Portfolio Companies

Delivering Content

Certain sectors of the consumer-focused media industry have long been based on the network-enabled service business model. In particular, radio, broadcast television (antenna and satellite) and cable firms were early adopters of networking technology that enabled them to reach massive audiences with their content services. With the widespread adoption of the internet and mobile internet, programming and other media sectors such as newspaper, magazine and book publishing, television and film are turning toward network-enabled service business models. Increasingly, large numbers of people choose to access their favorite television shows, radio programming and news reporting on their personal computer or mobile phone, all facilitated by a network-based content delivery infrastructure. The network-enabled service business model continues to drive deeper into the traditional media industry with the emergence of digital music subscription services, digital movie subscription services and satellite radio, all of which are now delivered over a dedicated network connection to consumer devices. In the enterprise markets, the advent of the internet has created the opportunity for an entirely new brand of data-based content service. Originally called application service providers because they delivered an application over a network connection, these service providers are known today as providers of software as a service (”SaaS”). The fundamental economic foundation and key success factors of SaaS providers are the same as those employed by the traditional communications and media industries: deliver a service over a network and monetize it through a recurring revenue business model.