Time Warner vs. Viacom: Who's the Winner?
01/08/09 - 11:58 AM EST
So who's the villain? Both companies were simply acting in their best interest. But Time Warner got pegged as the bad guy, especially after Viacom upped the ante by taking out full-page newspaper ads showing Dora the Explorer sobbing at the prospect of being taken off the air.
In the end, Time Warner caved. An executive with knowledge of the negotiations told The New York Times that Time Warner had agreed to pay more for Viacom programming, although neither side has revealed whether it was the full amount Viacom demanded. Which leads me to wonder: Did Time Warner really think it could hold on to customers without marquee channels like Nickelodeon and MTV? By forcing Viacom's hand, did it gain anything other than (possibly) a slight fee decrease? There's nothing wrong with getting your side of the story out there, especially if you think you're being treated unfairly. But make sure going public is going to pay off. For Viacom, it did: the company got more money for its programming and got to paint Time Warner as the party at fault. Are you ready for the consequences of a public fight? Because sometimes, the only thing left on the battlefield is your dignity.



