Write to Joe Flint at joe.flint@wsj.com

THE SMALL SCREEN
By JOE FLINT

Viacom's Gay Network
Faces Crowded Market

Ample Choices on Rival Channels,
Advertiser Needs Pose Hurdles
July 28, 2004
When Viacom first announced plans for Logo, a cable network aimed at gays, lesbians and transgenders, there were the usual rumblings from religious groups that this was the start of the apocalypse. Louis Sheldon, the head of the Traditional Values Coalition, told the New York Times that the channel was "bad news for American families."

Well, last week MTV Networks, the Viacom unit that will run Logo, unveiled some of its programming plans, and in many ways it is tamer than what conservatives feared and possibly less daring than what its intended audience was expecting. Even the name, which MTV Networks chief Judy McGrath said was chosen because it "avoids stereotypical images and icons" seems designed to neither offend nor inform.

Much of the fare is predictable. Aside from acquiring the rights to mainstream movies with a gay theme ("The Birdcage," "Priscilla, Queen of the Desert," "Kissing Jessica Stein"), Cher and her lesbian daughter Chastity are on board to produce "Family Outing," a program that celebrates coming out stories of celebrities. Comedian Margaret Cho also has agreed to produce an original series for the network, which will launch in February.

Logo also is planning a healthy dose of the sort of reality and pop-culture programs that have become staples on MTV and VH1. Bunim-Murray Productions, the company behind "The Real World" and Fox's "The Simple Life," will offer "Fantastic Voyage," which follows travelers on a gay cruise. Another reality program, "My Fabulous Gay Wedding," requires no explanation. VH1 also will produce one of its infamous "list" shows (think "50 Most Awesomely Bad Songs Ever") about gays and their influence on entertainment and music.

What do you think of Viacom's plans to create a gay-oriented network? Write to Joe at joe.flint@wsj.com

In unveiling the slate, Matt Farber, who is running Logo, said, "This is one of the few audiences that doesn't have a channel of its own."

While Mr. Farber is right, strictly speaking, about gays not having their own channel, none of the shows he announced would be out of place on many existing cable networks. Aside from Showtime, which has "Queer as Folk" and "The L Word," several other cable channels, including Bravo, E!, MTV and VH1 all have shows that heavily appeal to a gay audience.

That abundance of programming underscores just how tough it will be for Viacom to create a channel that can differentiate itself in a marketplace already filled with shows aimed at a gay audience. The dilemma is that a channel that tries to dig deep into gay culture risks being a turn-off to advertisers and some straight viewers. But a channel that just skims the surface of the gay world will be dismissed as lightweight.

After all, the growth of Black Entertainment Television as well as Fox and UPN gave CBS, NBC and ABC a convenient excuse to get out of trying to program for black viewers. And while on the one hand it is seen as empowering to have a channel that caters to a select group of people, is there not also a touch of "separate but equal" about the whole thing?

That is not to say Viacom's decision to launch Logo isn't daring. Not only has Viacom Chairman Sumner Redstone pegged start-up costs at $30 million, but getting distribution outside major urban areas could prove challenging. MTV President Brian Graden says the channel will be in between 10 million and 15 million homes at launch. Getting to the 50 million subscribers that most cable networks need before they can start to make money will be no small task, although Viacom Co-President Tom Freston has said he expects Logo to be profitable within three years.

But while Viacom's efforts might be well-intentioned, ultimately the company is doing this because executives think it is a good for business. Gay consumers' spending power amounts to almost $500 billion a year, according to Prime Access Inc., a New York ad agency. Average household income is 8% higher in gay homes than straight ones, according to Forrester Research Inc. Logo could be a gold mine for Viacom that could make the backlash the channel will face from the usual conservative watchdog groups worth it.

But to get rich quick could mean programming that ends up being more insipid than inspired. That is often the case on BET, also owned by Viacom, where most of the programming is inexpensive and aimed primarily at young black men. The schedule is filled with racy videos and cheap stand-up comedy shows; while that strategy has made it a very profitable channel, the network has never seriously tried to create original series or movies, a step that would go a long way toward silencing its critics.

No one is predicting that Logo will turn into a BET for gays. But the seeds are already there. Logo has said it wants viewers under 50 (just like every other network). And most of its planned shows feel more "Real World" than real world. In its efforts to show just how mainstream gay lifestyle is, Logo risks drowning out the more serious issues such a channel could address.

Wild, Wild West: Ted Harbert, the former chairman of ABC's entertainment division who recently took over as chief of E! Entertainment Television, has some interesting thoughts about the state of the business. Speaking to reporters last week, Mr. Harbert wondered if Hollywood has become "Deadwood," the Western town without rules or ethics.

"It seems as if the demonstrable loss of civility in America's television programming has found its way into the executive suite as well," he said in reference to the battles between Fox, NBC and ABC over who stole whose lame idea for a reality show first. Perhaps, he added, those people need to "re-examine their motives and conduct to make sure they are in the best interest of the viewer."

We salute Mr. Harbert's remarks and only hope he applies the same thinking to E!, which as of late has descended into the gutter with tabloid-style programming and cheap reality fare.

Ahhh - and all we have to do is launch? Can we say at least 5 cents?

Logo is exactly that, some generic, corporate Logo aimed at commercializing an entire Segment of the adult population... Yeah, they're going to do Wonderful...(Roll eyes)

quote:

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Originally posted by 1BigTip:
[b] "MTV President Brian Graden says the channel will be in between 10 million and 15 million homes at launch. Getting to the 50 million subscribers that most cable networks need before they can start to make money will be no small task, although Viacom Co-President Tom Freston has said he expects Logo to be profitable within three years. "

Ahhh - and all we have to do is launch? Can we say at least 5 cents?

[This message has been edited by 1BigTip (edited July 28, 2004).][/B]

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Ok! let me try,,,

"AT LEAST 5 CENTS!"

Damn that wasn't so hard. And to think,,,

"All we ever had to do is launch!"

PALM SPRINGS, Calif.--(BUSINESS WIRE)--July 28, 2004--Q Television Network (OTCPK: QBID) today announced that it has obtained intermediate financing in the form of a loan of $1,000,000 and equity placement of $1,000,000 through a major private investment fund. Additional financing necessary to complete Q Television Networks long term goals over the next year have been negotiated and the legal documents for these transactions are being prepared. Frank Olsen President and CEO of the Network stated, "These arrangements will make it possible for the continuing success of the Network by being able to secure first rate programming for the Network and provide the necessary working capital requirements while the company pursues licensing with additional carriers."
For more information on carriage, contact Q Television at (760) 322-4455. For advertising sales, contact Scott Seger at 212-300-7569

I've seen companies get real good news day after day & stay flat then sometime in the not to distant future take off on what appears to be an absence of news.

This is a bonafied long term hold for me!

"All they had to do is launch!"

Whizknock this is GREAT NEWS!!!

Definition of "Intermediate Financing"

Short-term financing technique, pending the execution some type of long-term financing arrangement.
A short-term loan made to a company on the condition that a takeout will follow with long-term or intermediate financing.

Just wanted to say that we are still going to hear about the advertising and programming...according to the last hotline update. That will be nice to hear about. And it really is good to know that QTN has money to operate... I'm just impatient...not one of my virtues...won't have a saint named after me...Ha!HA! So, seems all is well Q land...Take Care everyone!

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Originally posted by firefly:
Have spent a day on the road,,Had 2 excellent meetings,,Checked into my hotel,,Pulled up the message board and saw gauranteed funding.
I will sleep well tonight.

Whizknock this is GREAT NEWS!!!

[This message has been edited by firefly (edited July 28, 2004).]

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And it will get better!

1BigTip, Firefly! This takes pressure off near term & allows QBID to go about the business of getting another carrier, then another & so on.

Knowing full well we'll hit a few snags, basically we're in the clear now with smooth sailing ahead. Things just keep looking better because over the long haul,,,

"All we ever had to do is launch!"

Added more shares today! Now holding over one mil. and ready to add more.

http://www.planetout.com/news/article.html?2004/07/23/1

Cher and her lesbian daughter, Chastity Bono, are two of the celebrities with television projects in development for Logo, the forthcoming GLBT-targeted cable channel from MTV Networks.

Details of the new channel's programming were announced Friday in Los Angeles, on the last day of the semi-annual Television Critics Association press tour.

Brian Graden, president of MTV/VH1 Entertainment, and Matt Farber, executive consultant for MTV Networks who is spearheading the channel's launch, revealed that Logo has acquired more than 150 movies and documentaries, and 20 projects are currently in development.

One of the projects is a show that focuses on the coming-out stories of famous people, with Cher and Chastity Bono as executive producers. The working title is "Family Outing."

Openly gay comedian Scott Thompson, formerly of "Kids in the Hall," is working on a reality series that focuses on same-sex couples who are planning their weddings. Other celebrities attached to developing Logo shows are Alan Cumming, Margaret Cho and Kathy Griffin.

The basic cable channel is scheduled to launch on Feb. 17, 2005.

First-person documentaries, talk shows and a newsmagazine show are among the original programs in development. Logo is also partnering with the Gay & Lesbian Alliance Against Defamation (GLAAD) to televise the annual GLAAD Media Awards, starting next spring.

The film titles acquired by Logo include "Philadelphia," "The Birdcage," "Priscilla, Queen of the Desert" and "Go Fish."

"The programming we're developing will speak in an authentic voice to this audience," said Farber. "We're building this brand to reflect their diversity and tastes through an array of genres, all informed by a gay point of view."

While Logo, backed by entertainment giant Viacom, has received much attention, other television projects are racing to attract GLBT viewers. In fact, two potential competitors made announcements this week.

Trio, a digital cable and satellite channel from NBC Universal, said that it will add a weekly gay programming block to its schedule. Q Television, a new premium channel, announced a distribution deal with RCN Corp. to make the channel available to RCN subscribers in six major cities in September.

In addition, here!TV, a growing pay-per-view service, plans to launch a 24-hour cable channel in the fall and is developing original GLBT-themed programming.

THE MARKET IS RED---RED---RED---HELP ME..I AM DROWNING IN THE RED SEA.

I FEEL UNTIL THE ELECTION WE WILL HAVE TO REALLY HUNT FOR A GOOD DAY TRADE. I HOPE THINGS TURN AROUND FOR ALL THE LONG HOLDERS AND DAY TRADERS OF PENNY'S. WE ALL NEED A BREAK. LOL

GREAT DD..I STILL LOVE MY QBID!! LOL

POTENTIAL IS PRICELESS

Look at MLON!

Q Television Secures Funding

Listen - Any of you that are waiting for this thing to move up, let me ask you something... If it Pops to .01 are you selling?? If not then relax and go on vacation or something.... It will be past .02 very soon.

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Originally posted by sunny:
What IIISSSS the problem here? That new pr is excellent! We are on our WAY...Are people actually selling...don't have level 2. If so, that is absolutely absurd.

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Originally posted by 1BigTip:
ALERT. ALERT. We dropped below support!
ahhhhhhhhhhhhhhhhhhhh

Can anyone tell me if we need to close below support to throw in the theory that its continuing the down trend?

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Sorry, I think that was me...I added at .0056 so of course the price sank the moment after my purchase, as always.

Listen - IPVO had a similar situation. All great news coming out for them but went from $1.30 to .90 to .70 to .50 and now sitting at .43 under new symbol NMKT. Reason behind the fall was illegal naked shorting and listed on the Berlin Exchange.

I can only assume, thats whats happening to QBID. We should be at .015 at least.

quote:

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Originally posted by sunny:
1Big--have you had YOUR sugar for the day? Sounds like you need a Snickers to help you through this morning. (LAUGH!) I've had 2 chocolate fudge cookies and one nutter butter bar. Feeling pretty good right now...hang in there everyone...Can't figure this whole thing out!

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