Navigating the Media Divide: Innovating and Enabling New Business Models

Summary: The worlds of traditional and new media are already clashing, and it’s a conflict that continues to expand. However, a second type of conflict is brewing – one that could cause major rifts among traditional partners. For media companies, it’s time to pursue different and somewhat opposing business models…and navigate the media divide.A new media world has arrived. Pioneered by teens and gadget-savvy professionals, it has quickly spread into virtually every consumer segment, and started to encroach on traditional media. The number of unique visitors to has now surpassed the 50 million mark – something akin to the number of U.S. households that tune into the Super Bowl. Every day, consumers around the world watch about 100 million videos on YouTube – putting that number in context, the top 15 British primetime television shows combined attract about 100 million viewers, as do the top 4 U.S. shows.To examine the inherent tension between new and traditional media and explore future industry scenarios, we conducted a comprehensive study that included interviews with leaders of media companies and an in-depth analysis of the factors that are shaping the industry outlook.

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