MIGRAIN: Industries - Ownership and control

Industries: Ownership and control blog task

Name of media conglomerate:

META

Conglomerate ownership:

What brands, companies or media products is the conglomerate best known for?

• Facebook
• Instagram
• Whats App

Vertical and horizontal integration

What example can you find of vertical or horizontal integration for this conglomerate?

An vertical example is that Facebook and Instagram same industry share similar production stages in their photo sharing services.

An horizontal example is that it provides applications on many devices and APIs that allow messages to be delivered to and from its communication platform.

Synergy and convergence

What examples of synergy can you find in the promotion or distribution of the media product?

Social media apps can be downloaded from the app store.

Diversification 

What example can you find of diversification for your conglomerate?

Onavo: Israeli mobile web

Horizon worlds: Online video game

Cross media regulation 

Can you find any examples of the conglomerate getting into trouble with government regulators due to their business model?

Meta has lost billions of dollars in advertising income due to Apple's privacy reforms to its mobile operating system and the migration of younger users to TikTok from Facebook and Instagram.

Media Magazine reading and questions

1) Briefly describe the production, promotion and distribution process for media companies.

The production process provides audiences with the media products they want. It needs to consider the audience’s desires and should provide the gratifications the audience expects.

The promotion process researches and identifies the target audience for the product, and uses advertising and marketing strategies to inform and persuade them of the value of

the media product.

The distribution process uses the most appropriate methods for getting the product to the audience and making it as easy as possible for them to access it.

2) What are the different funding models for media institutions and the article gives a lot of examples of major media brands and companies. Choose three examples from the article and summarise what the writer is saying about each of them. 

• BBC is funded by a licence fee and it has a public service remit, it is more likely to screen.
• ITV relies on income generated by advertisers. This means that appeal to a large audience.
• Sky One needs an income from subscribers and may well invest in programming that attracts a loyal audience.
• The Mail Online receives more income the longer a reader stays on the site, so stories will feature lots of images and videos.

4) What examples are provided of the new business models media companies have had to adopt due to changes in technology and distribution?

• The BBC is reviewing its financing model in view of the increased popularity of on-demand streaming.
• To entice consumers to the cinema, the film industry has generously spent money in 3D technology.

5) Re-read the section on 'The Future'. What examples are discussed of technology companies becoming major media institutions?

• YouTube is now owned by Google, which has completely changed how we get music, moving-image entertainment, and information.
• Nowadays, companies like Amazon, Netflix, and Yahoo produce, 'broadcast,' and even develop their own TV series like Transparent, Orange is the New Black, and Community.
• Facebook recently acquired the virtual reality platform Oculus Rift (see MM51); one advantage for audiences might be that it enables individuals to "attend" and "enjoy" events without having to leave their homes.

6) Do you agree with the view that traditional media institutions are struggling to survive?

Yes, I do agree that medias like reject traditional TV programming, newspapers and cinema exhibition, are struggling because new methods of viewing the news through apps and social media has made it very difficult for them to evolve and keep up in the dynamic market. Cinema exhibition has struggled a lot since people are streaming movie and shows on Netflix and Disney plus.

7) How might diversification or vertical integration help companies to survive and thrive in a rapidly changing media landscape? 

Diversification may help businesses thrive because it allows them to extend out into multiple media channels, allowing them to continue in the market even if they fail in one area.

Vertical integration helps companies to survive as they dominate the same chain of production therefore helps them to reduce cost and increase profit.

8) How do YOU see the relationship between audience and institution in the future? Will audiences gain increasing power or will the major global media conglomerates maintain their control?

In my opinion, the audience  will have more control over the media as the media evolves to meet the audience's demands and requirements. As a result, the media is dependent on the viewers; without their involvement, it will collapse.