MIGRAIN: Industries - Ownership and control

 Media conglomerate research

1)  Alphabet is tech conglomerate that owns google, youtube, google maps and android. It shows horizontal integration by owning multiple digital platforms and vertical integration through controlling search, ads and distribution. All of the devices and companies link up with google such as using there apps

Additionally, Disney is a media conglomerate which owns marvel, pixar, ABC and disney+. It uses horizontal integration by buying other studios, and vertical integration by producing films and distributing them on disney+. Disney shows synergy through linked films, merchandise and theme parks, and is diversified into cruises, parks and streaming.

National Amusements owns paramount, CBS, nickelodeon, MTV and Paramount+. It uses horizontal integration through many TV networks and vertical integration by producing and streaming its own content. 

Meta owns facebook, instagram, whatsapp and meta quest. It shows horizontal integration by controlling multiple social apps and vertical integration by creating its own software, hardware and ad systems. It is diversified into VR, messaging and AI, and uses synergy by linking Instagram and Facebook features and whatsapp.

News Corp owns The Times and The Sun, It shows horizontal integration by owning many newspapers and vertical integration through producing and distributing news across print and online. It is diversified into news, books and digital media, with synergy across its outlets.

Warner Bros. Discovery owns HBO, CNN, DC, Cartoon Network and Warner Bros. Studios. It uses horizontal integration across many TV channels and vertical integration through HBO Max. It is diversified into news, films and documentaries and uses synergy across DC films, shows and games.

Finally, Comcast owns NBC, Universal, Sky, DreamWorks and Peacock. It uses horizontal integration through multiple studios and vertical integration by producing content and showing it on Sky and Peacock. It is diversified into broadband, TV, film and theme parks, with synergy across Universal films and attractions.

2) Some people argue that governments should prevent media conglomerates from becoming too dominant because too much power in the hands of a few companies can limit competition and reduce audience choice. When conglomerates like Disney and Meta own large numbers of companies, they can control what content is produced, how it is distributed, and what viewpoints are promoted. This may lead to less diversity in media, fewer independent companies surviving, and potentially biased news or entertainment. 

However, some believe that governments should not interfere too much because large media conglomerates can bring many benefits. As it is not their role with movies and media along with big companies often have the resources to produce high quality content, invest in new technology, and distribute media globally. 

Overall, while conglomerates can produce impressive global media products, there is a strong argument that some regulation is necessary to stop any single company gaining too much influence over what audiences see, think and consume.

Media Magazine reading and questions

1) Media companies go through three key stages: production, promotion and distribution. Production is when the media product is created, such as writing, filming, recording or editing. Promotion involves advertising the product to audiences through trailers, posters, interviews or social media to build interest. Finally, distribution is the process of delivering the finished product to the audience, whether that’s through cinemas, streaming services, TV channels, websites or physical copies. These stages work together to ensure a product is made, marketed and successfully reaches viewers.

2) Some companies rely on advertising, meaning their content is free but funded by adverts such as from YouTube or commercial TV. Most people in the UK use subscription funding, where audiences pay monthly fees for access, such as Netflix or Disney+ instead of paying for a TV licence. There is also public service funding, where organisations like the BBC are funded through a licence fee or government support. 

3)  One example of this is the BBC which is a public service broadcaster funded by the licence fee, which means it must serve the public interest rather than chase profit. Its output is expected to be educational, informative and diverse, offering content that commercial broadcasters may ignore.

A second example is ITV as a commercial broadcaster that relies on advertising revenue. Because of this, it focuses on producing popular, mainstream programmes that attract large audiences and generate income. Its content is shaped heavily by commercial pressures and audience ratings. 

Finally, MailOnline depends on digital advertising and therefore uses attention-grabbing, click-driven content to maximise page views. Its business model encourages sensational headlines, rapid updates and stories designed to keep audiences scrolling.

4) Media companies have had to adopt new business models in response to changes in technology and distribution. Many have shifted to subscription based services, such as Netflix and Disney+, charging users directly for access to content. Others use freemium models, offering free, ad supported content while charging for premium features, like YouTube Premium. Companies also rely on digital and on demand distribution, licensing content online or through streaming platforms, while social media platforms like Meta and TikTok generate revenue through targeted advertising. Additionally, some adopt direct-to-consumer models or crowdfunding approaches, allowing audiences to pay for content directly, and many combine multiple strategies to maximize revenue.

6) Yes, I agree that traditional media institutions are struggling to survive, though the picture is nuanced. The rise of digital platforms and streaming services has disrupted how audiences consume news, TV, and music, leading to declining print sales and  TV. Advertising revenue, once a mainstay for newspapers and broadcast networks, has shifted to online giants like Google and Meta, leaving traditional outlets financially strained. However, some institutions are adapting by launching digital subscriptions, apps, and on demand content, showing that while survival is challenging, innovation can help sustain them. So, traditional media is under pressure, but not entirely obsolete.

7) Diversification and vertical integration help media companies survive and thrive by spreading risk and controlling more of the value chain. Diversification allows companies to offer multiple types of content or revenue streams such as  films, streaming and merch so if one area declines, others can support the business. Vertical integration involves owning multiple stages of production and distribution, giving companies more control over costs, profits, and audience access. 

8) In the future, I think the relationship between audiences and institutions will become more interactive, but major media conglomerates will still hold significant power. On one hand, audiences are gaining influence through social media, user generated content, streaming algorithms, and crowdfunding, which allow them to demand more personalized content and even shape what gets produced. Whereas on the other hand, global media giants like Disney, Netflix, and Meta control resources, distribution platforms, and intellectual property, giving them the ability to set trends and dominate markets. So, while audiences will have more voice and choice, institutions are likely to maintain overall control, using technology to adapt to audience preferences rather than being fully driven by them.