US media groups bank on digital rights

Media companies are banking on the prospect that tech firms will continue to pay up for digital rights to their programs, despite recent warnings from Netflix that it would become choosier in its deals for traditional television content.

“With people consuming more and more video all the time, the key to success is pretty simple. If you keep creating the best content, you will keep getting paid better and better as technology improves,” said Les Moonves, chief executive of CBS. Jeff Bewkes, chief executive of Time Warner, echoed that sentiment, saying his company is in an enviable position with its top-tier programming on networks such as HBO becoming more valuable as tech firms become more selective in striking content deals. “We think we’re in the catbird seat from that point of view with all of the [subscription video on demand] buyers,” he said. The comments came as a slew of media companies, including Comcast, Viacom, CBS and Time Warner, reported a mixed bag of quarterly earnings.