Disney weighs application for China channel
By Doug Young
Wednesday January 15, 5:35 PM
HONG KONG (Reuters) -- The Walt Disney Co , which unlike its rivals lacks its own Mandarin-language channel in China, is weighing an application that could bring a version of its flagship Disney Channel to the mainland as soon as 2004, its TV chief in Asia said on Wednesday.
If it applies for and receives permission to broadcast in China, Disney would join the ranks of AOL Time Warner's CETV and News Corp's Xingkong Weishi as one of a handful of foreign-owned Chinese-language networks allowed to broadcast into China's tightly controlled media market.
China has made moves to open the market slowly in the past year, but is still sensitive on the subject -- particularly toward news broadcasts.
"We're considering now whether to apply this June" to put a Mandarin-language Disney Channel in specially designated venues in China, said Doug Miller, managing director of Walt Disney Television International (Asia Pacific).
"It's a way to test the channel in the marketplace... test the signal, test the system. It would (also) have some public relations value. If we take this route, it would be one more step along the way to a greater presence in China."
If Disney does apply in June, it would expect to receive an answer from Chinese broadcasting authorities around the end of the year or in early 2004, Miller said.
Disney -- which already enjoys a high level of recognition in China -- has taken a notably different approach to entering China from its main rivals in the region, most notably News Corp and AOL Time Warner.
Whereas the other two companies have pushed hard to set up locally branded cable channels in the country -- and have won rights to do so in wealthy Guangdong province -- Disney's approach has been to get its programs onto existing Chinese channels.
To that end, Disney now has a daily segment in "The Big Windmill," a prime time show on China's CCTV-1 and works with Beijing Television to produce a show called "Dragon Club" which is sold to TV stations throughout China.
"We're there," Miller said. "We'll get a network in there... when it's right for the government of China, the people of China and when it's right for the Walt Disney Co."
Disney's approach so far has been different from News Corp and AOL Time Warner, which claimed a victory when they launched their Chinese-language stations in Guangdong a year ago.
News Corp's Xingkong Weishi is soon expected to move a token step closer to national distribution by being allowed to broadcast in China's three-, four- and five-star hotels as well as foreigner compounds, according to an informed source.
Both News Corp's and AOL Time Warner's Chinese-language stations have relatively low viewership in Guangdong, and are widely believed to be losing money.
Accordingly, Disney's approach to the Chinese market may indeed be the more prudent way to tap a market whose viewers are numerous but lack the affluence that advertisers desire, said Marcel Fenez, an entertainment and media consultant at PricewaterhouseCoopers in Asia.
"Disney is doing a lot more locally than other brands in China," Fenez said. "The other brands have gone through the hotels and foreign compounds to promote their brand. Disney has done a lot more" by going after the broader Chinese audience.
Miller acknowledged that while he believes Disney's approach is the most prudent for now, it is still too early to say who will reap the biggest rewards if and when China becomes a lucrative market for foreign-owned broadcasters.
"Everyone sees China as this big growth area," Miller said.
"I do as well, but as a crawl, walk, run approach working with the government and other business partners in China... Everyone's trying to figure it out."
By Doug Young
Wednesday January 15, 5:35 PM
HONG KONG (Reuters) -- The Walt Disney Co , which unlike its rivals lacks its own Mandarin-language channel in China, is weighing an application that could bring a version of its flagship Disney Channel to the mainland as soon as 2004, its TV chief in Asia said on Wednesday.
If it applies for and receives permission to broadcast in China, Disney would join the ranks of AOL Time Warner's CETV and News Corp's Xingkong Weishi as one of a handful of foreign-owned Chinese-language networks allowed to broadcast into China's tightly controlled media market.
China has made moves to open the market slowly in the past year, but is still sensitive on the subject -- particularly toward news broadcasts.
"We're considering now whether to apply this June" to put a Mandarin-language Disney Channel in specially designated venues in China, said Doug Miller, managing director of Walt Disney Television International (Asia Pacific).
"It's a way to test the channel in the marketplace... test the signal, test the system. It would (also) have some public relations value. If we take this route, it would be one more step along the way to a greater presence in China."
If Disney does apply in June, it would expect to receive an answer from Chinese broadcasting authorities around the end of the year or in early 2004, Miller said.
Disney -- which already enjoys a high level of recognition in China -- has taken a notably different approach to entering China from its main rivals in the region, most notably News Corp and AOL Time Warner.
Whereas the other two companies have pushed hard to set up locally branded cable channels in the country -- and have won rights to do so in wealthy Guangdong province -- Disney's approach has been to get its programs onto existing Chinese channels.
To that end, Disney now has a daily segment in "The Big Windmill," a prime time show on China's CCTV-1 and works with Beijing Television to produce a show called "Dragon Club" which is sold to TV stations throughout China.
"We're there," Miller said. "We'll get a network in there... when it's right for the government of China, the people of China and when it's right for the Walt Disney Co."
Disney's approach so far has been different from News Corp and AOL Time Warner, which claimed a victory when they launched their Chinese-language stations in Guangdong a year ago.
News Corp's Xingkong Weishi is soon expected to move a token step closer to national distribution by being allowed to broadcast in China's three-, four- and five-star hotels as well as foreigner compounds, according to an informed source.
Both News Corp's and AOL Time Warner's Chinese-language stations have relatively low viewership in Guangdong, and are widely believed to be losing money.
Accordingly, Disney's approach to the Chinese market may indeed be the more prudent way to tap a market whose viewers are numerous but lack the affluence that advertisers desire, said Marcel Fenez, an entertainment and media consultant at PricewaterhouseCoopers in Asia.
"Disney is doing a lot more locally than other brands in China," Fenez said. "The other brands have gone through the hotels and foreign compounds to promote their brand. Disney has done a lot more" by going after the broader Chinese audience.
Miller acknowledged that while he believes Disney's approach is the most prudent for now, it is still too early to say who will reap the biggest rewards if and when China becomes a lucrative market for foreign-owned broadcasters.
"Everyone sees China as this big growth area," Miller said.
"I do as well, but as a crawl, walk, run approach working with the government and other business partners in China... Everyone's trying to figure it out."
