• by Wayne Friedman , Staff Writer, March 13, 2024

Although some premium streaming platforms seem close to profitability, there are also legacy TV-based media players that own connected TV/streaming platforms that are lagging behind.

And that has some analysts thinking some radical changes are necessary -- that they should abandon streaming entirely. And if some executives overseeing those businesses persist in going on?

Perhaps those executives should get the heave-ho, at least according to Rich Greenfield, media analyst at LightShed Partners.

Greenfield believes that Bob Bakish, CEO of Paramount Global, should head to the exit door because of the way he has been dealing with Paramount+. For one thing, instead of accepting a deal to sell Showtime for some $3 billion, he kept it -- stuck inside Paramount+. This resulted in a very negative perception on the part of pay TV distributors as well as consumers.

Pay TV providers are upset because they are not competing with Paramount+ for the same customers on their legacy TV bundles.

TV content consumers could be miffed because they are paying more for essentially duplicated content -- those who have subscription access to both linear TV networks and streaming.

So what is the plan? Greenfield and others believe Paramount Global should essentially become an “arms dealer" in the industry in terms of content --- selling high premium program content to all other premium streamers.

Now all this is not exactly new --in part. Some time ago, Warner Bros. Discovery decided it wasn't always a good idea to slap every big Warner Bros.-produced TV show or movie onto its big Max streamer. So, it began pulling stuff off to sell to third parties.

WBD has not completely abandoned the whole streaming concept -- it looks to keep new, high-gloss content in its control on Max.

Still, it's a rapidly changing world. WBD has had talks about "partnerships" and merger discussions -- with companies including Paramount Global.

All is not settled. And while Walt Disney (Disney+, Hulu, and ESPN+) as well as NBCUniversal (Peacock) are near to approaching consistent profitability, other platforms are still way back in the net loss mode.

Should more companies also be thinking about raising the white flag and taking on the “arms dealer” mentality?