Web Will Turn to Premium Content in 2012, Say Miller, Levinsohn

The digital battle in 2012 will be waged over premium content, said News Corp. Chief Digital Officer Jonathan Miller and Yahoo! executive VP Ross Levinsohn during the opening panel at NATPE, taking place this week at South Beach's Fontainebleau Resort.

"We've narrowed our focus on video to premium," Levinsohn told moderator Michael Nathanson, managing director of equity research for U.S. media at Nomura Securities. "The notion of scarcity no longer exists. What there is scarcity of is good video. I like watching a cat chase a laser pointer on a skateboard like everyone else but it's impossible to monetize. If I were a big premium brand advertiser, I'm not sure I would want my name next to that kind of content. As a result, we've narrowed our focus around premium video." "The premium space is up for grabs, it's a battleground, and it's a battle worth fighting. [Google-owned] YouTube is getting very much ‘channelized.' I see ‘channelization' of the Web being a big event for 2012," said Miller, repeating an idea he also posited at last week's Consumer Electronics Show in Las Vegas. By ‘channelization' Miller means watching the Web like watching TV, with online channels populated by programs and supported by advertising.