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You have been as I mentioned intimately involved in the creation of someone who's going to be duking it out. It's a big week . Bob Iger is on the cover of Bloomberg BusinessWeek this week as many of you have seen. How do you look at it as an investor this moment where we are because it feels big in the media landscape . Well a couple of things. First what's in it is a huge week for streaming at least in the public eye. And for the participants they actually shouldn't be learning about what they're reading . They should be well down the road with defining a strategy and executing two things. I'd say first perspective is always helpful which is hard to do in the middle of such an exciting week in such a hot topic. And everybody cares about media. I think if we were talking about companies that make these couches we're sitting on we wouldn't be talking about it . Media is fascinating. We consume it. It entertains us. It informs us there's social aspect . And so it has high impact way above the dollars which are very which are substantial . But reach us all. The first observation this is the perspective one that I've been doing this for 30 years but I've been studying it for 50 years. Every decade has something that in the moment you think is mind blowing and actually determines the fortunes of companies and the experience of viewers. It's typically occasioned by technology or a change regulation and importantly consumer behavior . And we're seeing two of those play out right now which are really about consumer behavior. And I would argue even though it's a fascination and technology because yes 5G is going to matter hugely but even without that we are we're headed down a path where linear programming is in decline. That's a consumer behavior issue and that we haven't seen that before. And then the enabling networks to get in high def whatever you want when you want . And so how significant. If you look across these inflection points this one at . Especially from an investors perspective there are many investors in room. How do you look at this moment. So what is about to unfold will determine the fate of what we used to call franchise legacy media companies and new entrants . I don't think there will be enormous winners. Whenever you see that there are losers we don't. I heard that quote before and implying that it's hard to know. Actually I think we know a lot about how this will unfold. It's not dispositive but you have companies you can think of it in two ways those that have legacy media businesses every strategy that I've seen as a consequence of where they're coming from and those legacy businesses and strategies actually matter. And you'll see very different models. We'll get into this in a few minutes and then you see a different dynamic which we haven't seen before which ISE which is significant. There are some competitors that actually don't need to make money . And that's really significant if you're in business. If you're an investor and you're competing with someone it doesn't need to make a profit. By the way I'm thinking of YouTube Google Amazon for Amazon. And these are not randomly picking companies . These are all in the game . That added dimension I understood would say that don't need to make money off of this on streaming. And we're talking about streaming which is all the consumer cares which is going to the landscape. Ten years sounds go look very different. But Amazon is a good example for Amazon. Whatever they do in video could be considered a marketing expense for prime a way to get more prime customers stickier happier sassa end. And if they spend 3 5 billion dollars on it it is worth it to them. In contrast to Netflix. No. Netflix ultimately has to be profitable. They need free cash flow. By the way I think next Netflix would talk about the streaming wars . I think they they've won. It's a little bit like Larry Bird and some 3 point contest in the locker room before the game. He said so which one of you guys is going to come in second. Wow . So you think Netflix hasn't that much of a lead at this point . I do that mostly because for two reasons. One is they you know 60 million subs in the US. They're good. They're going to be at 200 globally which means they can pay more and are 15 billion. It was probably on a slide a few minutes ago and they have learned a lot and execution matters in any business. This is no different. So they have a huge advantage . I cannot imagine them being one of the winners of . You can't imagine them not not not not being they will they will be there. But at some point they will be judged not on subscriber growth and engagement which read talks a lot about engagement right now. And that makes sense. But ultimately it's like falling to Earth . You know it's gravity. You're judged by free cash flow and earnings ultimately . And that'll be an interesting pivot . Disney should be a winner. They have obviously enormous brand valuable brands. They have inspired leadership. They are leaning all in on on on direct to consumer . They've got three strategies sports through ESPN Hulu which you know we were founding investors and now Disney Plus. So the combination of those powerful brands strong leadership great DNA and in media I would put money on them too. By the way the unknown will be execution right. It will matter. It's a different business . But they'll be a force so they do need to make money. Did they do. They absolutely do. And and all these strategies and the judgment they're on well are a little different because in their case yes they need to make money and they have something that Netflix doesn't have which is could be considered a disadvantage . I mentioned all the dis the advantages which is that they will be losing money in the existing model. Right . So they not only have to make money in the new model which is there is focus on that. They've got to do better than Netflix to rise there already. To overcome. Yes. Because it'll be the net that matters. So I want to ask you shifting gears a little bit to an area that Gaeta didn't talk about which is the live side of this. You know sports obviously enter into a you know we're talking a little bit about backstage. My family at least hasn't gone full streaming because of sports in a lot of ways . You have invested pretty heavily in live experiences and specifically in sports. So what is that investment case look like in this broader context. So it's a great question because as I . Sit here . There are three wild cards in streaming and one of them has to do with sports. The wild card are . Sports rights and specifically the NFL which I don't hear much in the conversation. If you're trying to figure out where streaming is going and we'll talk we we're engaged in lots of live events and investments but in under the rubric of television and whatever device actually and streaming. Key point to watch out for is what happens to the NFL rights . The the model that we have all of us have grown up with well at least over the last 20 years has been . Extended supported by sports right and ESPN is top of the list and major networks have heavily invested. And just to give you a sense in television 70 percent of the top hundred shows are NFL games. Think about that in the first . The first event that will come up . And it won't be dispositive but will be significant. Well be direct TV I believe. The league has the right to opt out of that at the end of this football season. So next year early next year maybe direct keeps it. I'm not privy to what they'll do but where it goes will be very interesting if it stays with direct or it moves too especially if it moves not to one of the big networks who's already got a contract. But a tech company . And even more important will be 21 22 when NBC CBS and ESPN contracts are up. And maybe then by then ABC is back in the game literally . What happens to those now. Historically the NFL has been smartly experimenting with different platforms non-traditional . And the little Amazon right. Yes Amazon and before that Twitter . And I'm not expecting them to wholesale move away from the big broadcasters. But between where we are now and some point down the road yeah all of that will happen. So that's a tipping point for it. And that's all about lives . Right. All about life. By the way the other two would be consumer behavior which is hard to predict . And . We'll probably get back to that button to keep going with your live question. Yeah . So we music's a good example. We invested in Warner Music years ago as a successful investment. But we could see in the catbird seat how much of the revenue of the music industry was leaving the labels. Thank you Apple. The other way which really forced that issue. But it was probably inevitable anyway. And it moved to touring . And so we did as investors we said we have to focus not on they . The equivalent for music which is still very important . Consumption is high but the dollars are flowing in different streams and we move to live concerts. So we have the fastest growing live concert company in Europe or we're doing a roll up under the superstructure name. We've invested in Europe and in the US with all the engineering design infrastructure that is behind the scenes for music festivals. A company called Tate which has tapped right into that the most important part of music consumption right now which is touring . So those are examples. We're also doing it actually right here in New York and in Europe with Ambassador Theatre Group which is live theater. Right. The best IP because it's not ours. We just produce it. Yeah. And provide all that technical and and physical support. You need you need real theaters. And and it's done incredibly well. And it's pretty easy to connect those investments in live theater and in music to your success with Iron Man as a for instance in terms of live experience in terms of sort of almost the opposite to some extent of the streaming war as is people actually. God forbid getting out and doing stuff instead of you know Netflix and chill. Yeah. No way. Think if there is said funny where we live in it's it's one of extremes. Then we we see that in politics. Yes . Especially this season. It'll be even more so a year from now . But we say you're either on the couch or you're running a try out. You're competing in a triathlon. Right. How is that possible. They're good businesses. Yes. Yeah. We try and satisfy both need . Iron Man was interesting. We were scouring the landscape for underappreciated sport and we found Iron Man first. We were shocked that someone actually owned it. Yeah. And we bought it and transformed the business. They owned very few less than 10 races and took that to 100 around the world as opposed to licensing it out improved it. The competitors experience the operations. Now if you do something a hundred times a year you should be much better than the group that doesn't want to. All right. So before we run out of time and you alluded to this I want to jump on it which is the next year is going to be especially interesting for people in your business in the private equity business. It is squarely in the political rhetoric thanks to largely to Elizabeth Warren . What does private equity need to do. What's the case the private equity needs to make to at least fend off some of this rhetoric . Well we've always had a problem between the public understanding of private equity and probably thrown off by its very name because we're far from public. I mean from private what we're actually doing that's what Elizabeth Warren and others have been talking about is far from what we actually do which is good investors private equity investors are keenly focused on helping companies grow. It's the only way to do well. And what is really largely especially in developed markets a low growth world for Providence . We have added tens of thousands of jobs not just from the beginning but even in the last three years. Top golf which is both about what we're talking about live entertainment. It's also happens to be a sport . We've added I think it's 11000 jobs in roughly the last three years. That's a great story. Doesn't sound like the version that some political leaders attribute to us. It's actually just the opposite. We spend enormous amounts of money and time helping CEOs and management teams grow their business . It happens to be good for society . It's also good for our investors. And by the way who are our investors. Who are the beneficiaries of our success. The largest group of beneficiaries in private equity would be public pension funds. Those are teachers and public employees now for political reasons. And it's understandable they cannot or aren't willing to get up and say hey this is the most important asset class to us. In fact without this we can't even meet . Obligations . But that's OK. We have and we need to do a much better job of this. We have armies of employees in leadership that are actually benefiting from good practices in our space not just media and telecom and education where Providence Equity Focus . They say the wrong word. Yes . Elizabeth Warren calling. Yeah . Hi . Well I just like the chance to talk to her about this so I'm glad she's calling. Yeah I know. We're. I'm proud of what we do. We you know when we started Hulu people thought that was nuts. No one says that today. Right. And I could go on and on . We built T-Mobile in the U.S. It was called a voice stream . I'm proud of that work. Right . So 45 seconds left. What's your biggest challenge for 2020 for you as the CEO of Providence. 30TH. You're entering your third last year. Gosh we have to always look around the bend not focus on where we are now but where we're going and and try and in our investments are to basically answer the question of where will there be unmet demand for service in products and be there and help those companies in our portfolio. There are roughly 40. Help them grow. That's what we do every day .