Media merger mania? Viacom’s Dauman doesn’t see it either
Just about everyone who covers media is talking about whether a potential Comcast-GE deal for NBC Universal will kick off a round of consolidation in media.******One executive — one very smart executive — who doesn’t think we’re in for a tidal wave of mergers is Viacom’s Philippe Dauman. (Word is Dauman earned a perfect score on the SAT — at the age of 13). After a speech at Executives’ Club of Chicago on Tuesday, we asked Dauman about consolidation.******”As far as we’re concerned, we ‘re focused on growing our brands, growing our business. We have tremendous brands with a lot of room for growth both in the U.S. and internationally. It’s a big opportunity for us.******”We’ve been involved involved in a lot of consolidation in our corporate history. The record of success in media consolidation has not been all that great for the most part so for ourselves we think the better strategy is to grow organically.”******But what does Dauman think about about the rest of the industry? To that question, he noted that “all of us in the traditional media business have seen the pitfalls” of big mergers, but Comcast may decide to chase a deal because of its unique circumstances. He didn’t elaborate, but we all know that Comcast has longed for more content for quite some time. The structure of the deal reportedly under consideration may work in Comcast’s favor since it doesn’t have to issue any equity.******Dauman isn’t the only smart guy in the media industry of course. Time Warner chief Jeff Bewkes made similar though slightly more cutting comments about the prospect of the Comcast-NBC deal last week and about what it said about success of previous big media mergers.******Dauman was more diplomatic.******”There’s a unique set of circumstances here that won’t necessarily in and of itself trigger a wave of other activity,” Dauman said.