Roundup: Netflix subscribers drop, ABC cleared, The Block + more

netflix pause

• Ben Roberts-Smith, streaming service commercials, News Corp partners with Tripp, IAB Australia, The Bachelor

Business of Media

Ben Roberts-Smith case: Witness denies killing Afghan

On the first day of Ben Roberts-Smith’s counter-attack against claims he committed war crimes, his former SAS patrol commander has emphatically denied ever killing an unarmed Afghan, or ordering anyone else to do so, reports News Corp’s Stephanie Rice.

The soldier, known as Person 5, also gave evidence that a tunnel discovered in an Afghan compound was empty, countering claims by Nine newspapers that he had ordered the execution of an elderly man found hiding in it.

The newspapers claim Roberts-Smith was present when Person 5 ordered another Australian soldier – Person 4 – to execute the man, so that Person 4 could be “blooded”. Nine also claims Roberts-Smith himself machine-gunned a second man pulled from the tunnel.

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Netflix loses 200K subscribers in total earnings miss

Netflix lost 200,000 subscribers during its most recent quarter — a major setback for the streaming giant that has seen exponential user growth over the past decade — as the company disclosed that it fell far short of its own low expectations of 2.5 million subscriber adds for the start of 2022, report The Hollywood Reporter’s J. Clara Chan and Alex Weprin.

The streaming giant lost subscribers in nearly every region except for the Asia Pacific market, where it saw a net add of over 1 million subscribers. Netflix lost around 640,000 subscribers in the U.S./Canada region during the first quarter — a larger drop than its previous subscriber loss in the region last year — and saw a 300,000 subscriber loss in Europe, the Middle East and Africa and 350,000 loss in Latin America. The losses are expected to continue into Q2, when Netflix predicts it will lose an additional 2 million subscribers.

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And now, a word from your streaming sponsor …

The two titans of the video streaming wars — Netflix and Disney+ — have long resisted commercials, showing a reluctance to have premium series like Stranger Things or The Mandalorian run alongside commercials hawking dish soap, soda and medications, report the New York Times’ John Koblin and Tiffany Hsu.

“No advertising coming onto Netflix — period,” Reed Hastings, one of Netflix’s co-chief executives, said several years ago, a point of view he repeated for some time. “We don’t believe that the consumer experience would be a particularly good one if we had advertising on Disney+,” Christine McCarthy, Disney’s chief financial officer, said in late 2020.

But now, the streamers are starting to come around on Madison Avenue.

With the pandemic-induced surge of subscriptions showing signs of waning, major media and tech streaming companies are beginning to get bullish on advertising. To reach more people — including those made cost-sensitive by high inflation and subscription overload — streamers are offering a deal: exposure to ads in exchange for lower prices.

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News Brands

News Corp settles on bookmaking launch with Tripp partnership

News Corp Australia is finalising plans to launch a bookmaking outfit this year in partnership with a consortium linked to gambling entrepreneur Matthew Tripp, and has picked the former boss of BetEasy to serve as its chief executive, reports SMH’s Patrick Hatch and Zoe Samios.

Rupert Murdoch’s news and media giant has been working on a local wagering strategy for more than a year, which has involved negotiating with several potential wagering industry joint venture partners.

That search has now finished, according to several well-placed sources, who said News Corp had settled on an equity partnership with a group of investors associated with Australian online wagering pioneer Matt Tripp, and the Las Vegas-based online gambling investment fund Tekkorp.

It is unclear when the deal will be formally inked or when the new bookie will launch, but sources said News Corp had recently told top sports editorial staff that it could start advertising in the next month.

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ABC cleared of anti-Israel bias in controversial Q+A episode

Australia’s media authority has cleared the public broadcaster ABC over an episode of its current affairs discussion program Q+A in May last year that drew criticism from some Jewish groups for breaching principles of impartiality and balance, reports SMH’s Nick Bonyhady.

Ten complaints about the episode, including one from the Australia Israel and Jewish Affairs Council, were rejected by the Australian Media and Communications Authority (ACMA) on Tuesday.

The complaints criticised the composition of the panel, which contained several people critical of Israel but only one, Liberal MP and former Australian ambassador to Israel Dave Sharma, who consistently defended the country.

The ABC ran the episode following a ceasefire between Israel and the Palestinian militant group Hamas after 11 days of violence that began on May 10, 2021. In that period, Hamas fired hundreds of rockets into Israel following tensions in occupied East Jerusalem, before Israeli forces bombarded the Gaza Strip with air strikes.

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Joe Kahn named next executive editor of The New York Times

Joseph F. Kahn, a Pulitzer Prize-winning China correspondent who rose to lead the international desk of The New York Times, and then as managing editor helped steer the newspaper into the digital era, has been selected to be The Times’ next executive editor, the top newsroom job, report the New York TimesMichael M. Grynbaum and Jim Windolf.

Kahn, 57, currently the No. 2-ranking editor at The Times, will take on one of the most powerful positions in American media and the global news business. He is to succeed Dean Baquet, whose eight-year tenure is expected to conclude in June.

The announcement was made on Tuesday.

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Agencies

IAB Australia appoints Liz Eades as director of learning and development

IAB Australia has announced the appointment of Liz Eades in the newly created role of director of learning and development. 

Eades will steer the development, design, and delivery of practice-based education to further close the skills gap in the advertising industry.

IAB Australia

Her immediate priorities will include building relationships with tertiary education institutions, shaping bespoke corporate training offerings, working with IAB Talent and Careers Working Group and supporting members with onboarding and training talent.

The announcement comes as IAB Australia continues to ramp up its support for brands and agencies in the areas of talent and training. 

Eades brings over two decades of extensive blended experiences across marketing, communications, and academic environments. She has developed practice-based learning programs for Victorian government departments and private enterprises; and has been active for over a decade as an academic at several Melbourne based universities.

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Television

The Block’s swift action after contestants quit three days in

Producers at Nine’s reality reno series The Block have been forced to take swift action after two of this season’s competitors quit the show just days into filming, reports News Corp’s Nick Bond.

As reported by The Daily Telegraph, influencer Elle Ferguson and her fiance, former AFL player Joel Patfull, have had to quit the season after Patfull’s mother suffered a nasty fall.

Their departure just days into filming leaves The Block one couple down for this season – but in a statement to news.com.au, a Nine spokesperson confirmed that a replacement couple had already been cast.

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“Big plans” for Bachelor franchise

Rumours have been swirling that the next season of The Bachelor may also include The Bachelorette, but while 10 is yet to confirm details, producers are also tight-lipped, reports TV Tonight.

Caroline Swift, Warner Bros. Australia head of entertainment said, “I’m very, very excited about our plans for this season. It’s gonna be big. We’re taking some big swings.”

10 recently confirmed The Bachelor will film on the Gold Coast and screen later this year.

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