Original content from non-traditional broadcasters dominated Emmy award nominations even more than in the past - creating a reality check for broadcasters. Bobbi Rebell reports.
The best shows on television- mostly aren't on television- or at least traditional broadcast TV. They are either on cable- or completely different platforms. HBO had an astounding 99 Emmy nominations led by Game of Thrones. And in only its second year even trying, Netflix more than doubled its take- with 31 nominations. S&P Capital IQ's Tuna Amobi: SOUNDBITE: TUNA AMOBI, SENIOR EQUITY ANALYST, S&P CAPITAL IQ (ENGLISH) SAYING: "These nominations I think really validates their original programming strategy, which has been a source of concern in terms of content spending. But as long as they can keep delivering these kinds of hits shows I think investors will be patient." Shows like 'House of Cards" and "Orange is the New Black" have been huge winners - and the acclaim they have brought to Netfilx validates efforts by other emerging content players like Yahoo, Hulu and Amazon. They also put pressure on broadcasters to pivot on their traditional strategies. For example- programming year round, and putting their programming on different platforms. While ratings still matter- not having the cachet of winning awards hurts them when it comes to recruiting talent both on screen and behind the scenes. SOUNDBITE: TUNA AMOBI, SENIOR EQUITY ANALYST, S&P CAPITAL IQ (ENGLISH) SAYING: "You know talent is now recognizing that some of the, you know, kind of the traditional networks are now kind of playing catch up if you will so I think the entire ecosystem is going to be better for that and benefit if there is more cooperation among all of these new platforms." On the flip side- the broadcasters have new places-like Netflix- to sell their content: SOUNDBITE: TUNA AMOBI, SENIOR EQUITY ANALYST, S&P CAPITAL IQ (ENGLISH) SAYING: "I think the economics are changing. Of course, it also opens up new syndication opportunities- not just in the U.S. but internationally as well. That is why, from an investment perspective, we think there has never been a better time to be a pure content provider now- maybe especially in television." But still, shares of CBS, whose business is predominately broadcast TV, were the worst performer in the S&P 500 Thursday when the Emmy nominations were announced.