The Media, Business and

Public Service Broadcasting

Paul Carter7th December 2011

Some History

• 1440 - Guttenberg first uses moveable type in Europe

• 1839 - Telegraphy (Morse)

• 1875 - Telephony (Bell/ Meucci)

• 1895/6 - Wireless Telegraphy (Marconi/ Edison)

• 1900s - Wireless Telephony (Numerous)

UK Radio Development

• Radio equipment used in WWI

• Little use for radio after the war

• First news broadcast in US 1920

“I have in mind a plan of development which would make radio a household utility in the same sense as the piano or phonograph...The receiver can be designed in the form of a simple ‘Radio Music Box’ and arranged for several different wavelengths which would be changeable with the throwing of a single switch or pressing a single button.The box can be placed in the parlor or living room the switch set accordingly and the transmitted music received...This proposition would be especially interesting to farmers and others living in outlying districts removed from cities. By the purchase of a ‘Radio Music Box’ they could enjoy concerts, lectures, music, recitals etc., which may be going on in the nearest city within their radius.”

David Sarnoff - American Marconi Company.

UK Radio Development

• 1920 - Marconi Company given permission to test broadcast in UK

• 1922 - Marconi opens 2LO in London

• 1922 - British Broadcasting Company begins broadcasting in November

• General Manager, 34 year old engineer John Reith

British Broadcasting Company

• Funded from royalties on radio sets and part of licence fee collected by the Post Office

• Established to provide an audience and therefore a market for radio sets

• Attempted to serve everyone with a wide range of programming

British Broadcasting Company

• Severely restricted in news output

• Very ‘establishment’

• Became a trusted organisation during National Strike of 1926

British Broadcasting Corporation

• Awarded Royal Charter 1st Jan 1927

• Funded entirely from licence fee

• ‘Disinterested monopoly’ (Crisell)

Reith’s Principles

• Not driven by need to make a profit

• Variety and excellence in programming

• Acts to stop sectional interests exerting undue influence on the public

Meanwhile in the USA....

• Many radio stations develop

• Little regulation

• Funded by advertising

BBC and Competition

• Early competition from European stations - Radio Normandie, Radio Luxemburg

• Stations provided more popular programming - particularly on Sunday

• Extremely profitable

• Closed by WWII

The BBC and WWII

• Balance of objectiveness and patriotism

• Became the trusted voice of the nation

• Had a ‘good war’

Television

• BBC starts broadcasting TV in 1936

• Stops at the start of WWII

• Returns in 1946

• 15,000 households.

• TV licence £2 (£111 equivalent today)

• 1953 - Coronation of Elizabeth II - point where TV became more important than radio

Introduction of Commercial Television

• Campaign led by Conservatives and business

• Opponents concerned with quality

Arguments for Commercial Television

For

•Competition would force up quality

•BBC monopoly ‘discouraged efficiency and denied choice’

•Broadcasting should be unrestricted

•Lack of advertising opportunities

Against

•A monopoly can devote broadcasting to ‘serious purposes.

•Can maintain editorial independence

•Distrust of America

•Quality debate

Commercial Television arrives

• Begins 1955

• Set up in a very similar way to the BBC

• Within two years had gained 60% of available audience

• ‘Licence to print money’

The BBC Now

The BBC’s Mission:To enrich people's lives with programmes and services that inform, educate and entertain

The BBC’s Vision:To be the most creative organisation in the world

BBC Trust’s Public Purposes

• Sustaining citizenship and civil society

• Promoting education and learning

• Stimulating creativity and cultural excellence

• Representing the UK, its nations, regions and communities

• Bringing the UK to the world and the world to the UK

• Delivering to the public the benefit of emerging communications technologies and services

ITV’s Corporate Responsibility

Our corporate responsibility (CR) priorities are to broadcast responsibly, make a difference to communities, contribute to the UK's creative industry, and operate responsibly behind the scenes.

ITV Revenue 2010

£2,064m

The purpose of commercial broadcasters is to provide audiences for advertisers

Commercial broadcasters SELL their audiences to advertisers

Audiences are ‘sold’ at rates per 1,000

£10,000 will give about 1.6m ‘impacts’6 spots on ITV2 daytime50 spots on Sky1 daytime

Break before X Factor results can cost £8,000 PER SECOND

30 second advert in Superbowl 2011 cost $2.5-3m

All UK terrestrial channels have PSB

remits