Discovery Communications

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Discovery Communications,Inc.
Type Public
Traded as NASDAQDISCA, DISCB, and DISCK
NASDAQ-100 Components (DISCA and DISCK)
S&P 500 Components (DISCA and DISCK)
Industry Mass media
Predecessors Discovery Holding Company
Founded 1985 as The Discovery Channel
1994 as Discovery Communications
Founders John S. Hendricks
Headquarters Silver Spring, Maryland, U.S.
Area served Worldwide
Key people Robert Miron
(Chairman)
David M. Zaslav
(President and CEO)
Products Broadcasting, cable television, radio and Internet
Revenue
  • Increase US$ 1.47 billion (2013) [1]
  • Increase US$ 4,487.0 million (2012) [1]
Operating income
  • Increase US$ 1,998.0 million (2013) [1]
  • Increase US$ 1,855.0 million (2012) [1]
Net income
  • Increase US$ 1,075.0 million (2013) [1]
  • Decrease US$ 943.0 million (2012) [1]
Total assets
  • Increase US$ 14,979.0 million (2013) [2]
  • Increase US$ 12,930.0 million (2012) [1]
Total equity
  • Decrease US$ 6,197.0 million (2013) [2]
  • Decrease US$ 6,293.0 million (2012) [2]
Employees 5,486 (2014)
Divisions List of Divisions
Website corporate.discovery.com

Discovery Communications, Inc. is an American global mass media and entertainment company based in Silver Spring, Maryland. The company started as a single channel in 1985, The Discovery Channel. Today, Discovery Communications (Nasdaq: DISCA, DISCB, DISCK) is the world’s #1 pay-TV programmer reaching nearly 3 billion cumulative subscribers in more than 220 countries and territories. Discovery is dedicated to satisfying curiosity, engaging and entertaining viewers with high-quality content on worldwide television networks, led by Discovery Channel, TLC, Animal Planet, Investigation Discovery and Science, as well as U.S. joint venture network OWN: Oprah Winfrey Network. Discovery also controls Eurosport International, a premier sports entertainment group, including six pay-TV network brands across Europe and Asia. Upon closing the deal, Discovery said the deal Erosport’s brands and businesses would benefit from Discovery’s operational acumen, local expertise and global Platforms while Eurosport would give Discovery additional reach and scale combined with increased investment in “must-have” content would create new value for advertisers, affiliates and audiences across Europe and Asia.[3]

Discovery also is a leading provider of educational products and services to schools, including an award-winning series of K-12 digital textbooks, through Discovery Education, and a digital leader with a diversified online portfolio, including Discovery Digital Networks.[4]

DCI both produces original television programming and acquires content from producers worldwide. This non-fiction and fiction programming is offered through DCI's 53 network entertainment brands, including Discovery Channel, American Heroes Channel, TLC, Animal Planet, Discovery Fit & Health and a family of digital channels.

Despite being publicly traded on the NASDAQ stock exchange, the Newhouse family exercise the largest stake in the company, 31%, through privately held Advance Publications.[5]

Discovery Digital Network shows are offered through multiple services, including Revision3.com, Animalist.com, TestTube.com, PhillyD.tv, Sourcefed.com, YouTube, iTunes, and more than 40 other distribution partners and devices.[6]

Discovery launched Discovery Channel Online, the network's website, on July 4, 1995.[7] Discovery has many of their programs streaming on Netflix, such as MythBusters, How It's Made, and River Monsters.

In April 2014, Discovery announced a partnership with Brian Grazer and Ron Howard to launch digital studio New Form.[8]

In May 2014, Discovery and Liberty Global announced an agreement to form a 50:50 joint venture to acquire All3Media, a leading international producer and distributor of award-winning TV programming. “This partnership is yet another way for us to work with the best storytellers in the business,” said Discovery CEO David Zaslav.[9]

Corporate governance[edit]

Officers[edit]

NBCUniversal executive David Zaslav was named president and CEO on November 16, 2006.[10]

In addition to Zaslav, current executives include:[11]

  • Joe Abruzzese, President of Advertising Sales
  • John Honeycutt, Chief Technology Officer
  • Adria Alpert Romm, Chief Human Resources & Global Diversity Officer
  • Bruce Campbell, Chief Development & Digital Officer and General Counsel
  • Bill Goodwyn, President & CEO Discovery Education and Strategic Distribution
  • Jean-Briac (JB) Perrette, President, Discovery Networks International
  • David Leavy, Chief Communications Officer, Senior Executive Vice President, Corporate Marketing & Affairs
  • Andrew Warren, Senior Executive Vice President, Chief Financial Officer

Ownership[edit]

Prior to September 18, 2008, DCI's ownership consisted of three shareholders:

On December 13, 2007, Discovery Holding Company announced a restructuring plan. Under the plan, the Discovery Holding's Ascent Media business would be spun off, and the remaining businesses, Discovery Communications, LLC and Advance/Newhouse Communications, would be combined into a new holding company.[12] The reorganization was completed on September 17, 2008. The new Discovery Communications, Inc. is now a fully public company and trades on the NASDAQ stock market under the symbols NASDAQDISCA, NASDAQDISCB, and NASDAQDISCK. SEC filings are submitted by the Discovery Holding Company.[13]

In May 2014, the company announced a special dividend of shares of the Company's Series C common stock payable to holders of record of the Company's Series A common stock, Series B common stock and Series C common stock as of the close of business on July 28, 2014. As a result of the dividend, each holder of a share of the Company's Series A common stock, Series B common stock or Series C common stock will receive one additional share of the Company's Series C common stock on or about August 6, 2014.[14]

Divisions[edit]

DCI operates its businesses in the following groups: Discovery Networks U.S., Discovery Networks International, Discovery Studios Group, Discovery Digital Media, and Discovery Education.[15]

Discovery Networks U.S.[edit]

The company started out with just a single channel, Discovery Channel, launched in 1985. In 1991, they acquired their rival The Learning Channel.

In the mid-90s, Discovery Communications started developing several new networks. The first of these to launch was Animal Planet, which was launched in cooperation with the BBC in 1996. In October 1996, four digital networks were launched to take advantage of the then-new digital cable space; Discovery Kids, Discovery Travel & Living Network, Discovery Civilization Network and Discovery Science Network.[16] This was followed by the 1998 launches of Discovery Wings Channel and Discovery Health Channel.

They also bought the Travel Channel in 1997, CBS Eye on People (became Discovery People) in 1998 and The Health Network (became FitTV) in 2001.

Discovery Networks were early to go into high-definition television with the launch of Discovery HD Theater in 2002. With the launch of high-definition simulcasts of Discovery Channel, TLC, Animal Planet and Science Channel in 2007, the original HD channel changed its name to HD Theater.

Starting in the middle of the 2000s, Discovery have been reviewing and overhauling most of their "digital" networks.[17] The networks have evolved from being offshoots of the Discovery Channel, into separate entities with their own identities. The "Discovery" moniker has gradually been dropped from channel names. Some networks had kept the globe in their logo to signal their affiliation to Discovery Networks, but this practice has also been gradually discontinued.

Discovery Networks U.S. operates 13 channels.[18] According to SEC filings, the division "also operates web sites related to its channel businesses and various other new media businesses, including a video-on-demand offering distributed by various cable operators."

The division's channels include:[19]

Channel Launch Date US Households as of 2013[19] HD Simulcast Notes
Discovery Channel 1985 97 million Yes Flagship network
TLC 1980 96 million Yes Acquired by Discovery Communications in May 1991, previously known as The Learning Channel.
Animal Planet 1996 95 million Yes Launched mainly using satellite space acquired from the discontinuation of the WWOR EMI Service
Investigation Discovery 1996 85 million Yes
Oprah Winfrey Network 2011 82 million Yes Joint venture ownership with Harpo Productions
Science 1996 76 million Yes Formerly Discovery Science
Hub Network 2010 70 million Yes Formerly Discovery Kids and The Hub
Joint venture with Hasbro
(Renamed Discovery Family Channel effective October 13, 2014)[20]
American Heroes Channel 1999 61 million Yes Formerly Discovery Wings, Military Channel
Destination America 1996 57 million Yes Formerly Discovery Home and Leisure (1998-2004), Discovery Home (2004–2008), and Planet Green (2008–2012)
Discovery Fit & Health 2011 46 million No Merger of Discovery Health Channel and FitTV
(Renamed Discovery Life effective January 15, 2015)
Velocity 2002 58 million HD only Formerly Discovery HD Theater and HD Theater
Discovery en Español 1998 7 million No Spanish-language version of the Discovery Channel
Discovery Familia 2007 6 million[21] No
Discovery Digital Networks 2005 (Acquired in 2012) 110+ original online web series, 600 hours of original online video N/A Internet Television Network

Discovery Networks International[edit]

Discovery Networks International, or Discovery international networks, offers "a portfolio of channels, led by Discovery Channel and Animal Planet, that are distributed in virtually every pay-television market in the world." The division offers feeds in 45 languages with "channel feeds customized according to language needs and advertising sales opportunities."[22]

DCI owns most channels offered by Discovery Networks International, with the exception of:

  • several channels in Japan and Canada, which "operate as joint ventures with strategically important local partners."

"As with the U.S. networks division, the international networks operate web sites and other new media businesses."

On January 10, 2006, the Discovery Networks International announced a joint-venture with Spiegel TV and DCTF to provide global free-to-air television to more than 20 million households in Germany and neighboring countries.[23]

Discovery International Channels include:[24]

The division's channels include:[19]

Channel Launch Date International Networks Households[21] Notes
Discovery Channel 1989 348 million
Animal Planet 1997 304 million
TLC 262 million
Eurosport Acquired in 2014 128 million
Switchover Media Acquired in 2013[28] 104 million
Discovery Kids 1996 83 million
DMAX 2006 79 million Launch: 2006 Germany, 2008 UK & Ireland, 2011 Italy
Investigation Discovery 79 million
Discovery Science 1997 78 million
Discovery Home & Health 2000 65 million
Discovery World 2008 18 million
TLC UK/Ireland 1994 15 million
Discovery Turbo 2005 59 million
Discovery Turbo Xtra 2013 Launch: 2013 Poland
Discovery History 1999 11 million
Discovery Shed 2009 12 million
Quest 2009 26 million
Discovery Civilization 1996 5 million
Discovery Historia 2006 2 million

Discovery Studios Group[edit]

Discovery Studios Group is a full service production, distribution and merchandising group within Discovery Communications.[15] Strategically focused and globally based, Discovery Studios Group brings the content of our clients and partners to every platform and consumer worldwide.

Discovery Studios Group consists of:

  • Discovery Studios
  • Discovery Consumer Products
  • Discovery Program Sales
  • Discovery Private Networks
  • Discovery Music Source
  • Discovery Access
  • betty
  • Raw

Discovery Digital Media[edit]

Discovery Digital Media[29] extends Discovery Communications’ leadership in nonfiction entertainment across platforms and screens of all sizes with a focus on audience engagement through compelling compelling original content and innovative multiplatform experiences.

Discovery's portfolio of web-native networks, Discovery Digital Networks, includes Revision3, Animalist, TestTube, SourceFed and The DeFranco Network.

Discovery Education[edit]

Discovery Education is a division which offers "streaming educational video material into schools via the internet." Discovery Education operates unitedstreaming, a "leading educational broadband streaming service in the United States." In April 2006, Discovery Education acquired a premier assessment company, ThinkLink Learning, which is based in Nashville, Tennessee. Now called Discovery Education Assessment, the program is designed to help students improve on state standardized tests[citation needed].

Discovery Education also sells DVD, VHS, CD-ROM, and Multimedia kits with the same content. Other products include COSMEO, an online homework subscription help site, Discovery Health Connection, Discovery Science Connection and they recently purchased other video streaming companies. They have two free services. One is their website, Discovery School and the other is a teacher community, the Discovery Educator Network, commonly referred to as the DEN[citation needed].

History[edit]

On March 17, 2009, Discovery revealed that it owned the rights to several patents related to e-books, in announcing a patent infringement lawsuit against Amazon.com, maker of the Kindle e-book reading device. The patents were originally developed by the company's founder John Hendricks; the specific patent in question in the suit was applied for in 1999 but issued in late 2007.[30][31]

On April 30, 2009, it was announced that Discovery would be forming a joint-venture with Hasbro to re-launch Discovery Kids as a new children's channel known as The Hub.[32][33]

On November 2, 2009, Discovery joined Jeff Arnold (founder of WebMD), Dr. Mehmet Oz, Harpo Productions, Sony Pictures Television and HSW International as co-founder of Sharecare, Inc., a Q&A platform for users to ask health- and wellness-related questions and receive answers from recognized experts.[34]

Discovery launched a 3DTV channel in conjunction with Sony and IMAX in early 2011, called 3net.[35]

On December 21, 2012, Discovery announced it had took a 20% minority interest share with TF1 Group in sports broadcaster Eurosport, valued at €170 million (US$221.6 million).[36] On January 21, 2014, Discovery became the majority shareholder in Eurosport, taking a 51% share of the company.[37]

On October 13, 2014, all the Hasbro properties will be distributed by Discovery Communications and Hasbro Studios after Hub Network would re-launch as Discovery Family Channel on the same day.

2010 hostage crisis[edit]

On September 1, 2010, the DCI headquarters was the site of a hostage taking, a lone gunman identified as James J. Lee, armed with two starter pistols[38] and an explosive device, took three people hostage inside of the Discovery Communications headquarters in Silver Spring, Maryland, prompting an evacuation of the building.

The incident began at 1:00 p.m. ET, when 43-year-old James Jay Lee entered the building with two starter pistols and fired a single round at the ceiling of the lobby.[39][40] The Montgomery County Police Department confirmed that Lee had an explosive device and was holding three people[41] hostage in the lobby.[39][42] The building was placed on lockdown and most of the 1,500 employees were evacuated.[42] Children from a day care center inside were safely removed to a nearby McDonald's restaurant on Colesville Rd.[39] The police began to communicate with Lee soon after the incident began.[39] The Montgomery County police chief, J. Thomas Manger, said that the police were "trying to get him to release the hostages and surrender peacefully".[42] Lee was shot dead by police at 4:48 p.m. ET after the hostages made a run for freedom.[43] The remaining hostages were immediately freed.[44]

Lee's motive was believed to have been grounded in environmental activism. James J. Lee had previously been arrested in 2008 while protesting in front of the same site.

The National Consortium for the Study of Terrorism and Responses to Terrorism (START) at the University of Maryland has since labeled the crime a terrorist attack.[45]

James Jay Lee (c. 1967 – September 1, 2010) was born to a Korean-American father and a Japanese mother, in Los Angeles, California and raised in Hawaii.[46] He was an environmental protester who, in 2008, was given six months of supervised probation and fined $500 after he was arrested during a protest outside the Discovery Communications headquarters. In 2003, he was convicted of smuggling an illegal immigrant into the country from Mexico and sentenced to 18 months in prison.[38]

Lee had published criticisms of the network in an online manifesto at Savetheplanetprotest.com,[40] among which was a demand for the company to cease the broadcasting of television series displaying or encouraging the birth of "parasitic human infants and the false heroics behind those actions".[47] His manifesto also railed against "immigration pollution and anchor baby filth", leading commentators such as Mark Potok of the Southern Poverty Law Center to decry Lee as an "eco-fascist".[48] Lee's opinions were dominated by Malthusian analysis,[49] though he also cited works ranging from Daniel Quinn's novel My Ishmael to former U.S. Vice President Al Gore's documentary An Inconvenient Truth.[50] The Washington Post credited the Twitter community for initially breaking the story.[51]

Corporate identity branding campaign[edit]

On October 1, 2013, the 13 Discovery-owned or co-owned networks in the U.S. began airing 10-second wraparounds after many of their show promos. The network logos are arranged in a circle around the phrase "Your Family of Networks." Through animation, the logos then spin and dissolve, revealing the parent company's logo at the end.

Lost in Poland[edit]

In Poland during switch to digital terrestrial TV, and after analog switch off there was 1 place on MUX 1, which was targeted for Free-to-air popular science and technology program. Discovery Communications and their proposition of DMAX, was treated as favorite, however their lost to new project called "Fokus TV"(literally Focus television). Fokus TV also won over other propositions like TV Nowa, TVS, 4fun Media, Media Works, Edusat and TVR. However - in fact Edusat was only example of this group focused more on science and technology, despite being mainly program which is something like "open University" project. The decision of choosing Fokus TV over Discovery was commented that national body in Poland wanted more "hard science", and "technical" than "docutainment", and program to be more Poland targeted.[52]

SBS Discovery Media[edit]

SBS Discovery Media is a European media group, owned by Discovery Communications. It was formed on April 9, 2013 when Discovery's acquisition of SBS Nordic from German media group ProSiebenSat.1 was finalised. It combines the assets of SBS Nordic with Discovery's activities in the Nordic region.

At the time of the merger, SBS had been a major commercial broadcaster in Scandinavia for two decades. The combined viewing shares made it the second largest commercial television group in Norway and the third largest in Denmark and Sweden.

SBS Discovery Media, also own several radio stations in Denmark, such as The Voice, Nova FM, Radio 100, Pop FM, Radio Klassisk, Radio Soft and myROCK. All stations are broadcasting on FM and via radioplay.dk.

See also[edit]

References[edit]

  1. ^ a b c d e f g "Discovery Communications, Inc. 2013 Annual Report Form (10-K)" (XBRL). United States Securities and Exchange Commission. February 20, 2014. 
  2. ^ a b c "Discovery Communications, Inc. 2014 Q1 Quarterly Report Form (10-Q)" (XBRL). United States Securities and Exchange Commission. May 6, 2014. 
  3. ^ [1]
  4. ^ [2]
  5. ^ Flamm, Matthew (13 December 2010). "Advance Publications waving around $500M". CransNewYork.com. Retrieved 22 June 2012. 
  6. ^ [3]
  7. ^ Media Globalization and the Discovery Channel Networks By Ole J. Mjos, http://books.google.com/books?id=EdKMAgAAQBAJ&pg=PT181&dq=discovery+online+launches+1995&hl=en&sa=X&ei=cug0U-yWN-nSsASQ1IGYDQ&ved=0CC0Q6AEwAA#v=onepage&q=discovery%20online%20launches%201995&f=false
  8. ^ [4]
  9. ^ [5]
  10. ^ Ahrens, Frank (November 17, 2006). "Discovery Appoints New Chief". The Washington Post. 
  11. ^ [6]
  12. ^ http://money.cnn.com/news/newsfeeds/articles/newstex/AFX-0013-21647779.htm.  Missing or empty |title= (help)[dead link]
  13. ^ Information statement: Discovery Holding Company. U.S. Securities and Exchange Commission.
  14. ^ [7]
  15. ^ a b [8]
  16. ^ "Discovery goes digital. (Discovery Communications Inc. to launch four new digital cable television networks)". Multichannel News. September 1996. [dead link]
  17. ^ Ahrens, Frank (November 27, 2007). "Discovery Hopes for Payoff on Crime Channel". The Washington Post. 
  18. ^ "U.S. Networks : Discovery Communications". Corporate.discovery.com. 2008-09-10. Retrieved 2011-05-22. 
  19. ^ a b c "A Message from David Zaslav". Discovery Communications. Retrieved September 26, 2014. 
  20. ^ Szalai, Georg (September 25, 2014). "The Hub to Rebrand as Discovery Family Channel as Discovery Takes Control". The Hollywood Reporter. Retrieved September 26, 2014. 
  21. ^ a b "Globe: A Quarterly Newsletter from Discovery Communications". April 2010. 
  22. ^ "Form 10-K: Discovery Holding Company". Sec.gov. 2007-02-28. Retrieved 2011-05-22. 
  23. ^ [9][dead link]
  24. ^ "Discovery Networks International : Discovery Communications". Corporate.discovery.com. 2008-09-10. Retrieved 2011-05-22. 
  25. ^ "Discovery Travel & Living Becomes is Now TLC". The Philippine Star. September 4, 2010. 
  26. ^ "Discovery Turbo becomes DMAX". June 16, 2014. 
  27. ^ "Discovery HD rebrands to Discovery HD World". CASBAA. April 1, 2010. , Eurosport, Eurosport 2, Eurosport News.
  28. ^ [10]
  29. ^ [11]
  30. ^ Discovery Communications, Inc. v. Amazon.com, Inc. - Complaint for Patent Infringement in the United States District Court for the District of Maryland, March 17, 2009
  31. ^ Discovery hits Amazon with Kindle patent suit, CNet News, March 17, 2009
  32. ^ Schneider, Michael (April 30, 2009). "Hasbro nabs Discovery Kids stake". Variety. Retrieved 2009-05-01. 
  33. ^ Hasbro and Discovery Communications Announce Joint Venture to Create Television Network Dedicated to High-Quality Children's and Family Entertainment and Educational Content, Discovery Communications, April 30, 2009
  34. ^ "Dr. Mehmet Oz and Internet Entrepreneur, Jeff Arnold, Announce Sharecare Inc.,a Web 3.0 Platform, Organizing and Answering the Questions of Health". Bloomberg. November 2, 2009. Retrieved 2011-04-02. 
  35. ^ Cosgrove To Head Discovery 3D Network - Programming Veteran To Report To JV Board, Comprising Sony, IMAX, Discovery Officials Multichannel News June 8, 2010
  36. ^ "TF1 & Discovery Communications finalize agreement and move forward to build three-tier strategic alliance across Eurosport, four payTV channels and production". TF1 Group. 2012-12-21. Retrieved 2014-01-22. 
  37. ^ "Discovery Communications to acquire TF1 Group's Controlling interest in Top Sports platform Eurosport". Discovery Communications. 2014-01-21. Retrieved 2014-01-22. 
  38. ^ a b "Discovery Channel attacker convicted of smuggling immigrant in 2003". CNN (International). 09-04-2010. Retrieved 4 September 2010. 
  39. ^ a b c d "Armed Man With Bomb Takes at Least One Hostage in Discovery Channel Building". Fox. September 1, 2010. Retrieved September 1, 2010. 
  40. ^ a b "Suspect in Maryland hostage situation published angry online manifesto". CNN. September 1, 2010. Retrieved September 1, 2010. 
  41. ^ Morse, Dan (September 3, 2010). "James J. Lee's hostage standoff at Discovery was grueling time for officials". The Washington Post. Retrieved September 8, 2010. 
  42. ^ a b c Robbins, Liz; Stelter, Brian (September 1, 2010). "Gunman Takes Hostage in Maryland". The New York Times. Retrieved September 1, 2010. 
  43. ^ Morse, Dan (September 1, 2010). "Environmental militant slain at Silver Spring building after taking hostages". The Washington Post. Retrieved September 1, 2010. 
  44. ^ "Hostages Safe as Police Shoot Maryland Gunman". The New York Times. 1 September 2010. Retrieved 1 September 2010. [dead link]
  45. ^ "Background Report: Discovery Communications Building Hostage-Taking". University of Maryland. p. 1. Retrieved 4 September 2010. 
  46. ^ "한국인 아버지-일본인 어머니…자식들이 어릴 때 이혼했다" [Korean Father - Japanese Mother Divorced When (He) Was a Child] (in Korean). LA Joongang Ilbo. September 2, 2010.  (Google Translation)
  47. ^ Theresa Vargas (September 1, 2010). "James J. Lee is suspect in Discovery hostage case, officials say". The Washington Post. 
  48. ^ Mark Potok (September 1, 2010). "Apparent Eco-Terrorist Holding Hostages at TV Building". Hatewatch (blog), Southern Poverty Law Center. 
  49. ^ Leonard, Andrew (Sep 1, 2010). "How Malthus drove the Discovery Channel gunman crazy". Salon. p. 1. Retrieved 3 January 2013. 
  50. ^ "Police kill Discovery building gunman". MSNBC. 9/1/2010. Retrieved 3 September 2010. 
  51. ^ Paul Farhi (September 1, 2010). "Twitter breaks story on Discovery Channel gunman". The Washington Post. 
  52. ^ http://satkurier.pl/news/90004/wiecej-filmow-i-dokumentu-w-ntc.html

External links[edit]