pop up and that's when the politics starts. >> would your experience have taken it to the people? would have that worked on a federal level? >> i would like to think it would. having national federal elections is a complex thing but in general i like the theory. i think there's a disconnect between the american citizen and the taxation that takes place in washington. i don't feel the plern public feel like they're a part of the decision making as far as how their tax dollars are spent or at the rate which they're taxed. >> perception is tt we're overtaxed. when you look at the data we're undertaxed yet people don't feel that. >> people -- >> federally. >> people are thinking individually and i don't think they necessarily differentiate between a local state and a state tax and federal tax. they know theyould be better off in general. when you're unploith employed or underemployed, the idea that you're undertaxed is not going to go very far. and i don't think people necessarily have a good idea. they know what they're doing and that's how they're going to

react. >> you look at your stub and it says, well, this is what i was paid and this is what i'm taking home. now, somebody just took a whole lot of my money. local, state, federal, it doesn't matter. someone just took money out of my pocket and i'm mad about it. that's what's really going on. >> federal tax, you can sort of say where we're at? are americans taxed enough? taxed too much? taxed about right? >> i would like to see a consumption tax or a flat tax. i thk -- >> to replace the current -- >> yes, i would rather we get rid of the entire system, get rid of the i.r.s. entirely. but i think we need a consumption tax. that's how i'd like to see the taxation take place at the federal level. >> i'd like to see more fair nnts tax system. we have the big, hug debate i guess tail end of last year about the tax package and keeping multimillionaire, billionaires, folks who were not even looking for a tax cut, the whole debate around extending

the president bush tax cuts. again, you rarely run into the person who says, i have to have the extension of that tax cut, i'm making $5 billion and i can't handle it. it's silly. you have other bad things that were going to happen. i think there are a bunch of folks at the top who could handle a little more and a little more tax fairness. >> do you agree with him? that the taxes on the top end are may be a little bit silly? >> no. that's why i like the consumption tax. i d't think earnings should be taxed at different rates. if seone's willing to work 16 hours a day and they make more money they shouldn't be taxed at a higher rate than someone who is willing to work eight hours a day. i work from the time i get up to the end of the day. i have a private sector job and a public sector job, i've never seen "dancing with the stars" but i'm sure there are a lot of people who make their life decisions based on having that free time. i choose not to.

i don't think the tax rate for people who work extremely long hours should be a higher percentage. a consumption tax takes away from some of those issues. >> mayors here in washington, there's a lot of talk about budget reduction and deficit reduction. where in you budget could you see cutting to both of you? >> i have to tell you, over the past 2 1/2 years, we've had to close a $2.4 billion, five-year plan gap. we have to do five-year plans in philadelphia. we've cut in every department and agency in our city goof. there's only so much cutting you can do. that's why we have tax increases. there's always trimming you can do but you risk the overall long-term health of your city. and so we've actually started to invest in our budget, hopefully it will pass this week in city council, i'm putting 120 folks in a police class. i'm making more investments in

public safety and literacy and parks and recreation and those areas. so i think this is actually a time of investment. while at the same time managing our work force, reducing the size of the government, continuing to find efficiencies where we can, but i'm not looking to make massive cuts in our budget. we have a city government to run. and you can only do so much by cutting. >> i'd like to see social programs trimmed back, the defense programs trimmed back, i'd like to see more money going into infrastructure. >> but as far as your city budget, where could you see cutting it? >> we're growing. we have double-digit sales tax growth right now. we're in boom time. >> time for one more question. kevin. >> i think going back to this idea of the great federal retreat. if in fact we get this deep cut in spending that a lot of people think may be coming, that seems like the option is you guys are going to be the guy who get the finger for taking money out of people's checks because you're going to have to find another way to make up this gap. how concerned are you about

having to basically it's going toost shift to you and how will you deal with it? you're boom time so it's easier for you. >> i can't mantle if year in declining revenue and had to come up with other opportunities. comes down to public safety. that's where our money goes. 2/3 of our money goes to public safety. if you start squeezing local governments, you're going to see fewer police officers and fewer firefighters. that's the bottom line. >> that is the btom line. yes, we are very concerned about further significant federal reduction, not only on the usual services that we provide but again in programs like cdbg, like homes, a number of other federal projects, you'll start to seeuts in areas where people have not seen tm before because these funds are external to our general budge. >> michael nut second quarter mayor of philadelphia, mick cornett is the mayor of oklahoma city. kevin hall, lisa mascaro, thank

you all for being on news maker d. >> thank you, thanks for having us. coming up, a look at the influence of new media and campaign advertising with former white house senior advisor david axelrod and former rnc chairman ed gillespie and later, the future of media and telecommunications. next, a look at the influence of new media in campaign advertising. you will hear from former without house senior advisor

david axelrod who is now heading up president obama a re-election campaign and former rnc chairman ed gillespie. they spoke at the annual convention. cnn chief political correspondent leads this 20-minute discussion. we want to talk turkey and politics. >> some people think they're the same! >> how do you pick where you put your advertising dollars? >> look, it is a simple concept. we are all about targeting. we want to reach people who might vote for us or we need

to mobilize at the most cost-effective way. i remember when i started off in this business a long time ago, the late bob squire was a media consultant. bob used to say all the media consultants should put together and put lawrence welk back on the air so we can target senior citizens, and you know, now we have more tools including cable television to target, but we spent the vast majority of our money last time on broadcast television, we spent about 12% or so on cable, and i think we will spend a little more now, but there is still some barriers on cable that we need to overcome. >> let me ask what the barriers are. >> well, the barriers are you often have to buy in day parts and you can't target programming to the degree that you can on broadcast television. there are fewer slots

available. on local, if you're buying local cable, you don't -- in the past, you haven't been able to get direct satellite television advertising ageded in. you can do that at the national level, not at the local level, so these are things that -- and sometimes when you buy -- it seems like if you buy small units on cable television and it isn't necessarily less expensive than to buy the whole market. >> per viewer. >> per viewer, yes, and per target. >> so, ed, when you look at so many places for a campaign to spend their money, where do you get the most bang for your buck, if you could pick? >> the targeting is so important.

>> the democrats are going to vote for your guy and the independents are going to vote for you guy, so you're looking for the more independent view. >> persuadable voters. we will be advertising more on fox and david and the others on msnbc and everybody in cnn in the general election, but the fact is it depends partly on how much money you have to spend. if the president has a billion dollars to spend in the election, you know they will be buying "american idol" and ncis" and our nominee will be buying the cooking channel in ohio, but the fact is that the targeting that is available in terms of the demographic and geographic aspect is helpful. >> they did a smart thing in 2004. they ran a ten-month buy on the golf channel, for example, and that wasn't aimed at persuasion. it was aimed at motivation,

mobilization. they thought they would catch a lot of their supporters on that, and in that sense, cable is very useful. new technologies are also going to be helpful. if we have the ability not just to send ads people's way but have an interactive experience with them, and we can sign them up, that is a feature that the internet offers and if cable can do that for us and i know the technology is becoming available, that will be an attractive feature as well. >> it is the interaction, obviously is most important. do you see something out there now? i'm still getting text messages from the obama campaign, although now it's the obama re-elect. i still get those on and almost daily basis about, you know, house parties and what the president said and that kind of thing. is there any new technology out there -- twitter obviously was a huge force,

i don't think it was a force at all that i can recall in the last election, but is there something out there now that you think let's go here? >> well, in the social media, and david and the obama campaign in '04 -- sorry, '08 deserve a lot of credit for. they blazed a trail capturing as many names as they did for these text messages, getting people to forward from their own handheld device from their smartphones to friends in targeted states. very smartly done. we will try to build on that. every campaign cycle you adapt from what the other side did well. on the republican side, we become more sophisticated on that interaction in capturing names and building lists through the social media, but you're right. twitter was not as big of a factor as it is today, and, you know, probably between now and next november, there will be something new. >> facebook obviously has become hugely important, and the reason is it does help with targeting you. you can identify people by their interests and speak to

them about things, things that consume them. the thing about it is that the technology is unfurling at such a pace that things from one cycle to the next are much, much different. i always, when i talk about this stuff, i think about the marx brothers movie "duck soup" where he is the dictator of the country and the head of the treasury so that here's the finance report, here's the report on finances, do you need me to explain? he says don't worry about it, this four-year-old could understand it. and he said run out and find me a four-year-old because i can't make ends to this. so we're asking four-year-olds to explain what the best new thing will be. >> do you all foresee a time, and maybe you are already doing it, but i know if i want to pitch an interview, i say, hey, i can amortize this interview across the 10:00 show and the morning show and put something on dot com and i

will treat tweet out the most commentable things. are there multi-platform buys? >> yes. i think that is going to be more and more important in the future. how do you communicate across a lot of different platforms with one shot that will multiply your exposures and hit your target in an efficient way. >> the way i put it is content must be provided. you know, you just have to constantly be putting content out there across the platform and parceling it out, timing it, sequencing it, and constantly providing fresh content. a campaign faces the same demand that cable companies face, which is that people want fresh content, and you have to have somebody who is constantly putting that out there and keeping you fresh on those platforms. >> but the key is to make sure that you're getting the right content to people, that you're getting them the

messages that are going to be meaningful to them and their interests, and you know, that's where cable is very useful. >> so it's become a lot of money spent in a lot of little ways. >> yeah. >> i still think broadcast is going to get the lion's share. >> why is that? when you talk about let's target, nobody targets better than across the cable channels, so why isn't more money being spent? >> well, because one of the big targets is the geographic target and so local television is where you get most of the -- i think 68% of our immediate media dollars in 2008 went to local television stations in battleground areas, and, you know, it isn't always terribly efficient but you hit a lot of people in that market, and that market may be pivotal to the election, so it's still, you know, sort of the nuclear weapon.

>> the presidential con he test con contest is a national scene. you can target when you need to target specific segments of the electorate, but when you're talking those independent voters shall they're making decisions based on large national issues so the national advertising campain is still going to be the most resident, and there is only so much time in the day. you can only cut so many commercials and manage so many messages. >> but it's a national campaign, but it is delivered locally, because there is no point delivering messages to -- the truth is it is a national campaign but it is also 50 different statewide campaigns and there are probably 20 in which this election will be decided and they will get the lion's share of the media dollars. anybody smiling here is probably doing very well right now. >> let me turn you to the role of cable in the

election, particularly cable news, obviously. you have a boss that has frequently expressed, what's the word, maybe contempt is too strong, but he has been mild -- well, he has chastised cable a lot. tell me how it affects things. >> well, i think it is valuable and important to be able to get news and information when you want it, and the fact that cable affords that is very valuable. what he spoke to is two things. one is because you do have to provide programmerringing all the time, and there is a tendency to treat every day as election day on cable television. every event is delivered breathlessly. every event, is this going to be the decisive thing in

a presidential thing and there are very few decisive things really, but there is that part of it, but the more disturbing element of it, not just because of cable but the internet, we have cull vannized the media in -- we have vulcanizeed the media in a way that people tune in to a cable station that reaffirms their point of view. a lot of people that he hangs with go right to fox and they hear what they want to hear from fox. people on my side may go to msnbc. the truth is a lot of them do go to cnn but people go to different places and get an affirmation of their point of view. what we don't get is a sense of what the other guys are saying and a sense of balance, a sense of who is really right, or at least what the facts are. there is less of an emphasis on that, and that is unhealthy. the president made a speech at the university of

michigan last year, a graduation speech in which he urged the young people, don't just watch msnbc, watch fox. don't just read "the wall street journal". read "the new york times." get a variety of opinions, so the flip side of the targeting benefit of cable is that people self-select and they don't get other points of view. >> so what helps you in paid advertising you think works against you on some stations in news, free news, free media? >> there is a constant narrative that you have to play into and you have to be conscious of and you have to try to manage and every news cycle is like four hours. >> or ten minutes! >> right. and you've got to constantly be in the mix on it, but at the same time if you're creative in a campaign, you know, releasing these, you know, videos that get played across the cable channel because of the demand for content, you know, providing free content to the cable stations and to the cable networks is a pretty eat skyway -- easy

way to help shape the narrative. how you manage that is important to the way you manage your campaign. >> you have to manage what is kind of a frenetic environment every single day, and that's challenging, but the question really isn't whether it impacts negatively on us or on candidates who ed supports. it's weather it is good for the country as a whole if people are kind of hunkered down in their own camp and getting information filtered through that perspective and not getting a variety of viewpoints and i think that is the larger concern. >> let me turn specifically in our last four minutes or so here to campaign 2012 and just the sheer politics of it. tell me who is going to -- no. who do you think is looking strong right now in terms of the republican field? >> it's so early and the field is wide open. it's exciting on the republican side.

the fact is you could not wager a bet today on who the republican nominee is going to be. it's going to be a longer process than we've had in the past. you know, it would probably be a little bit before this time next year but probably it will go into may and whoever emerges will be a very strong candidate for the presidency by virtue of having emerged. president obama when he emerged from a tough democratic primary was strong. i can't say who is the strongest or the weakest. i think i will let the candidates run and let them demonstrate that, but i think there is a very good chance -- to me, you know, the simple issue is what is the unemployment rate in november of 2012? the biggest factor in the election. our nominee will be a big factor. the president will be a big factor as a candidate but that's probably the biggest deciding factor. >> traditionally, this is a re-elect, so it is really an election about president obama. >> well, for the first three and a half years of a

re-elect, the election is about the incumbent. for the last six months of the first term, it becomes a choice between two candidates. in many ways, george w. bush would not have been favored to win the election of 2004. he was handling a difficult war. there were a lot of factors working against him, but it was when he got into a comparative situation, people made a choice between two candidates and he won that race, so i sort of disagree with you, but let me say this about the are republican field. the history of the republican party has been, until now, that it's been a very orderly process. generally, you knew going in who the likely nominee was going to be and it was often someone in the queue who had run before the party would gather around and it was true with mccain and it was true with george w. bush. what is different this year is the introduction of the tea party and it has added an element of uncertainty about what is going to happen in the nominating

process combined with some changes in their rules that will make it a more wide open process, so the one place where irdisagree at is he said and he should, because that is his role, he should say the candidate is going to emerge strong from that process. i think if the candidate gets drawn to the right and responds to some of the more shrill voices in the republican party, that candidate is not going to be a stronger candidate, because this country wants to be brought together. they want people to work together to solve problems. i watched the debate the other night, and there seemed to be broad agreement that the president was destroyingth country and was responsible for all manner of ill, but i don't think that is really what most americans believe, and it's not the debate that they want, so whether their candidate emerges strong or not will depend in part on that candidate's ability to resist that pull to the right, to stay in the

mainstream, and to get through the process of doing it. >> and i'm going to give you, because i think you would probably disagree, a little bit -- let me just spin off the tea party a little bit. i had many republicans say to me, but the tea party is another name for the conservative wing of our party. we have always had the democrats have a problem when they get pulled a little bit to the left in their primary and contested primaries and the republicans get pulled to the right and have to run back to the middle. is the tea party making this year significantly different, do you think? >> no. the tea party voters, we had 4 million more people vote in republican primarys in 2010 than the democratic primaries for the first time since 1952 that republican primary voters outnumbered democratic primary voters and that was tea party member who were new to the process. they're staying in the process, which is a good thing. president bush in a very close election, 51-48 in his re-election, won by 3

million new votes. 4 million new voters into the process in what will likely be a close election in 2012 is a big deal and helpful to the republican party, and if they care about the same thing that people in the republican party for decades care about, taxes, strong national security, family values. they're consistent. they're just new to the process and energized. that's a positive thing for the republican party, not a negative thing. >> to be continued. thank you all very much. >> thank you all. live monday on c-span 2, the u.s. chamber of commerce hosts the governors of colorado, florida, wisconsin

and virginia and several other states for a discussion on the economy and jobs in both their states and the country at large. the governors summit begins live at 9:00 a.m. eastern and you can watch it on c-span 2. page andrew rossi takes an inside look at "the new york times" through the eyes of the staff. >> i came into it without a grand sense of what the solutions are for traditional media. i came into it with the desire to just observe. >> he will talk about his new documentary tonight on c-span's q&a. tuesday on c-span our road to the white house continues with former ambassador to china, jon huntsman. he is announcing his intention to run at liberty

park in new jersey. this is where president reagan kicked off his campaign in 1980. watch it live tuesday at 10:00 a.m. here on c-span. c-span has launched a new easy to navigate website for politics in the 2012 presidential race with bio information on the candidates, twitter fees and facebook updates from candidates and political reporters an links to media partners in the early primary and caucus states. visit us. next weekend, book t.v. and american history tv look at the history and literary life of savanna, georgia with events on c-span 2 including the home of flannery o'connor, a conversation with dorothy kingery, and also a tour of urban slavery sites with

civil war savanna co-author and on american history t.v. on c-span 3, travel to the founding days of savanna as we visit the site of a plantation and explore civil war savanna. c-span's local content vehicles in savanna, georgia, next weekend on c-span 2 and 3. a discussion now on the future of media and telecommunications. you will hear remarks from cable executives on how they are adapting to new technologies and come petition from on-line disstrib tors and hear from representatives of time warner, comcast cable, cox communications, viacom and news corporation. this is an hour.

good morning. this is a big crowd. we have the cable guys and the content guys, too, but before we get started, i wanted to say how lucky we all are in the cable industry to have this new leader, michael powell. i mean, he is unmatched in his ability and his expertise to really just feel everything that matters to the cable industry, so let's hear it for michael powell, just a big welcome. [applause] oh, and hopefully he'll use his diplomatic grace and abilities to keep the cable guys from strangling the content guys, because i think that's really what is going on back there. no, just kidding, but they are really excited to get out here and show you what the big issues are in all of this. we put this together in an interesting way. free cable, free content. let's meet our panelists. first, the chairman and c.e.o. of time warner

incorporated, jeff bewkes. next, the chairman and c.e.o. of time warner cable glenn britt. deputy chairman, president and c.e.o. of news corporation chase carey. the president and c.e.o. of viacom incorporated, philippe dauman. the president of cox communications incorporated pat esser. #

we want to delve deeply into this. here is what we are going to start with. we are going to start with the fact that every time we go to these shows, but something is trending, and one of the things is the new amount of choice. it was really cable that needs to be the place of choice. 100 channels. everyone is so good with cable. that is awesome. but all of a sudden, there are hundreds of thousands of choices, not all of them having to do with cable. who knows what google and apple television are doing? what are you going to do to get it back, and i will start with you, because you really deal with the distributor part, but how do you get people back, to say cable is the place to be and not my computer?

>> i really think it is all about a personalized experience. it is about my favorites and recommendations that work for me, and i think it is less about television or the internet. it is about what experience works for meat that can stay with me across different platforms, across the user interface, and wherever you go, that is what you get, and it is personalized to me or you, and i think that is the trend we are seeing and what we are really working towards. >> what starts with me and my 9- year-old kids or the smart phone, it turns into the rest of the nation. we saw that in another industry, and they ignored it and lost control. cable does not want to be the next music industry. how do you prevent that from happening? >> i want to go back.

>> that is why i wore green. i think the key for us is to keep changing with the technology. we have to offer what they want with the technology to do that. i do not think it is magic. i think technical people understand it. we understand consumers. when we really think about what this industry has done collectively, what we have done is to madge be understanding of consumers with the understanding of technology. with what is going on, i do not think any of us know where it is going, but it is an opportunity. >> does an opportunity like that

keep you up at night? >> i would probably say that we created this chaos. what goes along with that is giving customers a choice. how do you keep up with it? i think at the end of the day, you have to keep going back to the consumer and ask them what they value and what they do not, and i think you have to create new types of business models that exist today and continue to harvest those in the marketplace. in some cases, you are not going to control all of it. that is just the reality. >> do you agree with that? you want to control the content, but you also want it to be content that everybody chooses.

the reality is that television is a foundation for people to have a conversation out there, and we have today the cable programming industry in the aggregate continuing to gain shares against broadcast. television viewing is at an all- time high. many, many of our shows include social networking activities. we have a feature that is about life tweed's during the show. a lot of activity is carried on the pipes that these guys have. programming and distribution has

grown the pie together. we can get them more excited about the brand and the characters we have on our shows, and it is a great opportunity. >> on the other side, what is that about? it is obviously a rights issue. not just ask us to put that stuff on the other opportunities that are out there chase, are you going to fight it, or are you going to increase it? >> you have to increase it. i think what we have to do is to excite the consumer.

when you look at what has made apple and jobs as successful, bringing things forward to excite the consumers. we have talked about things like authentication for two years, and we are still talking. we at times get you a hung up. our rights are our backbone. we create content, and we have got to work with mr. teachers to deliver that content in new and interesting ways, but we have to work agreements on how we do it and how is exploited that is according to agreements we have in place. you have to have a structure through which you do business.

and then, you were the one to jump in to say content everywhere. >> this is not the television industry. -- the music industry. this is the cable industry. it is the morning in the cable industry. it is time to keep this fantastic industry moving. we have invented the most cutting edge and most watched things in the united states. all of this infrastructure, the reason you can get these things on the tablets is because of the

infrastructure that was frankly led by the people in this room and is now being copied and augmented it is a fantastic infrastructure. it is the most successful high content industry in the world, and it is being copied everywhere in the world. it is really good. the quality is much better. if he think of the contents of the people want to watch on internet delivery devices, the best content is stuff that premieres on cable systems on television screens. everything about it is up. the programming budgets are up. the profits are up. bill hall flay is going great.

what we need to do is putting on demand and make it a very good interface. it is good that they are. they are bringing us the tools to make it more available. we should be really happy and excited about where we are right now. >> people want to get paid for the content. it is not necessarily the television screen that people are looking at now, and that is a whole different screen inside the home. you are really the ones with the bandwidth.

how do you really do is so you do not get a new generation -- i am not with this generation, but you have 9-year-old kids, and just yesterday, i had a man who said his son said, "do not get cable." and he said, "how does that work of?" and he said, "i will show you." >> consumers want to consider things in the house, great. outside of the house, great. we should meet those needs. we have got 185,000 choices. up 30% from the beginning of the year. we are seeing more consumption. i was talking to jeff earlier. great content is being consumed. i think in terms of people wanting to get paid, i think there are different currencies.

we recently and released a catch up, keep up. when we talked to the different networks, they want to get ratings on the v.o.d. platform and some other things. i will give you a lot more content, so it was a real winner for both parties. i think the more we work with in the ecosystem, the better. the pace is moving faster. i think the conversations have to happen often. >> what about the conversation? >> i do not think the conversation is that

complicated. the consumer is willing to pay. the consumer is willing to pay for something of quality, something that excites them, something that is interesting. to do that, i think we have to look these technologies and continue to find ways to make this a richer and better experience i think people recognize and will value that concept. >> one of his first jobs was shimmying of telephone poles. you have been around a long time and know a lot about this. you have got to be saying, "i have got to find a way to embrace this." there is so much diplomacy know,

is there not? >> going back a little bit, i want to talk about what neil was saying. three products in the last 90 days. when we were all about a product, 100,000 people validated the product within 30 days. a highly successful platform, i do not know the number, but hundreds of millions of sessions, so we are doing something right. there is one that launched in march. 100,000 people with either tablets or smart phones signed up, so while hedge fund managers are telling stories about their kids, and i am not arguing that the market is segmented, they value products and services we are bringing to the market. they may assemble them

differently than they are today, but we have an important role. i have a lot of optimism about what our future looks like. we will have to do things differently. we have got to figure it out together. >> glenn, what do you think? you are the one that is what you ippe.to sit down with phil >> the scale of this industry, the number of hours that people watch, it is unbelievable. v.o.d, whatever. we are clearly doing something right. that does not mean we can fall asleep. we need to embrace all of the screen. there is no such thing as a tv

anymore. there is a video display device. we are doing things it really well right now. >> phillippe, for the programmers, the content guys, apple tv, we are waiting to see what that is, but netflix, that is using a massive amount of bandwidth every night. perhaps just as interesting, netflix have talked about going into original programming. hitting the cerebellum of people up there who are looking for interesting things to watch.

>> netflix is primarily a library in. -- a library. we have passed at the feds. netflix got involved in one show that was a television kind of project. that is really not their fundamental business. it is not so easy to get into the content business. as chase in jeff know, the number of major studios around today, the exact same studios that existed 75 years ago or more. it is not that easy. we are focused on content in our company, and we have increased

our investment three recession, bad times, good times, in order to serve, and working with distributors here and elsewhere to provide great experiences, so we work with the cable industry. we work with the satellite companies and the netflix of the world, and we satisfy consumers wherever they want to see our content. we have no syndication value in the 10-year-old "beavis and butthead's." this allows us to invest in more original content, which first airs on the distributor's sitting here. they get the first crack at our shows.

from showtime, who have come up with great programming. they pulled their stuff off of netflix -- netflix as soon as they heard that they were going in to original programming. what do you think? >> the way we think about it is you have to think of it as subscription video on demand. what i think we are talking about is what is the value for consumers? there are several subscription on demand companies. it has been on your television for 10 years, and now it is all of your internet devices for nothing if you are a subscriber.

so that is the biggest and most credit subscription vod, showtime comedy amazon and some others, and there can be a world for those subscription structures. in the case of netflix, they are streaming products to internet only. they offer some easy to find and access programming create some of that is older programming. it is kind of later in the

window, and that is what to expect of what it would be able to afford not current programming or current original programming. but -- among >> we have been making original programming for years, competing. a lot are doing great programming. so at a more programming, whether it is on demand or something else, we are all sitting here at this convention on the cusp, and we potentially all agree to this, we are going to take all of the channels on television and have all of it on

demand, so you can find your favorite show, and all of these networks are going to exist on every device, as plannedglenn -- as glenn said. get a device that they really like. that is the job that has to be met. >> phillippe they have >> there has been a long history of the sides working together. i think it is important for the

future success of our industry to continue to collaborate, and i agree with what chase said earlier. it is important to continue to work together to serve the consumer, and both sides of the equation e merge with the collaboration that has benefited all of us. we are all sitting up here because we have been successful working together. it is really important that we continue to do that. we all agree on this panel, and we need to provide consumers with what they want. we have to do it at the right time, in the right way when we met the business objective belisle is to create the content that they enjoy. if we are advertising supported, as many of us are, we need to have a measurement system in place so that the viewing on the

devices in the home get measured so we can sell ads, because that is the currency. that is the currency. >> but nielsen is not measuring, are they? >> we have to do this collectively to make sure that they do. that is one of the obstacles for the supportive services. hbo and showtime, it is a different story because they are not advertising supported. we were the first pay service that went in a multi platform way. we would like to see all of our services that way. we would like to have the technological obstacles overcome and the modernization obstacles overcome, and once we do that, we will enter a whole new era, as we have before. >> there was a comment that people were talking about, meaning people just eliminating

their cable service. i want to know, for stock, what kind of evidence do you see of it, or is it just a few people there were power of the housing slowdown? >> we are not seeing any evidence of cord cutting right now. the television industry, i think we're seeing a healthy industry, and i think our thought is never to make it so that they want to court cut. whether they want to watch on the ipad or a television screen or mobile, let's let them view it the way they want to view it. we announced a skype video partnership this morning, which brings more functionality to the television screen, but we never went to give them the opportunity to want to cut the

cord. >> i am sitting here wondering about the definition of corn cutting. the boy's business, it is a pretty low user of bandwidth. i agree with neil. right now, the people disconnecting their video packages and doing things over the internet is barely measurable, and that is what all of the study say, but, clearly, and i see netflix as another programmer, that is really what they are, clearly, though, if there is something that makes consumers not want to buy the big package that collectively we are selling, that is a threat to all of us, and i think that is

why we have to work together on the functionality. there is no evidence that more than a handful of customers do not want the big package, all of the content that we make or that chase makes. that is fundamentally what we do. we have more content than any country in the world. this reminds me of back in 2007 when subprime mortgages started to look scary, and somebody said 1.5% of all of the subprimes were failing, and another said that just means that over 90% were still paying their mortgages. a lot more mortgages on wild. when you look at the horizon with a telescope, what do you see. >> we are in a better environment right now than we were five years ago.

we used to date 250 thousand new households per year, and i think we gained 70,080 thousand last year, and that was up from the previous year. this is a business reality we have to deal with. >> what is this a reflection of >> this is a reflection of the economy, the consumer ability to have disposable income. all of the research, the quintiles in the marketplace, while costs have increased, there are segments of the population is disposable income has stayed flat or possibly decline. we have to be very sensitive that at the end of the day, we serve customers. we have to make sure that our services are highly valued and that they are able to pay for it. i worry more about that than the accord cutting.

something they believe in and also their affordability. >> i think it is remarkable. we have lived through the worst recession that the people on this panel have seen in their lifetime, and it is remarkable that the last thing people cut back on is their television subscription, because that supplies great value. you have a lot of choice. people are spending a lot of hours in front of the television set or you live in broadband. it is truly remarkable how well of all categories that held up. a minor decline in household strike -- subscribing to cable or satellite, and now, it is going up again. if you look at the source for that, generally there is a lack of household correlation.

i think we should be really pleased with how we have weathered the worst recession we have lived through. >> if i could jump in there, i think there is truth in all of this. there were more vacant houses in the country during the recession than ever before, as close as we can get to statistics, and this is primarily sold to households, not individuals. if the house is empty, they are not going to buy our services. people moving in with other households, that seems to be moderating a bit. having said that though, we see this from the country, there is a growing unfortunate underclassmen who cannot afford it. i think it would behoove all of us to work together with smaller

packages that i think would meet the needs of that. there are people who want something smaller. i think it would serve us well to worry about that group. [applause] >> going back to the ipad and tablet issue, people wanting to move around. just before this session, i take an interview, where the guests said 2 million people have downloaded their watch espn application that they have. obviously, they are going forward all of the way, thousand miles an hour. they want to embrace this. chase, how do you and news corp., of all of the

entertainment products out there, do you make sure that you grabbed those eyeballs, too? 2 million since april, he said, is pretty impressive. >> we launched a complement to "speed," "speed to cure " -- "speed two." i think we need to continue to do that, expanded coverage, and a think we have to take all the we have agree a richer experience. >> , the people what stuff regularly on their ipad or their tablets?

just raise your hand, if you do. >> ok, a lot of people. my kids say they are going to download "modern family." they want to watch it when they want to watch it. what needs to happen next, neil, to keep people watching? and i am pretty sure the people from sony, panasonic, samsung are interested, too, lg. >> remote tuning their dvr. the content we're seeing is the most acute right now is the premium content. we have about 6000 choices that can be viewed in or out of home.

it is a really exciting tool to both tie together the various platforms as well as to view, and i think in terms of what needs to happen next, i think it is becoming consistent with what everybody is saying. we need to work together collaborative lee, and i think the pace of that change is only increasing, and we are talking on a very frequent basis, and the program in conversations, there are great issues involved and penetration, but it involves flexibility. jeff and i did a turner deal recently, and it was across all of the different platforms. in the final, it was less about the penetration. i think that is the way things are evolving right now. >> jaff? >> you said do not be politically correct, and you

mentioned a nine-year old. i would just say, do not be afraid of your kids. >> are you sure of that because i like to watch. h >> d, -- >> hd, how do you make it? >> put the television on the

internet and make it easy for them to use a the way they are accustomed to, which is in their favorite channels. [applause] if you think of what is going on in hollywood, and the things that are going on in cgi, 3g, incredible increases in picture and sound. 3-d in a theater can be a very powerful experience is how it is being rendered is conceived for it and not just kind of a

gimmick. it can be very powerful. we have not yet got an 3-d working on electric screens. we will. back when we get that, your infrastructure will be the number one place that is able to develop -- deliver sound and picture quality like that. it cannot do that, and it cannot do that for a long time, and if they can, then the internet delivery this is going to have to be organized in such a way that it financially supports the infrastructure investments that they will have to make to deliver it that way. so there really is equality for

consumers in the existing infrastructure, and we ought to keep moving out as quickly as we can. better pictures, better access to what they want when they wanted. it is all in this room. we have it. admittedly, there is a lot. it is hard to organize. anyone you can take a lead and create an interface that works, create a product, we think what hbo does is a pretty good example. now vod on the internet. really consumer-friendly, on-

demand access, and with the quality of transmission. that is the advantage of this industry. it is not an advantage of the so-called internet industry. we need to work on that advantage. we need to keep moving. >> i would add a new ones to this. the consumers are changing behavior. it is not just putting television on the internet. you need to have interactivity as part of the television experience, and we serve largely young audiences, so we do a lot of research and in that area. i will take one of our shows. that show has 1.2 5 million twitter fall words. we have a twitter wall in the background. people are treating during the show, and people read it during the show. we have 2.5 million facebook fans of this one show.

half a million downloads. we have the same lottery. the host of the show will call randomly someone who has probably asked a person who has watched the show, call the person in los angeles and call them live on the show. we need to provide that kind of interactivity. you need to have more and more original programming. it is changing. our whole audience will be behaving differently. >> we have 10 minutes. the ftc and the department of justice approved a massive

merger, and that involved comcast. do you think there are going to be more of such mergers in the future, where you have operators and programmers merging it again? of course, jeff has done the opposite. like liz and mr. burton. >> there is obviously been more consolidation going on in the industry. at comcast, we were able to find something to work for both companies. people are looking for scale. they are looking for efficiency, a way to leverage assets across larger platforms, and it is a very fast-moving marketplace. jeff, i want to go back to

something you started, a really good point. we talk about opportunity and how consumers want to get their information, their communication across a platform of choice, and if the content is really good, they will try, and we have to remember, for this all to work, there has to be great content involved. there has to be a lot of infrastructure, and it takes billions and billions of dollars to do that. we have to do this to get these things in place to give consumers the kinds of things they are expecting of us, it and i do not mean to go back, but i think jeff put on a good one, and that is we have to figure these business models out. >> do you see summit intransigence?

you are the guy who yanked the world series off of cablevision because there were issues. >> the yankees were not in the world series. >> the guy stands with a fist. >> there is a long history. .e're always together buyers and sellers. i think it is important for us to recognize that we have a much bigger agenda for the consumer marketplace than to let the buyer-seller tension bog us down. if you're changing sort of a traditional practice, more friction than normal, and we thought with the situation, it was not going to be a business.

it was a situation about trying to make it viable. there was probably more friction in that buyer-seller relationship than normal, but if you're going down that road, both sides have to recognize that those sort of issues of commerce cannot sort interrupt a whole. the kids need to go forward and grow. to get to a place of what is there about me. it is certainly our goal to continue to work constructively. >> with the merger, but what has

been very interesting is that steve and i can pick up the phone with each other every day, not that i want to speak with him every day, but we can, and we put together flexible programs, so we launched a program "the boys," and the ratings were up 41% in the comcast market versus the other markets, so that is a question. let's try this and do that, and the experimentation aspect of it has been really positive, and i do not think that necessarily requires a merger to happen, but i think that is the way the world is evolving. >> may be a lot of this is experimentation, but what the cable industry does not want to do is get caught and say, "we did not see it coming," so how do you make sure that does not

happen? is it to work together and to peace, love, and happiness and not get into litigation with phillie? or anybody else? do you know what i am saying? how do you get beyond this? again, i know that jeb said, "we are not napster, or we are not the music industry." >> the best is to keep looking around. that sounds pretty simple, but we all need to know what is going on in technology, what consumers want, and i think if we keep our eyes open, we will be fine. i think there is a tendency for us to focus away too much on technology, and we have more technology than anybody knows what to do with it. it is about the consumer, about understanding pretty simple needs. they are changing, and it is

about doing it together. sometimes our business relationships in the way, because everybody wants to know about the money before we experiment. we have to do stuff and see what the consumer wants. >> getting the attention of the use today -- the use -- usey -- outh. y -- outh. i wish we had a guy or a woman to do x, y, and z. what would you advise people looking for jobs in the television industry, cable, broadband? 9.12% the unemployment rate, we do not know when that is going to change. what do you need the most when you are looking to fill slots? >> i would say that engineers are highly desired skill set,

software engineers. i think war is moving into the software space and the software development. i have a son who is graduating who is an engineer. >> are you going to hire him? >> no, but that as a whole other story. >> poor kid. >> i will go in a different direction. i probably spend more time talking about giving people the permission to disrupt the flow. anytime you live outside the path, you get pounded back in, it is giving permission, giving leaders permission to build a small team and to pursue opportunities that would normally not exist because we are so disciplines, so we have a summer intern is coming in. we are using our summer interns

to say if you were given our platform and these resources, what would you do with it? he you use every day. and to give them permission to go explore that and do what bland -- glenn said. >> what are you looking for? >> we more and more creative people, to understand the new shows and the technology so they can make programming for broadband, create experiences. >> are you looking for amateurs? there is a lot of amateur work on the web. >> we have actually produced several on air shows, and we discover the talent on the internet. there is a lot of stuff out there. you have to be able to filter it, but we have to get more and more young, creative people into our company, and that is what we are doing, and they have to be able to produce content for many platforms.

>> chase, what are you looking for? >> i agree with philippe. when you talk about google and facebook, what they are all doing is creating content, and you need great content, content that stands out. if all you have got is sort of mediocre content or content that is not distinguishable, it is not going to get you anywhere. what you need is content that stands out to a passionate section. make the content better, add dimensions to the content. the content really becomes an experience, the other things you can add to it. it is the ability to continue to create that content and excite people with the content and then figure out how to distribute through all of these vehicles that are out there. that will be hard to that drives this business for us. >> glenn? >> of course, engineers are in short supply.

but what is even in shorter supply is people who can understand technology and then explain in simple terms for the rest of us to understand and then relate it to business models and then consumers. that is the whole package, and that is really where. -- where. -- rare. >> great distribution has always been hand-in-hand with making great content. all of these sophisticated technological industries. can i add something to glenn's point? technology is really important, but we should not overemphasize it. apple, as improbable as it is, apple certainly has growing technology in what it does, but

what apple does all of the way back to mac is they focused as much on design, aesthetics, human interaction, the experience people would have, and therefore did the improbable faint of met -- improbable thing it of making devices. doing devices with china and korea making what they make. but they did, and they did it by focusing on the interactions. what i would say is that we have got great content. we have the best technological sitting in this drama. what we need to do, and it is hard, is to get the interface with our viewers who are currently happily engaged for now watching their favorite shows on tv, but that is not

going to be enough. they are going to need to be able to have the same control and engagement and feeling that they have with internet devices. we all kind of grow up and giving it to them on television. so the interface. and sitting in this room are very different companies with geographic territories. we have to figure out how to get the best in class interfaces' adopted in a kind of a universe away for the benefit of consumers all across this country, and that will enable us to do more economically. it will enable them to know how to use it, and you will get the benefits of scale, which is essentially the leading advantage that the tech industry has. we'll ease of use, the user

interface, fairness to consumers, and the point of some big part of the country during this protracted economic condition, they are going to be squeezed for quite awhile. we have to think very carefully about serving them well. >> right before we wrap up, because they are telling us we are almost done it, what channel that is not owned by your company do you watch the most? [laughter] best buy >> starting with jeff? >> yes, starting with jeff, he and remember that last in the audience. >> pbs. [applause] >> i thought you were not being politically correct. >> we do not own any channels. >> which channels do you like to

watch the most? >> well, i'd like nbc. >> i am a sports junkie. espn. >> fox news, of course. >> i will give a shout out to the history channel. >> i will stop with where jeff started with c-span. i cannot really say. any premium channel. i love watching premiums. >> what a good panel with the luminaries, figuring out a way to move forward and be all things to all people. thank you, guys. excellent. thank you so much. enjoy the rest of the cable show. ♪ >> c-span has launched a new easy to navigate website for politics on the 2012 race, with

news from the campaign trail, biography information, twitter feeds and facebook updates and links to c-span media partners in the early primary caucus states. visit us at c-span.org /campaign2012. >> next weekend, booktv looks at savannah, ga., and on c-span2, and novelists and short story writer, a conversation with the sister of jim williams, a central character in "midnight in the garden of good and evil." also, on american history tb on c-span3, travel to the founding days of savannah as we visit a plantation and export antebellum and civil wars savannah.

that is next week and on c-span two and three. >> you are watching c-span, bringing you politics and public affairs. every morning, it is "washington journal," our live call-in show connecting you policymakers. weekdays, watch live coverage of the u.s. house, and also, supreme court oral arguments. on the weekends, you can see our signature interview programs. "the communicators" and " newsmakers, et" "q&a," and "prime minister's questions." it is all searchable at our c- span video library. c-span3 washington your way. created by the washington cable companies.

>> this week on "q&a," the look at a new documentary coming out this month. it is called the "page 1 -- inside "the new york times."" >> what is a guy who has a harvard law degree during walking around the new york times newsroom with the camera in his hand? >> that is a good question. i was a lawyer for a few years but always wanted to be a filmmaker. when i first picked up a camera and saw what it was like to be behind it and captor things in real time, it really thrilled. i made my way through the new york times after making a few other films during which i discovered david carr, who is really the start of "front page: inside the new york times." >> i want to show you a clip of an interview