Showtime Chief Reflects on Half-Decade

Washington— Five years ago, Showtime chief executive Matt Blank addressed the Washington Metropolitan Cable Club at a time when industry pundits were predicting doom for premium services.

Blank — who recently celebrated 25 years in the industry — recalled that scenario with a chuckle last week, when he again delivered a speech to the trade group.

"I constantly hear those people who say pay TV has only five years left," Blank said at a luncheon meeting last Tuesday. "We were to be wiped out by the next new thing."

Once considered a marginal player in the premium-channel category, Showtime in particular has enjoyed remarkable growth over the last half-decade, Blank said. It's nearly doubled its subscriber base and has gained a reputation as a cutting-edge programmer, he said.

The past six years were a time of "total overhaul for our network," according to Blank. During that period, the Viacom Inc.-owned service made its way into the digital age and sought out programs that other networks refused to run.

One is Queer as Folk, a U.S. adaptation of a controversial British series depicting the lives of gay men and women, including sex.

"We are the home for wayward movies," Blank said. "Queer as Folk is not for everyone. If it was, it would be on CBS."

The hotly debated program has helped Showtime draw new subscribers, particularly in the "under-35" age bracket — once considered the smallest group of cable subscribers, according to Blank.

"We were rewarded commercially for these efforts," said Blank, who added that the industry should not "squander opportunities to be different or take chances."

This year, Showtime plans to spend $400 million to produce 22 original movies, including eight "all-ages" movies and four miniseries. Seven of the 10 top-grossing films have now made their way to the network, Blank added.

To find ample time for these programs, Showtime is utilizing digital technology to create what Blank calls "placeholders," or targeted versions of the primary network.

Blank said that Showtime has as many as 30 such multiplex offerings, including Showtime Extreme, Action, Beyond, Family, Women and Next, a channel geared to the 18-to-35 year-old crowd.

"Digital cable is a compelling product," he said. "By every measure, DBS [direct-broadcast satellite] has been a grand slam for pay TV, and especially for Showtime."

In the future, Blank predicts pay TV will continue to succeed as it completes the analog-to-digital transition.

"We feel pretty confident … and secure of our prosperity in the future," he said. "We will be here regardless of what the next big thing is."

States News Service