Diversitytopia--The Comcast/NBCU Merger Legacy - Simon Applebaum - MediaBizBloggers

Unless a monumental catastrophe of incompetence is unearthed, the merger of Comcast and NBC Universal goes through. Now that we've got that declaration out of the way, what's the best thing that can emerge when Comcast, the nation's largest cable operator and a network programmer, and NBC Universal, one of the biggest network programmers around, connect with blessings from Congress and the Federal Communications Commission? Try the biggest injection of programming diversity--and network diversity ownership--to our eyeballs ever. Given we're on our way to a society where the majority of U.S. citizenry is of color, you couldn't time this better.

When Comcast and NBC Universal launched their merger advocacy before Congress and the FCC earlier this year, one of their selling points was a promise that post-merger, six independently-owned channels would premiere on Comcast's cable systems within three years, at least half involving substantial or full ownership by people of color. Not great enough for us, replied advocacy organizations for African-American, Latino and Asian-Americans. One group, the National Association of African-American Owned Media, wants Comcast to set aside 10 percent of its average system channel capacity (25 channels) to networks owned, managed or programmed at African-Americans.

Chances are that group will be disappointed because chances are that request will not be realized. The more important point is that groups like this are raising their voice every chance they get, because they're clear this merger represents the rare avenue to expand diversity in far more dramatic fashion than anything else before. For the National Association of African-American Owned Media and other groups with similar aspirations, a consolation prize of nice magnitude looks gainable.

How come? Comcast/NBC Universal so far shows a willingness to react by expanding those post-merger parameters. Thanks to agreements made with separate African-American and Latino advocacy coalitions over the last two months, that original three-year plan has turned into 10 indie net launches over eight years, and all but two of those indies will be African-American or Latino owned. So we go from half of six channels to 8 out of 10.

Also, under a deal with the Independent Film & TV Alliance reached a few weeks ago, up to 200 indie production companies will be invited to showcase programming possibilities at an annual Comcast/NBCU development presentation. That same date binds Comcast/NBCU to accept up to 20 program pitches a year for NBC; 15 a year for Comcast/NBCU's cable networks (USA/Syfy/Bravo/E!/Style etc.) and support indies in lining up advertisers for NBC made-for-TV movies and Comcast video-on-demand content they produce. Besides all that, Comcast/NBCU will create a $20 million kitty for interactive TV and digital media investments among minority entrepreneurs.

Wherever you stand on this merger, give Comcast/NBCU some level of acknowledgment for their willingness to expand their post-merger diversity pie. It's a greater pie now than before...and there's room to expand more before that merger agreement gets done. For starters, Comcast/NBCU should agree to launch at least four Asian-American owned networks under that eight-year timeframe, similar to the African-American/Latino coalition deals. Many Asian-American media advocates never forgave Comcast for its handling of AZN, its channel targeting millennial Asian-Americans, last decade. AZN replaced International Channel in the spring of 2005, and within eight months, its sub count doubled from 7 to 14 million and the net's original programming lineup looked like a winner with general audience crossover possibilities. But that fall, without any explanation, Comcast dismantled AZN's staff and original programming. AZN became a net dominated by Asian films and TV series, with no marketing or promotional momentum, and was shut down in April 2008. A multi-channel agreement increasing Asian-American ownership would go a long way to mending Comcast's relationship with that community.

Another initiative: launch at least one network owned by or programming at Native Americans. PBS affiliate KVCR-TV in San Bernardino, California is developing such a network to being next spring, using a $6 million grant from the San Marino Band of Mission Indians. Nothing like national cable clearance of that service, or something else, on Comcast systems to draw positive vibes ahead of the post-merger era.

Be sure a few more initiatives will surface that Comcast/NBCU should consider before setting its post-merger diversity agenda in stone. But from the steps taken so far, at least one constituency in the drive to a merger looks like big winners--the general public who can look forward to a more diverse assortment of networks and who operates them.

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