Weather Channel Acquisition Sheds Light On Byron Allen’s Tight Media Operation

Weather Channel Acquisition Sheds Light On Byron Allen’s Tight Media Operation

Byron Allen made waves across the media industry when his company Entertainment Studios acquired The Weather Channel for $300 million earlier this year. The Breakdown You Need to Know There’s a very formulaic approach that Entertainment Studios takes to spur growth of its media properties. That figure is sure to have increased after its Weather Channel acquisition which Allen plans to leverage to open up distribution opportunities for his other assets. Allen follows a model similar to Robert Smith at technology private equity investor Vista Equity Partners. Vista Equity Partners has developed recognition for Vista Consulting Group which provides a playbook of portfolio companies used to implement standardized and repeatable processes. Particularly as the effects of climate change become more evident in catastrophic events like last year’s hurricanes in Houston and Puerto Rico. CultureBanx found that television’s transition to digital is another key consideration in Entertainment Studio’s strategy. Facebook, Twitter, and Amazon are ramping up their battle for dominance over internet television. Other broadcasters are taking a different approach to internet television. A Morgan Stanley survey found that 40% of respondents viewed Facebook Watch content on a weekly basis and video accounts for half of Twitter’s ad revenue.

Weather Channel Acquisition Sheds Light On Byron Allen’s Tight Media Operation
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Byron Allen visits ‘Extra’ at Universal Studios Hollywood on April 26, 2018 in Universal City, California. (Photo by Noel Vasquez/Getty Images)

Byron Allen made waves across the media industry when his company Entertainment Studios acquired The Weather Channel for $300 million earlier this year. What does his approach to the media business signal about the direction of the rest of the industry?

The Breakdown You Need to Know

There’s a very formulaic approach that Entertainment Studios takes to spur growth of its media properties. Film crews shoot content for multiple shows at the same time. They also film on a 24-hour schedule in order to increase the efficiency of their channels. This is the strategy the company takes with all of its properties including Justice Central, Comedy.tv, and Cars.tv. In total Allen claims Entertainment Studio’s investments are valued at around $1 billion. That figure is sure to have increased after its Weather Channel acquisition which Allen plans to leverage to open up distribution opportunities for his other assets.

Allen follows a model similar to Robert Smith at technology private equity investor Vista Equity Partners. Vista Equity Partners has developed recognition for Vista Consulting Group which provides a playbook of portfolio companies used to implement standardized and repeatable processes. The approach has been successful,…

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