television Industry Chapter Outline
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 1928 – Zworykin’s iconoscope 1930 – Farnsworth’s image dissector 1939 – First public demo –NBC, owned by RCA –World’s Fair WW II leads to technical advances 1948 – FCC’s freezes licenses for 4 years 1952 –12 VHF and 70 UHF channels History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 1950s –Radio as model –Video tape developed in 1956 by Ampex –UHF peters out –Color broadcasting –Golden Age Ed Sullivan’s Talk of the Town Texaco Star Theater Adult Westerns such as Gunsmoke History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 1960s – TVs in 95% of US homes Network news 15 30 minutes TV journalism excels covering: –JFK, King, and RFK assassination events –Civil Rights movement –Apollo space program Public Broadcasting Act of 1967 set up PBS History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 1970s – TV viewing and violence Citizen action groups and the FCC Cable TV becomes a serious competitor Law-and-order programs –The FBI; Mannix All in the Family Dallas & Dynasty History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 1980s 1990s – Big 3 continue to decline (90% 60%) Fox, UPN, and WBN start up Disney buys ABC Westinghouse buys CBS Cable in 68% of U.S. homes by 2000 Cable a serious competitor –Premium channels –PPV Advertising revenue History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. VCRs in 90% of U.S. homes by 2000 Cassette rentals become multibillion dollar industry Timeshifting Zapping Zipping Grazing Direct Broadcast by Satellite (DBS) History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Telecommunications Act of 1996 –TV program rating system –V-chip Family-oriented comedies –Family Ties The Cosby Show Newsmagazines –60 Minutes Dateline NBC Reality programs –Survivor Big Brother History
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Contemporary Television 2000-2005 Reality programs: 12 hours of prime-time schedule Controversy over consolidation of TV station ownership Continued development of HDTV Satellite television continues to grow
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Digital TV advantages include: –Picture clarity –Letterbox format –CD-quality sound –Programming, interaction, Internet –Channel subdivisibility Only 12% of U.S. HH have digital sets Country wide conversion from analog to digital by 2007 Television in the Digital Age
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Ubiquitous – now in 99% of U.S. homes Informative –Dominant source of news and entertainment –Television on 7 hours a day Expensive –One-hour drama: $2 million per show –30-second prime time ad: $100,000 Fragmented –Specialized content –Lower audience share Defining Features of Television
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. FCC licenses stations into “markets” 210 TV markets in US Seven networks: –ABC, CBS, NBC, FBC, UPN, WBN, Paxnet PBS: the network for non-commercial stations Independents: stations with no affiliation Organization of the Broadcast Television Industry
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Production: three major sources –Local – news, sports, community affairs –Syndicated – Oprah, Jeopardy –Network – CSI, Will and Grace Distribution: three major methods –Broadcast networks –Cable networks –Syndication companies Organization of the Broadcast Television Industry
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Exhibition –VHF channels, 2-13 –UHF channels, 14-69 –Affiliated stations –Independent stations TV Online – Networks and stations –Product promotion –Programming lineups –Local weather and news Organization of the Broadcast Television Industry
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. NBCGeneral Electric ABCWalt Disney Company CBSViacom FoxMurdoch’s News Corporation WBTime-Warner UPNViacom Ownership in the Television Industry Telecommunications Act of 1996 and 35% --- is owned by ---
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Local station departments –Sales – selling time, scheduling ads, billing clients –Engineering – maintains and operates technical equipment –Production/programming – local productions, acquisitions, scheduling –News – local news production –Administration Producing Television Programs
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Network departments –Sales – commercials, handles ad agencies –Entertainment – new programs –Owned & Operated Department –Affiliate Relations –News – network news and public-affairs programming –Sports –Standards – content checks for legal and network compliance –Operations – sends programs to affiliates Producing Television Programs
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Getting TV Programs on the Air –Local News is the thing Camera crews, reporters, editors News director and newscast producer Anchorpeople, weather & sports forecasters –Network Prime time (8-11 pm EST) Pilot 5-6 more shows rest of season 25 pilots per year per network Producing Television Programs
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. TV industry has always made money Yearly ad revenue $60 billion in 2004 Three types of ads –National – 36% of revenues –National spots – 32% –Local – 32% As audience size , ad prices Programming costs = 35-40% locally Economics
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. History –Public Broadcasting Act (1967) Corporation for Public Broadcasting (CPB) Public Broadcasting System (PBS) Often at odds with each other and local public stations –Funds cut by Reagan (mid 80’s) –Prime-time ratings down 25% over past 9 years –Audience is aging (mid-50s) Public Broadcasting
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Programming and Financing –Pre-1990: Station Program Cooperative –Post-1990: Centralized programming –Trouble with donor lists –Programming awards Sesame Street Nova Cosmos –2005: 349 stations / 169 licensees –50%+ homes in USA watched PBS at least 1x/week –Adult Learning Service and Teacher Source Public Broadcasting
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Public Broadcasting
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. History –Originally designed for remote areas –Regulation and deregulation by FCC –1965 – growth in large markets –1972 – less restrictive –1980 – most rules dropped –1984 – deregulation of rates –1992 – Cable Television Consumer Protection and Competition Act –1996 – Telecommunication Act Cable Television
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Cable Television Table 10-3 Five Largest Cable System Operators, 2003
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Cable Television Figure 10-2 Cable Transmission of HBO Programming
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Local Programming –Local origination and local broadcast stations –Superstations WPIX (New York) WWOR (New York) WGN (Chicago) KTLA (Los Angeles) KWGN (Denver) WBSK (Boston) –Special cable networks – MTV, BET, C-SPAN –Pay services – HBO, Showtime, Cinemax –Pay-per-view Local Revenue –Subscription fees –Local Advertising Cable Television
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Network Programming –Original productions – CNN, C-SPAN, ESPN –Movies – HBO, Showtime, Cinemax –Syndicated programs Network reruns Game shows Network Revenue –Advertising – TNN –Carriage fees – MTV, ESPN, C-SPAN –Subscription fees – HBO, Showtime Cable Television
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. VCRs and DVDs prevalent in US homes DVR – Digital Video Recorder (TiVo) VCR and TiVo used to timeshift Industry organization –Production – Motion picture studios –Distribution – 90 distributors in USA –Consumers spent more than $20 billion on cassettes and discs in 2004 –Video cassettes becoming obsolete Home Video
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. 23M homes equipped with DBS (2005) Subscribers use cable and video rentals less Dishes down to $200 in 2005 Satellite Home Viewer Improvement Act –Allows DBS to carry local broadcast channels –Increased rate of DBS growth Dominant: DirecTV and EchoStar HDTV, high-speed Internet, interactive TV Direct Broadcast Satellites
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Network ratings –Nielsen Media Research –5,000 People Meters, changed every two years Local market ratings –Combination of diary and electronic metering –200 markets, 4 times per year (“sweeps”) Electronic Media Ratings Council –Monitors, audits, and accredits all broadcast rating services Feedback
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Ratings = Number of households watching a program Number of TV HH Audience share = Number of households watching a program Number of TV HUT Feedback
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Additional Feedback – Prediction –Questionnaires In-person Telephone –Concept testing 1-2 paragraph idea presentation –Pilot testing Test theater with like/dislike buttons Cable tests Feedback
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Television Audience Characteristics –Cable is now 68% of TV households –Set is on for 7 h/day –Individuals average 3+ h/day –Viewing is heaviest: In winter In low-income households In people with less education Among women rather than men –Teenagers watch the least amount of TV Feedback
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Feedback Figure 10-4 Household Viewing of Television at Various Times of the Day
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Employment Numbers –110,000 in commercial TV –100,000 in cable TV –10,000 in non-commercial TV –16,000 at TV networks Entry-level –Think small –Start at the bottom –Be prepared to move The Television Industry
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McGraw-Hill © 2007 The McGraw-Hill Companies, Inc. All Rights reserved. Upward Mobility –Directors and Producers start: Camera operator Floor manager Production assistant –On-camera reporters start: General reporting jobs at small stations –Off-camera reporters start: Newswriter News researcher –Managers start in sales positions The Television Industry
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