In the past three months I had delivered around 35 speeches and presentations.  During about 25 of them I have asked the audience the question that is the title of this column (why I will explain later).

.Whether it is a confidential gathering of 10-15 CEOs or a hotel ballroom of 400-500 people, when I ask this question, I have never had anyone raise their hand.  That is worth repeating.  25 times I have asked audiences to “Raise your hand if you love your cable company” and not a single person has raised their hand!

Not only that, but most of the time this question provokes laughter. People think the question is funny. The laughter clearly implies the absurdity of the question.  Playing to the audience I usually quickly say something like “Of course you don’t.  How can you love “maybe we’ll make it to your house on Tuesday between 8-4 and maybe we won’t” or “of course, why would you love a business model that is like going to a restaurant, ordering the chicken and being asked how you like your steak prepared because you have to buy everything on the menu whether you want to consume it or not”.  Even if you only watch 5-8 channels you have to buy a 100.  People nod their heads turn to each other and make comments, none of which seem positive.

Now some of you might immediately react that the question is unfair because I used the word “love”.  Well think about how the …

To many, the absolute collapse of the magazine industry in 2009 may seem stunning.  What is stunning to me is that the industry didn’t see it coming and take steps to avert this collapse.  Once again, another industry can only see a year ahead and thinks that a down year – 2008 – would be followed by a flat or up year. Historically in the advertising business that has been the career experience of the senior executives, so why not look to the past for reassurance?

The Big Three auto companies had an insular culture that didn’t pay attention to outside forces.  They only focused on the fact that they could make $1,500-2,000 profit per SUV and pick-up trucks, so they just kept making them hoping – not thinking that is for sure – it would all continue.  We know where that led.

Conde Nast took pride in its’ high level extravagant culture.  Bright and shiny and expensive always worked in the past, so hey, we’ll be ok in the future.   Whoops! It looks like we have to shut down some new and iconic titles as they are no longer viable businesses.

Business Week, one of the iconic business publications of the last half century was sold for $5 million.  Sounds like what was a good revenue week three years ago.  Who bought them?  The well diversified, global, multi-media, multi-revenue stream Bloomberg.  Just think about an on-line and video, global weekly news and feature product called Business Week, served up on consoles and …

We have all lived through a lifetime of technology changing the media and content landscape.  Satellites allowed cable television and later satellite television to erode and then eviscerate the traditional broadcast network business model.  Then the analog to digital transition eliminated the physicality of the product in the music industry.  Then the universal, immediate and free availability of news and information on the Internet has pushed news magazines and newspapers to the edge of the abyss.

It is now cable television’s turn to face the disintermediating power of the Internet and technology.  This is a trend I have forecast for the past two years.

Cable television has long had a strangle hold on the American household as it has been the “last 30 feet” of connectivity into the home.  Owning this connection has allowed cable television MSOs and operators to control a great deal of the media access to the home and, in many cases such as customer service and pricing, act as a monopoly.  First was the connectivity to the world of cable television.  This was followed by …

The current media and advertising recession will be more severe and more transformative than any one of the last 80 years.  This will be a time when it won’t be just about how far down ad spending goes, but also about what media entities and even business sectors will survive.

Historically, advertising recessions have been 1-2 years in length and have been about a contraction in ad spending on measured media.  Everyone hunkered down, altered pricing strategies, leaned on relationships and waited until the inevitable spending upsurge occurred.  The advertising recession of 2008 – 2010 will be different. This time, entire structures on both the buy and sell side will collapse.  The institutions that were developed and rigidified in the 20^th century are clearly not mirroring the dynamic changes of the media marketplace in this new century.  The advertising agency constructed in the second half of the last century no longer reflects the media reality of today.  The same can be said of the hierarchical distribution channel specific media sales organizations.  There are agencies and media properties that exist today …

It was just reported that, as expected, there are now more Internet users in China than in the U.S. As of last month there were 253 million Internet users in China as compared to 220 million in the U.S. What is striking is that in just the last year, the number of new users in China was 90 million, or a growth rate of more than 50%. That annual increase in users is more that the total number of users in most countries in the world.

There are several interesting aspects to these numbers. Of course, since China is the most populous country in the world with more than 1.3 billion people, it will ultimately have more of most any category of people, based on size alone. It is interesting that there seems to be an age divide in China. Not only are 70% of the country’s internet users under the age of 30, 90% of the new users in the last six months were high school students. This reflects the fact that the booming economy in China is led and fueled by those under the age of 40 as many of the older generations are still anchored in the past.

It is possible that, if current growth rates continue, China could have twice as many Internet users as the U.S. within two years. It is when that happens that Internet usage in China will bring about significant change. The 253 million Internet …