Product Placement Likely to Increase in Programming

With the gradual increase in popularity of personal video recorders (PVRs) such as TiVo, advertisers are looking for ways to more closely integrate their products into programming.

One method used by some cable channels include ads that take up part of the screen, such as the bottom, and act as teasers for upcoming shows on that channel. Some companies, such as Ford, sponsor whole shows without commercial interruption, such as their sponsorship of 24 on Fox.

Companies are also looking at greatly increasing product placement in programming, since PVR owners can easily skip commercials.

AOL Time Warner Announces Name Change

In September 2003, AOL Time Warner announced that the company will change its name to Time Warner, Inc. The AOL unit has seen decreasing numbers of subscribers and earlier in 2003 stated that they had inflated some of their subscriber numbers through misleading corporate subscription deals, which further hurt AOL’s image. Increasing numbers of broadband subscribers was another factor in hurting AOL profits, and in October 2003 they announced they would offer a discount dial-up service that would use the Netscape name but not offer as many services as their premium AOL service, which cost $23.90 a month.

Sony Launches PSX Entertainment System

In October 2003, Sony announced that it would be launching an all-in-one entertainment system that would include a satellite TV tuner, a DVD recorder, and Playstation 2 console for about $700. The system would first be offered in Japan.

The move for Sony is an attempt to try to regain some profits after losing almost $1 billion in the January-March 2003 fiscal quarter.

For media researchers and audiences, however, it is an example of converging media types and the coming battles between technology and entertainment companies as they try to gain audience. (CNET, Oct. 7, 2003)

Jayson Blair Scandal Has Repercussions for NYT Management

In early May 2003 a reporter for the New York Times, Jayson Blair, announced his resignation amidst allegations that he had fabricated stories, plagiarized, and claimed he was reporting from places that he actually hadn’t visited.

The Times had a lengthy story about his ethical breaches, but the scandal spread to calls that Times management and top editors ignored earlier warnings from editors and staff that Blair’s professional conduct was problematic. Times reporter Rick Bragg resigned a few weeks after Blair when it was learned he did not properly credit freelance writers for stories he had worked on, and in early June Executive Editor Howell Raines and Managing Editor Gerald Boyd announced their resignations.

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