Sun Valley, Idaho is set to host Allen & Co.’s annual conference, where media and technology titans will gather to discuss the future of streaming and potential alliances. The invite list includes industry leaders such as Warner Bros. Discovery’s David Zaslav, Disney’s Bob Iger, Netflix co-CEOs Ted Sarandos and Greg Peters, as well as tech titans like Amazon’s Andy Jassy and Jeff Bezos, and Apple CEO Tim Cook. Shari Redstone, chair of Paramount Global, will also be attending after her company agreed to merge with Skydance. The conference will likely focus on the business of streaming and how to make it profitable.
One key topic of discussion at Sun Valley is expected to be streaming alliances. With Netflix leading the so-called streaming wars, other players in the industry believe there is room for combinations to keep pace. Media mogul Barry Diller has suggested that the industry should focus on the broadcast and pay-TV businesses that remain profitable rather than trying to compete directly with Netflix. Paramount’s future ownership has expressed interest in exploring partnerships or bundles with other streaming players, viewing them as the future of the streaming business. The idea is to create a “one-stop shop” with all streaming apps for consumers, offering discounted prices to attract users.
Merging or establishing joint ventures is one approach, and some media companies have already begun moving in this direction. For example, Disney plans to offer a bundle of its own streaming services (Disney+, Hulu, and ESPN+), as well as teaming up with Warner Bros. Discovery to offer a mashup of Max, Disney+, and Hulu. The goal is to get users to watch their shows and movies, even at a discounted price. Sun Valley may also feature discussions on raising streaming prices on premium tiers and pushing consumers toward ad-supported options to maximize advertising revenue.
Sports will also be a topic of conversation at Sun Valley, especially with the ongoing negotiations for NBA media rights. The NFL has already signed lucrative media rights deals with streaming and tech players, recognizing the importance of streaming in its future. The NBA, on the other hand, is still weighing its options and considering competing offers. Traditional players in the media industry may struggle to compete with streaming giants like Amazon and Netflix when it comes to sports rights in the future.
Politics is another area that is likely to dominate conversations at Sun Valley. With the upcoming election, discussions will revolve around the potential impact of the election on dealmaking and the regulatory environment. There is also speculation about whether President Joe Biden will remain the Democratic Party’s candidate following his poor debate performance. Some media heavyweights have called for Biden to step down and allow a new candidate to take his place. However, Biden has defended his mental health and stated that he has no plans to drop out of the election.
Overall, Sun Valley will be a hub of discussions among industry leaders about the future of streaming, potential alliances, the profitability of streaming, the role of sports in the industry, and the impact of politics on dealmaking. It will be interesting to see how these conversations shape the future of the media and technology landscape.
