Unless this is what Frankie is working on, we're hosed:
MTV Networks revs up gay-themed Outlet
Tue Feb 10, 7:00 PM ET
JOHN DEMPSEY
NEW YORK (Variety) --- MTV Networks, buoyed by positive talks with top cable operators, has begun stepping up the planning for Outlet, a 24-hour network aimed at gays and lesbians.
In development for more than two years, Outlet failed to launch in 2002 because MTV had brought in sister network Showtime to market it as a pay channel.
When that strategy didn't pass muster with cable operators, Showtime bowed out of the picture and MTV repositioned Outlet as an ad-supported, digital, basic cable network.
But with that repositioning, MTV has had to change its programming blueprint to lifestyle shows rather than hard-edged series and movies that push the boundaries of content. Outlet will likely become a part of MTV's the Suite lineup (consisting of MTV, VH1 and Nickelodeon).
As with the various Suite networks, Outlet's license fees would be relatively modest to cable operators. But in exchange, operators would have to place Outlet on digital basic, avoiding the limited-circulation tiers that would keep the network in too few homes to make Outlet play on Madison Avenue.
Outlet's competitor, Canadian-based Pridevision, has created a different business plan. Marketed as a pay network that would cost subscribers an extra $10 a month, Pridevision has a commitment from a few Time Warner cable systems. And it's negotiating with EchoStar for national satellite distribution to its dish owners.
But before Pridevision (which began operations in Canada in September 2001) gets a launch in the U.S., owner Headline Media Group will have to harvest enough venture capital money to cover everything from programming and marketing to office space and satellite feeds.
Copyright © 2003 Reed Business Information, a division of Reed Elsevier Inc. Variety is a registered trademark of Reed Elsevier Properties Inc. and used under license. All Rights Reserved.
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