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TERRY SEMEL WANTED THE DEAL BADLY. FOR months the Yahoo! CEO had watched as the head of his entertainment division, Jim Moloshok, met repeatedly with Mark Burnett, producer of the Survivor series, trying to land the exclusive Internet rights to Burnett's other hit show. Semel knew Burnett was talking to competitors AOL and MSN too. So early last fall the former co-chairman of Warner Bros. made a Hollywood move: he combined a personal plea with a hard sell. When he walked into Burnett's office, Semel didn't waste time with niceties. Burnett recalls, "He said, 'We want...
Within two hours, they had a deal. Yahoo! would push the show--the second season of The Apprentice--on its home page, show outtakes (repeating "You're fired!" at every opportunity) and even partner to sell ice cream branded to the show. "It was a no-brainer," says Semel. "We will never make shows like The Apprentice, they will never have a [TV] audience as big as Yahoo! Entertainment. It shows the power of combining the two platforms." Unlike many new media promises in recent years, that one worked: Semel got more eyeballs, Burnett got more viewers, and within...
...Yahoo!'s Apprentice victory broke new ground in the awkward relationship between Silicon Valley and Hollywood. Internet companies have long wanted to put entertainment content online, but fear of piracy, illegal downloading and disruption of their revenue model have so far made the studios hold on tightly to their product. Semel, who was brought in to run Yahoo! after 30 years in Hollywood, is determined to change that. In November he hired Lloyd Braun, the former chairman of ABC Entertainment who greenlighted shows like Desperate Housewives and Lost and earlier helped develop The Sopranos for HBO, to head...
...both the music industry and Yahoo!, downloading of singles is a small business. But if you offer somebody a million songs for a set fee every month, that's a much more economical way for consumers to have access and a more reliable flow of revenues to the industry...
...just not interested. I have a great opportunity at Yahoo...