TEL T 205 1st Edition Lecture 2 Outline of Current Lecture I The One With All The Monies Current Lecture Stages of Media Developments Big Picture Issues Applies widely all technologies have gone through the stages They do not always make it through the stages If they do they go through the same issues prompted at each stage Social Determinism contrasts with technological determinism The social needs that drive which technologies are adopted and used Technological Determinism technology drives social needs Social determinism affects the way we make decisions on new technology Today all articles take a technological determinism point of view but typically the way they are used are independent of the way the creators intended for them to be used Ex Telephone inventor thought it would be a broadcasting medium ultimately was not used this way transformed into a communication medium Ex Phonograph Edison invented what he thought was to be voicemail Turned into a wake to copy and store music People saw potential for the phonograph to be used in a different way from what it was originally invented for exemplifying social determinism Ex The Internet People shape and transfer technology to satisfy their needs Ex 3 D Mercedes Benz incorporating 3 D technology to social desires Technologies Interrelate new technologies are not adapted in isolation they are adopted with other known and understood technologies Ex First Broadcast was a camera in a radio station with people reading the news Ex Online newspapers layouts resemble print newspapers We think and use technologies in context with what we know Economic Model Technology cannot make it to the peak stage without a solid economic media model need to find a way for technology as well as content How do you pay for content Economics of Media Industries radio in the U S 1st example of no control over who can access 3 Main Models were tried Manufacturers pay for programming Pay for towers stations content writers directors actors Expensive They started their own radio stations GE owned NBC for years when NBC was a radio station because GE made Radios wanted people to buy them Radio then grew rapidly a ton of radio sales stagnated though when 80 of the population had radios No one needed to buy anymore Manufacturers couldn t cover production costs Common Carrier System AT American Telephone and Telegraph AT T were putting up telephone telegraph lines charged for it saw radio as a business opportunity Paid for stations and towers people could come and pay them to send messages on the radio No one was willing to do this could not support the costs Advertising People who make the programming could have advertising pay for the costs Companies paying to access audiences Was not a universal concept Radio in other Countries Public Service Broadcasting the BBC tax payers the organization sell licensing fee that went to the BBC Still in place today for TV Government Pays for it Government control Ads do not make sense in countries that do not have a large consumer base Economic Model Dictates Content Ad supported Audience size is key Public Audience size doesn t matter the focus is on quality what elevates the public good Government Pro government and slanted content Economics of Media Industries The Internet Costs How do we pay Advertisements Subscriptions Selling products Ex Funny or Die producing high quality content for cheap making a lot of money Dramatically reduced costs capitalized on the viral have a built in audience Cost fees pay for people who appear on the show is very low These people do not make a lot of money but our given full creative freedom to do whatever they want in a skit Still need to make revenue so the use Advertising Economic models have not changed that much with new media Adaptation Changes in Advertising commercials do not work as well anymore Integrated marketing embedded ads within the content itself Ex Product Placement ET and Reeses Pieces Ex Banner ads in sporting events