CBS looks to digital growth

Lesley Moonves

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CBS president and chief executive Leslie Moonves is looking to ramp up the US media giant’s growth strategy.

Speaking after his opening keynote presentation at Mipcom, Moonves talked up CBS’ various digital ventures, including the UK music site Last FM, which CBS acquired earlier this year for $280 million.

"Last FM is fascinating to us because we had not been involved in any social networking site," said Moonves, who will head to London later this week to meet with the website’s founders.

The site currently claims over 15 million active users in more than 200 countries, but with 70% of these outside the US, CBS is looking to expand its presence in the States, as well as apply the technology to other areas of its business.

“Our next step is monetising it,” said Moonves. “The idea now is to advertise, to bring it more to the US as well. If we can develop a great social networking site around music content, why couldn’t that extend into entertainment, into news, into sport, all businesses that we’re in.”

Like other US broadcasters, CBS has been offering its content over various new platforms, including Apple’s iTunes, and Moonves is upbeat about the possibilities for reaching new audiences.

“We are primarily a content provider, but we need to make that content available when people want it,” he said. “People like interacting with content.”

According to Moonves the company is increasingly moving towards an ad-funded model for online distribution, but continues to explore other models, including subscription and VoD.

It will continue to offer its shows via iTunes – unlike NBC, which recently chose not renew its contract with Apple following a dispute over pricing.

“We are getting paid a decent amount of money for everything,” said Moonves. “Do we have questions abut price point with iTunes? Absolutely. We do not feel the same way as NBCS does and we plan on continuing that relationship.”

In terms of the upcoming fall season, the network is hoping to attract more attention with the launch of edgy shows like Viva Laughlin, BBC Worldwide’s US remake of Viva Blackpool.

He said: “We weren’t quite getting the buzz that some of the other networks were and I think we were getting a little bit knocked for it. So our people tried it mix it up more.”

As for the growing interest in UK drama formats, Moonves noted the US networks have never been more open to programme ideas from the UK and elsewhere.

“Right now, most American production companies are looking very seriously at new product throughout the world,” he noted. “There is a lot more openness to bring things over from the other side. It’s been a real sea change over the last decade.”