Microsoft may exit MSNBC deal with NBC

Microsoft Corp.’s future as an owner of the MSNBC cable channel was called into question yesterday after a newspaper reported that NBC Universal might take over the Redmond company’s interest in their joint television venture.

The New York Post, citing unnamed sources, said the companies are in “advanced discussions” about a proposed deal that would give NBC full control of the cable news channel, ending Microsoft’s involvement as an owner. Both companies declined to comment.

Regardless of whether such talks are actually taking place, some financial analysts said it would make sense for Microsoft to end its role in the cable news channel, as part of a broader shift away from the business of content generation. In December, for example, Microsoft sold its Slate online magazine to The Washington Post Co.

“They don’t want to be in content,” said Charles Di Bona, an analyst with Sanford C. Bernstein & Co. He called Microsoft’s continued involvement in the content business “a hangover” from the technology boom of the 1990s. The company is more involved now in providing technology for other companies to deliver and protect content.

I never fully understood the rationale for MSNBC when NBC already had CNBC. MSNBC was flaky too. I recall when I worked on the MSNBC show the Site, how it was dropped like a hot potato once Pricess Diana died and they could cover that 24/7. As for Microsoft’s involvement I could never see any. So what was the point? I think this was the last hurrah for the once popular Microsoft notion that it could become a king of content. That ended when they discovered that it was hard work.



  1. Ima Fish says:

    I remember all those rumors about either Microsoft or Gates wanting to buy a network. MSNBC was supposed to be a test to see if it was worth it. It appears it wasn’t.

    The whole thing was ironic, anyway, because Gates allegedly HATES television.

  2. g quaglia says:

    That’s M$ problem. They try to be the king of everything and fail at most. M$ should focus their attention on their hole ridden OS and further delayed Foghorn product instead of wasting time on this nonesence.

  3. Ima Fish says:

    I totally agree quaglia. We can only imagine how fantastic Windows would be IF Microsoft had not been side-tracked on SO many money losing and resource draining endeavors, e.g., Xbox, WebTV, WinCE, etc.

    But then again, back when Microsoft was totally devoted on creating a GUI, it came up with Windows 1.0. And that was crap. As far as I’m concerned Microsoft didn’t make a decent OS until NT 4.

    Maybe Microsoft is doom always to be almost good enough, not matter how hard or how little it tries.

  4. yorkpaddy says:

    Was Soledad O’Brien on “The Site”. I think I remeber that show. I used to watch it around 6 AM, before I went to school. I was in either 8th grade or a Freshmen, so that would be 95-96 I think. Soledad O’Brien has done well for herself, I see her on the NBC network frequently.

  5. Jim says:

    My neighbor was having problems getting his software loaded for a new HP printer. I helped him out. He’s not a tech guy and was running an older version of Internet Explorer and the HP software wouldn’t load until we updated to IE 6. I could picture new TV’s that won’t operate without the newest MS software. Maybe MS wants to be the content channel and new digital tuner monopoly. They have managed to render PC hardware useless with driver technologies that without Windows applications won’t work. Linux becomes a pain, because of drivers or the lack of them. The guy was ready to take the printer back to the store, because the software wouldn’t load. This is the future of TV hardware running with software. Without MS software, your new TV won’t work because of the V chip or some other copy, content or copyright protection scheme. MSNBC was just a foot in the door for MS to play around with TV. If the whole thing dies, you still have CBS, CNN, CNBC, NBC, FOX, PBS, ABC and a million local news sources plus radio and the web. I guess the idea is having Microsoft provide the drivers for TV next and this one link will make every broadcast MS compatible. Your TV won’t work right without the V chip and the latest internet browser, like the HP printer that requires the latest invention from MS. A monopoly on the OS is one thing, a monopoly on TV is the next big thing. Maybe they’ll replace all the reporters with programmers next and we’ll get DRM news direct from Redmond. I’ll stick with rabbit ears and no V chip TV and get my news from the web. MS can’t control the web news content with a browser or software. They can try. I don’t think it will work.

  6. site admin says:

    Yes Soledad was the anchor and was being groomed to be a big shot on the network. She is an extremely nice person which may not actually help her career.

  7. Greg K. says:

    Yeah, I too always wondered what Microsoft’s angle was. MS seemed to have absolutely nothing to do with the network.

    I think it’s lame Soledad abandoned her tech journalist roots. Not that she was much good (she did seem nice though), just makes her seem like she was a big phony.


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