Marvin Liao’s Post

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Global Macro Investor with a Speciality in Startups. Operator-Investor. Portfolio Entrepreneur.

"Content can only briefly be king. In the long term, distribution advantages enable you to get paid for both your shitty content as well as your hits. Content-first companies are only as good as their next amazing product. Ellison does recognize this dynamic. In a podcast interview he conducted after the deal was announced, he said, “We live in a world where an A- is failing. You have to have a creative culture that believes quality is the best business plan.” This is a noble sentiment and theoretically possible, but it is much harder to produce A+ quality content for years than simply owning the distribution during that time. The original Paramount knew this. For nearly 100 years, it rode each technological wave by capturing unique, defensible distribution. There has never, ever, in the history of media, been a company to reach that size without some kind of distribution engine. Even if Paramount had been permitted to keep its studio system through the present day, the internet would render it moot. The attention economy is simply too ferocious." https://lnkd.in/ga4rMd3N

Paramount's Dilemma: Content Isn't King—Distribution Is

Paramount's Dilemma: Content Isn't King—Distribution Is

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