Introduction and Initial Task
Carry out extensive research and conduct a dedicated webpage comprehensively explaining the structure of the television industry with elucidated examples and consistently using subject terminology.
HISTORICAL STRUCTURE
Mechanical Television in the 1800s and Early 1900s
Before electric television were created, mechanical televisions were the normal. These type of televisions appeared in the early 1800s involving mechanically scanned images. These images then were transmitted onto a screen. These televisions were definitely very basically built com paired to electronic televisions. One of the first mechanical televisions was created by Scottish inventor, John Logie Baird and American inventor, Charles Francis Jenkins in early 1920s. The television was arranged with a spiral pattern which used a rotating disk. Before this, the first mechanical television had been developed by German inventor Paul Gottlieb Nipkow. His device would send pictures through wires using a rotating metal disk with 18 lines of resolution. This wasn't howevercalled a television, but instead an ''electric telescope''.
The First Electronic Television was Invented in 1927
Philo Taylor Farnsworth, a 21 year old inventor created the world's first television. He lived in a house without electricity until he turned 14 years old. After he began his first year in high school, he started to think of a system which could potentially capture moving images, transform them into code and move them along radio waves to a different device. This made the inventor creation miles ahead of any mechanical television system which was invented to-date as his system would capture moving images by using a beam of electrons which is a primitive camera. The first image he transmitted onto screen was a simple line however, he would then later famously transmit a dollar signs using his television. In-between the years 1926 and 1931, other mechanical television inventors would continue to tweak and test their createion but thye became doomed to be obsolete when comparing it to the modern electrical televisions which was converted in 1934. All of these early television systems transmitted footage in black and white but color television was first originally theorized all the way in 1904.
Timeline of TV history between 1950s and 2000s
Television changed form a niche technology into a critical form of communication within living rooms between 1950s and 2000s. This meant that numerous of changes and improvements took place in order to make television into what it is known to be in todays world. Here is a timeline of what happened:
- 1949: In January, the number of TV stations had grown to 98 in 58 market areas.
- 1949: The FCC adopted the Fairness Doctrine, which made broadcasters responsible for seeking out and presenting all sides of an issue when covering controversy. This act was a supplement to the Communications Act of 1934, which required broadcasters to give equal airtime to candidates running in elections.
- 1951: I Love Lucy, sponsored by Philip Morris, was born. The half-hour sitcom ranked as the number one program in the nation for four of its first six full seasons.
- 1951: On June 21, CBS broadcasted the first color program. As mentioned above, CBS’s color system only worked with a small number of TVs across America. Only 12 customers across America could see the first color TV broadcast. 12 million other TVs were blank for this program.
- 1952: Bob Hope takes his comedy from radio to TV as The Bob Hope Show debuts in October, 1952.
- 1952: By the end of 1952, TVs could be found in 20 million households across America, a rise of 33% from the previous year. U.S. advertisers spent a total of $288 million on television advertising time, an increase of 38.8% from 1951.
- 1953: RCA releases its color broadcasting system, which worked on 12 million TVs instead of 12.
- 1954: NBC launches The Tonight Show with comedian Steve Allen.
- 1955: Gunsmoke, the classic western TV show, began its 20 year run on CBS.
- 1958: 525 cable TV systems across America serve 450,000 subscribers. In response, CBS takes out a two page advertisement in TV Guide stating that “Free television as we know it cannot survive alongside pay television.”
- 1960: Four debates between John F. Kennedy and Richard Nixon were broadcast throughout the year across the country, forever changing the way presidents would campaign.
- 1963: For the first time in history, television surpasses newspapers as an information source. In a poll this year, 36% of Americans found TV to be a more reliable source than print, which was favored by 24%.
- 1964: The FCC regulates cable for the first time. The FCC required operators to black out programming that comes in from distant markets and duplicates a local station’s own programming (if the local station demanded it).
- 1964: 73 million viewers watch The Beatles appear on the Ed Sullivan Show.
- 1965: NBC calls itself The Full Color Network and broadcasts 96% of its programming in color.
- 1969: Astronaut Neil Armstrong walks on the moon for the first time as millions of American viewers watch live on network TV.
- 1970: The FCC implements the Financial Interest Syndication Rules that prohibit the three major networks from owning and controlling the rebroadcast of private shows. This meant 30 minutes of programming each night were given back to local stations in the top 50 markets, encouraging the production of local programming.
- 1971: Advertisements transition from 60 seconds in average length to 30 seconds.
- 1979: Some people believe it’s the “beginning of the end for TV” as a poll indicated that 44% of Americans were unhappy with current programming and 49% were watching TV less than what they did a few years earlier.
- 1979: ESPN, a network totally devoted to sports, debuts on cable. ESPN would go on to become the largest and most successful basic cable channel.
- 1980: Ted Turner launches Cable News Network (CNN), a channel devoted to showcasing news 24 hours a day.
- 1980: Music Television (MTV) makes its debut in August of 1980.
- 1986: After years of rising rates, ABC, CBS, and NBC have trouble selling commercial time for sports programs for the first time. Commercial rates for the 1986 NFL season dropped 15% from the 1985 season.
- 1989: Pay Per View begins to leave its mark on the television landscape, reaching about 20% of all wired households.
- 1992: Infomercials explode with growth. This year, the National Infomercial Marketing Association estimates infomercials generate sales of $750 million, double that of 1988.
- 1993: At the start of 1993, 98% of American households owned at least one TV, with 64% owning two or more sets.
- 1996: Digital satellite dishes 18 inches in diameter hit the market, becoming the bestselling electronic item in history next to the VCR.
- 2000: The Digital Video Disc (DVD) is introduced.
- 2004: DVDs outsell VHS tapes for the first time.
- 2005: Flat screen TVs and HDTVs are introduced for the first time.
- 2006: Flat screen TVs and HDTVs become affordable for the first time.
- 2006: Sony releases its Blu-ray disc format, capable of holding up to 27GB despite being the same size as a DVD.
- 2010: 3D televisions start hitting the market, spurred by popular 3D blockbusters like Avatar.
The structure of television
When it comes to the structure of television, this could be broken up into five distinct parts:
- Content creation: This would be the actual creation of a TV show including the filming, pre-production, production and post productional elements related to it
- Content Production: This would be the commissioning and funding of a TV show usually by a studio
- Content Aggregation: A packaging containing several different TV shows into one offer by network
- Service Offering: Marketing of multiple channels and networks to consumers on a subscription basis
- Delivery: The actual transfer of a television content right into your home
After it has gone through these distinctive parts, the end results of the industry would look like this:
With assistance of the internet, there are only two ways to make money which would be either to bundle or unbundle. Individual TV shows or even episodes could be unbundled from channels, bypass the cable provider service offering and get directly deliver to customer. There are also new forms of integration such as Netflix. They do all of the jobs in the middle and by that, I mean they commission the content, bundle it together whilst still manage the overall customer experience.
FUNDING STRUCTURE OF TELEVISION
Licence fees
A licence fee is how much home owners have to pay in order to view or listen to any type of BBC broadcasting. If you do not pay and you are found to be accessing this service you can be fined as you are not contributing to licensing fees.This type of fees were set by the government.
This is a fixed amount that homeowners have to pay if they listen to or watch any type of BBC Broadcast. If you are found to not pay this but use the services then you can be fined for not helping to contribute towards licensing fees. Currently the annual cost for colour is £150.50 or £50.50 if you have black and white. It is not the BBC that sets this but the Government.
A licence fee is how much home owners have to pay in order to view or listen to any type of BBC broadcasting. If you do not pay and you are found to be accessing this service you can be fined as you are not contributing to licensing fees.This type of fees were set by the government.
This is a fixed amount that homeowners have to pay if they listen to or watch any type of BBC Broadcast. If you are found to not pay this but use the services then you can be fined for not helping to contribute towards licensing fees. Currently the annual cost for colour is £150.50 or £50.50 if you have black and white. It is not the BBC that sets this but the Government.
Subscriptions
Subscription companies charge a small fee in order to access and use their product. Generally speaking, this would be a monthly fee. A popular film site which requires this would be Netflix while on the other hand, a popular music site would be Spotify. These sites subscriptions give you access to view things which were exclusive to them.
These are subscription companies that charge a certain fee for using/being able to access their products. These are usually charged to the bill payer monthly. For example Netflix, Amazon, Now TV, Sky, Virgin and BT are all subscription services that allow you access to things exclusive to them. Such as certain films or TV shows.
Subscription companies charge a small fee in order to access and use their product. Generally speaking, this would be a monthly fee. A popular film site which requires this would be Netflix while on the other hand, a popular music site would be Spotify. These sites subscriptions give you access to view things which were exclusive to them.
These are subscription companies that charge a certain fee for using/being able to access their products. These are usually charged to the bill payer monthly. For example Netflix, Amazon, Now TV, Sky, Virgin and BT are all subscription services that allow you access to things exclusive to them. Such as certain films or TV shows.
Pay per view
Pay per view is when you pay to see a film or TV show once. Some other people know this to be called one off payment. An example of this would be during boxing matches as they are done once on a cheap payment. This is purposely done in order to gain a bigger audience and get more money. When it comes to services, companies such as BT and Sky are places which also offer pay per view.
Pay per view is when you pay to see a film or TV show once. Some other people know this to be called one off payment. An example of this would be during boxing matches as they are done once on a cheap payment. This is purposely done in order to gain a bigger audience and get more money. When it comes to services, companies such as BT and Sky are places which also offer pay per view.
Sponsorship
This is when a company pays to show a product in a short advertisement in-between TV shows or films. These are always tailored to the program that is being shown and also the time of day. For example Coronation Street is a family show which is shown weekdays at prime time in the evening. This results in the adverts being family orientated and often about food or products that family's would generally have. This ranges from estate cars to food dishes.
This is when a company pays to show a product in a short advertisement in-between TV shows or films. These are always tailored to the program that is being shown and also the time of day. For example Coronation Street is a family show which is shown weekdays at prime time in the evening. This results in the adverts being family orientated and often about food or products that family's would generally have. This ranges from estate cars to food dishes.
Advertising
The first ad on television. Advertising history was made at 9.01pm on 22 September 1955, when Britain's first television commercial squeezed on to the air. Made by AB-Pathe, it was a 70-second ad for Gibbs SR Toothpaste. The company's cinema ads had first used slides and then the comedian Arthur Askey to sell its wares. But there were no jokes in the black-and-white dental epic that hit television screens that night.
The first ad on television. Advertising history was made at 9.01pm on 22 September 1955, when Britain's first television commercial squeezed on to the air. Made by AB-Pathe, it was a 70-second ad for Gibbs SR Toothpaste. The company's cinema ads had first used slides and then the comedian Arthur Askey to sell its wares. But there were no jokes in the black-and-white dental epic that hit television screens that night.
- Advertising is a key method in how broadcasting companies generate income.
- They sell advertising space on their shows, which companies can buy in order to showcase a product.
- TV adverts normally consist of a short 30 sec (sometimes longer, sometimes shorter) video, which advertises a product.
- Costs of advertising can vary greatly, depending on the viewing figures of the show.
- The higher the viewing figures, the more it will cost as more people will see it.
Product placement
Product placements are used when companies what to advertise within a specific program. There must be a P placed within the title to show that they have products to be paid according to law. An example of one of the first product placements was Nescafe who paid £100,000 in 2011 to place a coffee machiene in the background of shots. Another example would be ''Men in Black” as you could see the characters using Ray Ban sunglasses or Mercedes Benz cars. Thus, as the popularity of movies is rising, and as more people follow the heroes and the villains of movies, and as movies garner maximum attention from audiences, it is no doubt that companies want to go for product placement in movies.
Product placements are used when companies what to advertise within a specific program. There must be a P placed within the title to show that they have products to be paid according to law. An example of one of the first product placements was Nescafe who paid £100,000 in 2011 to place a coffee machiene in the background of shots. Another example would be ''Men in Black” as you could see the characters using Ray Ban sunglasses or Mercedes Benz cars. Thus, as the popularity of movies is rising, and as more people follow the heroes and the villains of movies, and as movies garner maximum attention from audiences, it is no doubt that companies want to go for product placement in movies.
Private capital
Private capital is money invested in films which wouldn't have been published due to the lack of funding. An example of a producer who funded a film would be Megan Ellison. She is an American film producer who founded 'Annapurna pictures.' She uses peoples ideas in order to turn them into a reality which helps smaller film makers get a big break. The company purchased films such as American Hustle which grossed $251.2 million worldwide, winning two Golden Globe awards and 3 BAFTA's.
Private capital is money invested in films which wouldn't have been published due to the lack of funding. An example of a producer who funded a film would be Megan Ellison. She is an American film producer who founded 'Annapurna pictures.' She uses peoples ideas in order to turn them into a reality which helps smaller film makers get a big break. The company purchased films such as American Hustle which grossed $251.2 million worldwide, winning two Golden Globe awards and 3 BAFTA's.
Financial Aid & Development funds
Development funds mean that small independent film makers have a chance to have their films funded and created rather than just being an idea. Currently in the UK the lottery good causes has 12 distributors and one of them is the British Film Industry.
This means that people can submit ideas whether it be to do with production, distribution, education, audience development and market research to the BFI. They then go on to decide who to give money to from the National Lottery Funds.
Development funds mean that small independent film makers have a chance to have their films funded and created rather than just being an idea. Currently in the UK the lottery good causes has 12 distributors and one of them is the British Film Industry.
This means that people can submit ideas whether it be to do with production, distribution, education, audience development and market research to the BFI. They then go on to decide who to give money to from the National Lottery Funds.