Tuesday, October 26, 2010

Making Money on the Internet


Fallacy Debunking: Successful New Business Model Examples Are The 'Exception'

from the debunker's-forum dept

I've been meaning to start to put together a series of posts that debunk the common "criticisms" we get that are all too often based on logical fallacies. I end up spending way too much time in the comments responding to people posting those same logical fallacies over and over again, and it would be nice to be able to point to posts that "answer" the complaints quickly. I'm still not sure if I'll ever really get around to it, but sometimes someone else does such a nice job of it, that I might as well highlight it with a post here.



In this case, it's the commonly claimed fallacy that all these new business models don't really matter because of two things: (1) so much money is still going to the "big players," and (2) there are only a "few" examples of these models working, so they're outliers.



One example of this kind of thinking was seen in the comments to our recent post about the developer of the game Minecraft making $100,000 per day, without any distribution or retail deals or really any outside help. Yet, one of our commenters said this was nothing, because Halo made $200 million on its first day. Of course, that's a pure apples to oranges comparison. Halo is from Microsoft, and involves a giant team, a huge budget, massive advertising and distribution deals. I would guess that if you compared the two in terms of profitability per developer, Minecraft would win by a wide, wide margin.



Anyway, it's a meaningless comparison. Setting an artificial level as determining what counts as a "success" makes no sense. What we're interested in when we're looking at new business models and new strategies is how these compare to how a similar person would have done without those models. Without the internet and the ability to distribute Minecraft the way Markus Persson is doing so, he wouldn't be making anywhere near $100,000 per day. More likely is that he'd be working for a much larger gaming company, one piece in a cog, and bringing in something closer to $100,000 for the year, and not working on projects nearly as interesting.



Another example of this occurred earlier this year, when a Billboard reporter, Anthony Bruno, attacked the concept of "CwF+RtB" by arguing that I've only "cherry picked" the success stories, and many who have tried it failed to become successful. But, that makes no sense. No one guaranteed that using a smart business model automatically makes your band a huge success. What we said is that if you do it right, it's likely you'd be more successful than otherwise -- but that still might involve only a minor improvement if under the old system you wouldn't be successful at all. And if the CwF+RtB concept doesn't matter because some artists who have used it haven't become big stars, then wouldn't that mean that the "traditional" model of big record label/sell CDs has always been a dreadful failure since so few artists become successful that way? After all, pointing to the success of Led Zeppelin or Pink Floyd or the Beatles under the old model, is certainly pointing to the cherry-picked "exceptions."



Andrew Dubber points us to a fantastic blog post by Rich Huxley, of the band Hope & Social, who ran into this sort of "criticism" after writing a blog post (similar to many we've written) reminding everyone that the big record labels are not the "music industry." In the comments, a guy named Tim London challenged that by claiming that since the big record labels still take in a ton of money (in aggregate), and many of these new business models appear to be artists making much smaller amounts, the record labels still are the industry. One sentence from his comment should give you the general summary:


I know you're wrong because the music industry as represented by the majors is still coining it and the music industry as rep'd by you is getting by, struggling, working part time or making music as a hobby.

There's that apples and oranges comparison again. Thankfully, Huxley decided to write an entire (brilliant) blog post debunking the idea that the total amount of money some record labels make is indicative of the overall value of a particular model. First, he goes through some basics to show how many musicians there are out there, and points out that money made isn't always an indicator of quality ("That Van Gogh was a penniless artists does not diminish the greatness of his work.")



But then comes the real point, explained eloquently. The critics like this highlight the huge earners in the existing industry, but ignore that the overwhelming majority of the folks who try to go the old route end up making $0. They mock the person embracing new business models for "only" making a decent living, ignoring the fact that so many who went the way they prefer were drummed out of the industry making no living at all. Here's the way Huxley explains it:

Less than 10% of signed artists recoup. Take Maximo Park for example. They have by their own admission never made a penny from record sales and make their money from DJ sets in the main. An example I have first hand knowledge of, Embrace, have sold millions of albums, they were a genuinely massive band; they performed from Glastonbury main-stage to Top Of The Pops and everywhere in-between. When they split from Virgin, they owed their label three quarters of a million pounds. I guess my point is that if we promote the Trad Music Biz's model as "The model" then the message we'd be sending is:

  • less than one percent of musical artists are part of the music business

  • only a tenth of those will recoup and make money from their record sales, and that's good

  • an artist should be saddled with debt, the rate at which they pay that back is equivalent to a credit card with a 900% interest rate



Basically, the problem is that those who cherry pick just the biggest artists ignore all the ones who made nothing at all from a record label deal, thanks to the fun of RIAA accounting. In other words, those artists are the true "exceptions." They're the ones who got the winning lottery ticket, but you can't ignore all those who got nothing. If you were to put all of the musicians who went the "traditional" route into a set, and all of the musicians going the "new" route into a set, and took the median, I'd guarantee that it would be higher in the new set. And that's the point. Embracing the new ways makes it much more likely that you'll make some money. It improves your chance of being able to make money making music. And that seems like a good thing, right?



As a part of that, of course, is that all of the costs have gone down with the new ways of doing things. The reason why people needed the old gatekeepers to fund stuff in the past was because there were no cheaper options. The only way to actually get this stuff done was to go through them. But these days, everything is cheaper. As Huxley notes with his band:

Hope and Social believe in and benefit from Pay What You Want. We go on about this here, but also... As musicians, we all have the ability to take advantage of the same channels that H&S have:

  • dramatically reduced costs of recording


  • a zero cost of distribution (should we choose to make mp3s available on the internet then there's no cost to us. This is miles away from the Trad model where the cost of recording and manufacture made it nigh on impossible to record and release independently)

  • reduced cost of promotion (CD's don't need to be sent to reviewers, press etc at the cost of a quid per CD, and half again on postage)

  • and by building relationships with people, they become our PRs, our evangelists (to coin another religious term, man I've got to stop doing that)


Also, there is a value in making your music available for free. If someone downloads an album of ours and shares it with a friend, copies the CD, plays it at a party, then that's how we share and have our music heard by more people. This results in:



  • higher gig attendances

  • better paid shows

  • more sales of our music

  • more sales on other merchandise and art that we, and our fans make.



Finally, I'll make one final debunking point that Huxley didn't cover: London seems to have confused absolute revenue with the change in revenue (delta). If you look at those embracing new models, it may be smaller (now), but it's growing quite quickly. If you look at the big record labels, they're declining in size. Which trend is a better bet? It's really a version of the Innovator's Dilemma where the new growth trend is ignored because it's not "as big" as the legacy business. Ignoring the deltas is dangerous.



And there we go. If you're claiming these new model success stories are the "exception," then it's only fair to admit that those who succeed under the traditional models you claim are so good were actually much bigger "exceptions." Can we now consider this argument debunked, and just link back to this post any time people bring up an argument like this?



276 Comments | Leave a Comment..



I’m sure you’ve heard about the Juan Williams/NPR debacle. You may also know that Senator Jim DeMint has vowed to introduce legislation that will deprive NPR, as well as public television, of taxpayer funds. It seems that in this political climate, asking a candidate where they stand on funding public broadcasting or the arts has become the new litmus test, replacing questions about abortion and gay rights.


In other words, it’s Christmas everyday for Libertarians.



There seem to be three consistent arguments in favor of tax dollars being spent on public broadcasting and government subsidies for “art,” First, the defenders question the amount of money actually on the table. After all, these programs are but a teeny-tiny piece of our ever expanding government. Secondly, dispensing taxpayer cash on media is “in the public interest.” In the unholy pursuit of “profits,” private broadcasters and artists often compromise their work to make money. Private news organizations like FOX and MSNBC sensationalize the news and have become hyper-partisan in order to increase ratings and advertising dollars. We need outlets that are free from the restraints of the free market. And, of course, there is the elephant in the room, which in this case is a giant yellow bird. “Sesame Street.”


What kind of Islamophobic, racist, evil, baby-blood-drinking fascist wants to send Elmo to the unemployment line?


The first argument is simply ridiculous. We’ve all had to, at one point or another, examine our household budgets and look for spending cuts. We write down a list of our expenses, organizing them in order of both cost and importance. At the top is stuff like rent/mortgages, utilities, car payments etc. Towards the bottom is the fun stuff like vacations, extra cable channels, and faster internet. Everybody always starts at the bottom. Nobody starts at the top. “Hey, let’s ditch the house and keep our annual trip to the Wisconsin Dells?”  My girlfriend always likes to try and sneak cigarettes and scotch into the non-essential category. Nice try. I always push for more mac and cheese in order to keep my subsidies of R.J. Reynolds and Pernod Ricard intact. But I digress.


The money we spend on arts and media at the federal level is never too small to ignore. I think most taxpayers would trade a free movie ticket once a year for all the Bill Moyers specials, Nina Totenberg insight, and jars of pee and crucifixes that our federal government can buy. Public broadcasting and the arts are but two of a myriad of programs with similar “insignificant” funding. You start nuking all of them and before you know it, that free ticket to AMC becomes a down payment on a car. It is the height of arrogance to imply that waste and questionable costs at any level are acceptable or insignificant. To make this argument reveals that the person making it has a grotesque understanding of the relationship between government and tax payer.


The second argument is disingenuous, but not for the reasons that you may think. There is a real and tangible value to news and media that is free from a personal or corporate bias. A news organization or television network whose motto was a Jack Webb quote would actually serve the public. Unfortunately, the CPB has failed their mission.


And what about the educational and quality entertainment like “Sesame Street”? Surely, even a miserly old curmudgeon like me can see the value in allowing quality programming to be financed without the tinkering of executives or the pressure of ratings? The answer is, without a doubt, yes. Unfortunately for you, my statist apologist advisories, all of the shows that have come from public broadcasting that are a “value to the public” have also demonstrated financial solvency in the free market. “Sesame Street” is worth more than a Dr. Evil ransom. “Austin City Limits” makes money from the live performance venues (charging admission) and from selling recordings on sites like itunes in addition to generating revenue from ads on websites like youtube.


The point is that it is up to the producers of these shows to protect the integrity of their work. There is great value in alternative financing structures, through sponsorships, donations, and merchandising. That is without question.


“Sesame Street” makes enough money through merchandising to PURCHASE air time from private networks. No need for Elmo and Co. to sell out the quality or educational value of their show. The ancillary incomes from the “Sesame Street” empire would allow the producers to make the show any way they wanted. If they stuck to their principles, it wouldn’t matter if they were on PBS or ABC Family. However, the recent Katy Perry “incident” suggests to me that even with public financing the current people behind the show may be slipping a bit. I’ve included the Katy Perry video below, purely for informational purposes. I’ve watched it 72 times to accurately shape my opinion.



—–


The free market value of shows that used to be PBS type stuff is rather apparent. The History Channel, Discovery, National Geographic channel exclusively air programming that was once solid PBS territory. As a kid growing up, I used to watch “Dr. Who” on PBS. You know, the same show that you now watch on BBC America, Syfy, or on demand on Netflix. And it’s TLC, not PBS, that has greenlit a series that showcases the wonders of Alaska as seen through the eyes of a popular American figure.


This whole debate and kurfuffle exposes a much larger truth. The bone of contention isn’t so much whether or not this type of funding, in it’s stated form, has value to our society. The problem is the human factor. On paper, we can say that these public institutions are above the fray of the free market and bias, but they aren’t. The mission of an NPR is a noble one. It is the execution that is flawed. The CPB gives us government versions of MSNBC and Air America that don’t have to worry about crappy ratings. Our tax dollars immunize partisans and people of questionable on-air talent from the grim realties of cancellation.


But isn’t that the way it always is? We are constantly lectured about the value of “public” institutions and programs vs. the evil private industries that provide the same services. But, at their root, when you introduce the human element, these “public” entities function in exactly the same way as their private counterparts, minus the checks and balances of the free market. Where are, as Milton Friedman once asked Phil Donahue, these “angels” who will manage these public programs for us?



—–


Where are they indeed, Milton.


Shouldn’t ideologues be willing to take the hit personally? Shouldn’t any organization that relies, in any part, on forcibly confiscated citizen funds be held to incredibly high standards? If someone is going to ask for all of us to pitch in, shouldn’t they lead the way, donating their blood, sweat and tears to what they believe in? It is rather egregious that NPR personalities and executives have competitive, and in some cases superior, compensation to their private industry counterparts. If you don’t like the money, can’t afford to do it, then, in the words of Chris Christie, don’t do it. On top of that, the people who work in these public sectors must themselves be above the fray, putting their own bias and ideology on the back burner to serve the greater good.


For Public Broadcasting or arts financing to have any hope of working and actually living up to their oft defended and declared mission statements, radical changes are needed. Nobody should plan on becoming rich and famous from a career in public broadcasting. Volunteer, balanced advisory boards must be created to ensure that public funds do actually serve the public, and not a small minority of small minded leftists. I’m sure Leigh Scott, John Nolte, Rush Limbaugh and Andrew Breitbart would volunteer some time to review PBS programming schedules and NEA submissions.


But nobody’s asking us. The notion of a “public interest” is undermined by the very people who champion it.  It shouldn’t be up to me, a capitalist slime ball who makes movies featuring mutants and flying monsters to be obsessed with the integrity and bias of the CPB, NEH, or NEA. It should be the obsession of the people who have dedicated their lives to these organizations and their mission statements.


But it isn’t.  So, these public programs have become the extra cable channels and Disneyland trips of the federal budget. Time to tighten our belts.  Sorry, but they gotta go.




RDR standalone DLC disc dated <b>News</b> - Page 1 | Eurogamer.net

Read our news of RDR standalone DLC disc dated. ... Red Dead Redemption Review . Latest Videos. RDR: Undead Nightmare trailer 1 October, 2010. RDR: Legends & Killers DLC 6 August, 2010. Latest News ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.


bench craft company complaints
bench craft company complaints

Dr.Mike learns the peepul how to make money on the internets @ TrafficTornado in Austin, June 2008 by mrdavegonzalez


RDR standalone DLC disc dated <b>News</b> - Page 1 | Eurogamer.net

Read our news of RDR standalone DLC disc dated. ... Red Dead Redemption Review . Latest Videos. RDR: Undead Nightmare trailer 1 October, 2010. RDR: Legends & Killers DLC 6 August, 2010. Latest News ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.


bench craft company complaints bench craft company complaints

Fallacy Debunking: Successful New Business Model Examples Are The 'Exception'

from the debunker's-forum dept

I've been meaning to start to put together a series of posts that debunk the common "criticisms" we get that are all too often based on logical fallacies. I end up spending way too much time in the comments responding to people posting those same logical fallacies over and over again, and it would be nice to be able to point to posts that "answer" the complaints quickly. I'm still not sure if I'll ever really get around to it, but sometimes someone else does such a nice job of it, that I might as well highlight it with a post here.



In this case, it's the commonly claimed fallacy that all these new business models don't really matter because of two things: (1) so much money is still going to the "big players," and (2) there are only a "few" examples of these models working, so they're outliers.



One example of this kind of thinking was seen in the comments to our recent post about the developer of the game Minecraft making $100,000 per day, without any distribution or retail deals or really any outside help. Yet, one of our commenters said this was nothing, because Halo made $200 million on its first day. Of course, that's a pure apples to oranges comparison. Halo is from Microsoft, and involves a giant team, a huge budget, massive advertising and distribution deals. I would guess that if you compared the two in terms of profitability per developer, Minecraft would win by a wide, wide margin.



Anyway, it's a meaningless comparison. Setting an artificial level as determining what counts as a "success" makes no sense. What we're interested in when we're looking at new business models and new strategies is how these compare to how a similar person would have done without those models. Without the internet and the ability to distribute Minecraft the way Markus Persson is doing so, he wouldn't be making anywhere near $100,000 per day. More likely is that he'd be working for a much larger gaming company, one piece in a cog, and bringing in something closer to $100,000 for the year, and not working on projects nearly as interesting.



Another example of this occurred earlier this year, when a Billboard reporter, Anthony Bruno, attacked the concept of "CwF+RtB" by arguing that I've only "cherry picked" the success stories, and many who have tried it failed to become successful. But, that makes no sense. No one guaranteed that using a smart business model automatically makes your band a huge success. What we said is that if you do it right, it's likely you'd be more successful than otherwise -- but that still might involve only a minor improvement if under the old system you wouldn't be successful at all. And if the CwF+RtB concept doesn't matter because some artists who have used it haven't become big stars, then wouldn't that mean that the "traditional" model of big record label/sell CDs has always been a dreadful failure since so few artists become successful that way? After all, pointing to the success of Led Zeppelin or Pink Floyd or the Beatles under the old model, is certainly pointing to the cherry-picked "exceptions."



Andrew Dubber points us to a fantastic blog post by Rich Huxley, of the band Hope & Social, who ran into this sort of "criticism" after writing a blog post (similar to many we've written) reminding everyone that the big record labels are not the "music industry." In the comments, a guy named Tim London challenged that by claiming that since the big record labels still take in a ton of money (in aggregate), and many of these new business models appear to be artists making much smaller amounts, the record labels still are the industry. One sentence from his comment should give you the general summary:


I know you're wrong because the music industry as represented by the majors is still coining it and the music industry as rep'd by you is getting by, struggling, working part time or making music as a hobby.

There's that apples and oranges comparison again. Thankfully, Huxley decided to write an entire (brilliant) blog post debunking the idea that the total amount of money some record labels make is indicative of the overall value of a particular model. First, he goes through some basics to show how many musicians there are out there, and points out that money made isn't always an indicator of quality ("That Van Gogh was a penniless artists does not diminish the greatness of his work.")



But then comes the real point, explained eloquently. The critics like this highlight the huge earners in the existing industry, but ignore that the overwhelming majority of the folks who try to go the old route end up making $0. They mock the person embracing new business models for "only" making a decent living, ignoring the fact that so many who went the way they prefer were drummed out of the industry making no living at all. Here's the way Huxley explains it:

Less than 10% of signed artists recoup. Take Maximo Park for example. They have by their own admission never made a penny from record sales and make their money from DJ sets in the main. An example I have first hand knowledge of, Embrace, have sold millions of albums, they were a genuinely massive band; they performed from Glastonbury main-stage to Top Of The Pops and everywhere in-between. When they split from Virgin, they owed their label three quarters of a million pounds. I guess my point is that if we promote the Trad Music Biz's model as "The model" then the message we'd be sending is:

  • less than one percent of musical artists are part of the music business

  • only a tenth of those will recoup and make money from their record sales, and that's good

  • an artist should be saddled with debt, the rate at which they pay that back is equivalent to a credit card with a 900% interest rate



Basically, the problem is that those who cherry pick just the biggest artists ignore all the ones who made nothing at all from a record label deal, thanks to the fun of RIAA accounting. In other words, those artists are the true "exceptions." They're the ones who got the winning lottery ticket, but you can't ignore all those who got nothing. If you were to put all of the musicians who went the "traditional" route into a set, and all of the musicians going the "new" route into a set, and took the median, I'd guarantee that it would be higher in the new set. And that's the point. Embracing the new ways makes it much more likely that you'll make some money. It improves your chance of being able to make money making music. And that seems like a good thing, right?



As a part of that, of course, is that all of the costs have gone down with the new ways of doing things. The reason why people needed the old gatekeepers to fund stuff in the past was because there were no cheaper options. The only way to actually get this stuff done was to go through them. But these days, everything is cheaper. As Huxley notes with his band:

Hope and Social believe in and benefit from Pay What You Want. We go on about this here, but also... As musicians, we all have the ability to take advantage of the same channels that H&S have:

  • dramatically reduced costs of recording


  • a zero cost of distribution (should we choose to make mp3s available on the internet then there's no cost to us. This is miles away from the Trad model where the cost of recording and manufacture made it nigh on impossible to record and release independently)

  • reduced cost of promotion (CD's don't need to be sent to reviewers, press etc at the cost of a quid per CD, and half again on postage)

  • and by building relationships with people, they become our PRs, our evangelists (to coin another religious term, man I've got to stop doing that)


Also, there is a value in making your music available for free. If someone downloads an album of ours and shares it with a friend, copies the CD, plays it at a party, then that's how we share and have our music heard by more people. This results in:



  • higher gig attendances

  • better paid shows

  • more sales of our music

  • more sales on other merchandise and art that we, and our fans make.



Finally, I'll make one final debunking point that Huxley didn't cover: London seems to have confused absolute revenue with the change in revenue (delta). If you look at those embracing new models, it may be smaller (now), but it's growing quite quickly. If you look at the big record labels, they're declining in size. Which trend is a better bet? It's really a version of the Innovator's Dilemma where the new growth trend is ignored because it's not "as big" as the legacy business. Ignoring the deltas is dangerous.



And there we go. If you're claiming these new model success stories are the "exception," then it's only fair to admit that those who succeed under the traditional models you claim are so good were actually much bigger "exceptions." Can we now consider this argument debunked, and just link back to this post any time people bring up an argument like this?



276 Comments | Leave a Comment..



I’m sure you’ve heard about the Juan Williams/NPR debacle. You may also know that Senator Jim DeMint has vowed to introduce legislation that will deprive NPR, as well as public television, of taxpayer funds. It seems that in this political climate, asking a candidate where they stand on funding public broadcasting or the arts has become the new litmus test, replacing questions about abortion and gay rights.


In other words, it’s Christmas everyday for Libertarians.



There seem to be three consistent arguments in favor of tax dollars being spent on public broadcasting and government subsidies for “art,” First, the defenders question the amount of money actually on the table. After all, these programs are but a teeny-tiny piece of our ever expanding government. Secondly, dispensing taxpayer cash on media is “in the public interest.” In the unholy pursuit of “profits,” private broadcasters and artists often compromise their work to make money. Private news organizations like FOX and MSNBC sensationalize the news and have become hyper-partisan in order to increase ratings and advertising dollars. We need outlets that are free from the restraints of the free market. And, of course, there is the elephant in the room, which in this case is a giant yellow bird. “Sesame Street.”


What kind of Islamophobic, racist, evil, baby-blood-drinking fascist wants to send Elmo to the unemployment line?


The first argument is simply ridiculous. We’ve all had to, at one point or another, examine our household budgets and look for spending cuts. We write down a list of our expenses, organizing them in order of both cost and importance. At the top is stuff like rent/mortgages, utilities, car payments etc. Towards the bottom is the fun stuff like vacations, extra cable channels, and faster internet. Everybody always starts at the bottom. Nobody starts at the top. “Hey, let’s ditch the house and keep our annual trip to the Wisconsin Dells?”  My girlfriend always likes to try and sneak cigarettes and scotch into the non-essential category. Nice try. I always push for more mac and cheese in order to keep my subsidies of R.J. Reynolds and Pernod Ricard intact. But I digress.


The money we spend on arts and media at the federal level is never too small to ignore. I think most taxpayers would trade a free movie ticket once a year for all the Bill Moyers specials, Nina Totenberg insight, and jars of pee and crucifixes that our federal government can buy. Public broadcasting and the arts are but two of a myriad of programs with similar “insignificant” funding. You start nuking all of them and before you know it, that free ticket to AMC becomes a down payment on a car. It is the height of arrogance to imply that waste and questionable costs at any level are acceptable or insignificant. To make this argument reveals that the person making it has a grotesque understanding of the relationship between government and tax payer.


The second argument is disingenuous, but not for the reasons that you may think. There is a real and tangible value to news and media that is free from a personal or corporate bias. A news organization or television network whose motto was a Jack Webb quote would actually serve the public. Unfortunately, the CPB has failed their mission.


And what about the educational and quality entertainment like “Sesame Street”? Surely, even a miserly old curmudgeon like me can see the value in allowing quality programming to be financed without the tinkering of executives or the pressure of ratings? The answer is, without a doubt, yes. Unfortunately for you, my statist apologist advisories, all of the shows that have come from public broadcasting that are a “value to the public” have also demonstrated financial solvency in the free market. “Sesame Street” is worth more than a Dr. Evil ransom. “Austin City Limits” makes money from the live performance venues (charging admission) and from selling recordings on sites like itunes in addition to generating revenue from ads on websites like youtube.


The point is that it is up to the producers of these shows to protect the integrity of their work. There is great value in alternative financing structures, through sponsorships, donations, and merchandising. That is without question.


“Sesame Street” makes enough money through merchandising to PURCHASE air time from private networks. No need for Elmo and Co. to sell out the quality or educational value of their show. The ancillary incomes from the “Sesame Street” empire would allow the producers to make the show any way they wanted. If they stuck to their principles, it wouldn’t matter if they were on PBS or ABC Family. However, the recent Katy Perry “incident” suggests to me that even with public financing the current people behind the show may be slipping a bit. I’ve included the Katy Perry video below, purely for informational purposes. I’ve watched it 72 times to accurately shape my opinion.



—–


The free market value of shows that used to be PBS type stuff is rather apparent. The History Channel, Discovery, National Geographic channel exclusively air programming that was once solid PBS territory. As a kid growing up, I used to watch “Dr. Who” on PBS. You know, the same show that you now watch on BBC America, Syfy, or on demand on Netflix. And it’s TLC, not PBS, that has greenlit a series that showcases the wonders of Alaska as seen through the eyes of a popular American figure.


This whole debate and kurfuffle exposes a much larger truth. The bone of contention isn’t so much whether or not this type of funding, in it’s stated form, has value to our society. The problem is the human factor. On paper, we can say that these public institutions are above the fray of the free market and bias, but they aren’t. The mission of an NPR is a noble one. It is the execution that is flawed. The CPB gives us government versions of MSNBC and Air America that don’t have to worry about crappy ratings. Our tax dollars immunize partisans and people of questionable on-air talent from the grim realties of cancellation.


But isn’t that the way it always is? We are constantly lectured about the value of “public” institutions and programs vs. the evil private industries that provide the same services. But, at their root, when you introduce the human element, these “public” entities function in exactly the same way as their private counterparts, minus the checks and balances of the free market. Where are, as Milton Friedman once asked Phil Donahue, these “angels” who will manage these public programs for us?



—–


Where are they indeed, Milton.


Shouldn’t ideologues be willing to take the hit personally? Shouldn’t any organization that relies, in any part, on forcibly confiscated citizen funds be held to incredibly high standards? If someone is going to ask for all of us to pitch in, shouldn’t they lead the way, donating their blood, sweat and tears to what they believe in? It is rather egregious that NPR personalities and executives have competitive, and in some cases superior, compensation to their private industry counterparts. If you don’t like the money, can’t afford to do it, then, in the words of Chris Christie, don’t do it. On top of that, the people who work in these public sectors must themselves be above the fray, putting their own bias and ideology on the back burner to serve the greater good.


For Public Broadcasting or arts financing to have any hope of working and actually living up to their oft defended and declared mission statements, radical changes are needed. Nobody should plan on becoming rich and famous from a career in public broadcasting. Volunteer, balanced advisory boards must be created to ensure that public funds do actually serve the public, and not a small minority of small minded leftists. I’m sure Leigh Scott, John Nolte, Rush Limbaugh and Andrew Breitbart would volunteer some time to review PBS programming schedules and NEA submissions.


But nobody’s asking us. The notion of a “public interest” is undermined by the very people who champion it.  It shouldn’t be up to me, a capitalist slime ball who makes movies featuring mutants and flying monsters to be obsessed with the integrity and bias of the CPB, NEH, or NEA. It should be the obsession of the people who have dedicated their lives to these organizations and their mission statements.


But it isn’t.  So, these public programs have become the extra cable channels and Disneyland trips of the federal budget. Time to tighten our belts.  Sorry, but they gotta go.




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RDR standalone DLC disc dated <b>News</b> - Page 1 | Eurogamer.net

Read our news of RDR standalone DLC disc dated. ... Red Dead Redemption Review . Latest Videos. RDR: Undead Nightmare trailer 1 October, 2010. RDR: Legends & Killers DLC 6 August, 2010. Latest News ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.


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RDR standalone DLC disc dated <b>News</b> - Page 1 | Eurogamer.net

Read our news of RDR standalone DLC disc dated. ... Red Dead Redemption Review . Latest Videos. RDR: Undead Nightmare trailer 1 October, 2010. RDR: Legends & Killers DLC 6 August, 2010. Latest News ...

Er, great <b>news</b>: George Lucas may be planning new “Star Wars <b>...</b>

My instinct is to shudder; most of you, I suspect, will react the same way. And let's pause here to appreciate how amazing that is. So reviled are the prequels that news of new entries in the greatest sci-fi franchise in movie history ...

Google donates $5 million for <b>news</b> innovation to Knight Foundation <b>...</b>

Google and news organizations have had a rocky time of it. To overdramatize the situation only slightly: Google insists that it cares about journalism as a.


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