Tuesday, March 29, 2011

Tim Goodman on the Mad Men Delay

Interesting take from Tim Goodman on the Mad Men negotiations that are delaying this year's episodes. I've never thought in terms of Enterprise Value for a TV Network. It's a common way for me to think about a startup. What technology have they built that is lasting? How powerful is the brand and how strong is the user base? Goodman analyzes AMC's Enterprise Value, with & without Mad Men. Interesting stuff.

But whatever the price tag Weiner’s asking for, whatever the changes he’s being asked to make — more commercial time or reduction of characters allegedly among them — it’s all beside the point now. AMC and Lionsgate balked two years ago at Weiner’s salary demands and here we are again. Apparently there’s been too much distance — and too much success —- at AMC to remember where they were before making Mad Men.

They were nowhere.

AMC was a second rate movie channel (and that’s being generous) until Mad Men put it on the map. No Mad Men, then probably no Breaking Bad (which itself was partly a free gift from FX). So any discussion of Mad Men’s worth goes far, far beyond the value of the actual show as it relates to the money it brings in.