aol time warner merger analysis l.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
AOL/Time Warner Merger Analysis PowerPoint Presentation
Download Presentation
AOL/Time Warner Merger Analysis

Loading in 2 Seconds...

play fullscreen
1 / 11

AOL/Time Warner Merger Analysis - PowerPoint PPT Presentation


  • 206 Views
  • Uploaded on

AOL/Time Warner Merger Analysis 8 November 2001 De La Cruz, Novacheck, Ponomarev, Wolfe Agenda Logic for the merger Challenges of the merger Merger: is it a success? Content vs. Distribution Takeaways Logic for the merger

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'AOL/Time Warner Merger Analysis' - Antony


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
aol time warner merger analysis

AOL/Time Warner Merger Analysis

8 November 2001

De La Cruz, Novacheck, Ponomarev, Wolfe

agenda
Agenda
  • Logic for the merger
  • Challenges of the merger
  • Merger: is it a success?
  • Content vs. Distribution
  • Takeaways
logic for the merger
Logic for the merger
  • Economies of scope: convergence of media, entertainment, communications and Internet.
  • Vertical integration: advertising and content distribution.
  • Market Power: combining distribution and content
challenges of the merger
Challenges of the merger
  • Antitrust issues in US (FCC/FTC approval):
    • Competitive ISPs
    • Competitive Instant Messaging
    • Interactive TV “triggers”
  • Antitrust issues in Europe:
    • Music and technology monopoly
merger is it a success
Merger: is it a success?
  • Yes:
    • Platform for advertisers
    • Internal advertising
    • Customer synergies
  • No:
    • Declining growth of revenues
    • Unrelated business: cannot cut costs
    • Over-advertising
content vs distribution
Content vs. Distribution
  • Distribution wins: Disney is at a disadvantage.
    • Partnerships or acquisitions of distribution channels.
content vs distribution8
Content vs. Distribution
  • Content wins:
    • Focus on core competency
    • No need to make expensive internet acquisitions
  • Disney is in a good position.
    • Needs to improve current content
    • Needs to purchase new content
takeaways
Takeaways
  • Short Term
    • Strengthen content
    • Establish partnerships with distribution channels and complementors
  • Long Term
    • Explore potential acquisitions of distribution channels