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January 10, 2006

Iger's new model

Just 12 days after Bob Iger became CEO of Walt Disney Co., he made a splash by agreeing to let Apple sell ABC's television shows over the Internet. Iger intends to be an early adopter as he guides the $31-billion-a-year Disney into the digital world. "Bob has Disney in the lead right now," says Lowell Singer, an analyst with S.G. Cowen & Co. "He's doing the most out-of-the-box thinking in the media sector." Disney's rivals have quickly followed -- NBC has put Law & Order and Late Night With Conan O'Brien on iTunes, CBS has licensed Survivor to Comcast for video-on-demand, and Sprint Nextel has formed a joint venture with four big cable operators that will deliver streaming cable channels to your cellphone. Hollywood is once again abuzz about broadband entertainment, multiplatform plays, the "third screen" (meaning the cellphone) and that old standby, convergence.

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