Left Wing Digital Media COLLAPSING, VICE Investment TOTAL LOSS. Disney recently announced that it is taking a 510M dollar loss in their VICE media investments. This news comes shortly after VICE shuttered several of its brands and laid off significant portions of its staff over the past few months.But the news isn't only about VICE. We have seem many left wing and far left media brands take huge hits, collapse entirely, or get sold for extremely low evaluations in recent months.One reason this may be happening is that these companies bet on far left and social justice content, content that is too fringe for average people to understand or relate to.In a report from last year News Whip shows that right wing and conservative media has been dominating on Facebook while left wing media slowly shrinks away.
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This is an unofficial transcript meant for reference. Accuracy is not guaranteed.
In a recent filing Disney announced there. Four hundred million dollar investment into vice media is now worthless and there's some pretty bad news for vice considering in November, they laid off fifteen percent of their staff in February, another ten percent, and it was
recently announced they were going to be shuddering. Several brands vice was once considered the golden child of Digital,
with an evaluation, your five point, seven billion dollars, but it would seem that they peaked and the now in the back and the bulk of the bad news and Digital doesn't just affect vice. However,
we ve seen many digital brands. Either collapse war we sold for a fraction of their true value and there's a lot of reasons for this. Many people might speculator. These companies are trying too hard to pander to a political faction, but is another very important point
We brought up and it's that advertising space online is being taken over entirely by Facebook and Google and through this
you wobbly their shutting out brands. They don't like and changes to the
algorithm negatively impact these big companies and the sad truth is. It will affect us on Youtube as well today,
take a look at the initial reports about vice and their investment, and some other news involving digital media and the ad market duopoly before
started make sure you follow me over on mines at minds, dot, com, slashed him guest months. A pretty good platform is a great back up because their money,
less likely to censor you. If you have a controversial thought or opinion and we're
being these big tech monopolies do pretty bad things, so it's always important to be on a platform that respects free speech. Like minds does a moment a break, a hundred thousand
A thousand subscribers with your help so again minds outcome, slashed him cast and if you want to support this video,
share and on social media and hit that life, one from Vocs Disney put more than four
hundred million dollars into vice. Now it says that investment is worthless and now familiar story, investor say they overvalued. A high
lying digital publisher, the story says that Disney made the biggest backed by putting more than four hundred million dollars into the swashbuckling digital publisher. Now Disney
as all of the money put into vice, has been incinerated and investor filings ones.
A business that it no longer thinks it will ever get any return on the investment made in vice a company that at one point, was supposedly worth five point: seven billion dollars vice is still
worth something in some investors eyes. Last week a group of London said they put a fresh round of two hundred and fifty million dollars into the company Vocs says Disney's account
indecision is yet another example, perhaps them
stunning. One other turn about. We ve seen in digital media. Over the past few years, investors have decided that high flying publishers that once confidently explained that had created a new media paradigm are now worth very little or even less. Here's a partial role
all familiar to some of you MIKE, which raised more than sixty million dollars sold for less than five million dollars late last year, Mashable, which was valued about two hundred and fifty million dollars and twenty sixteen sold for less than fifty million in twenty seventeen, the properties formerly known as Gawker media, plus the onion and other sites, just soul for a price as likely well below fifty million dollars innovation. The tv conglomerate, which saw them off had paid one hundred,
thirty five million dollars for the got recites alone in twenty sixteen and then rather interesting. Lee Vocs media recognizes that they too are subject to these same rules, saying we don't know the value that Comcast, which put a collective six hundred million dollars into vocs media and Buzzfeed over the past few years now thinks those two publishers are worth, but it's a reasonable bet that Comcast thinks they are worth less than thought in twenty fifteen vocs makes an interesting reference to the Facebook and Google do opposite over. Add revenue on digital media and will come to that later, but they do make another really interesting point. It would seem that Disney's loss exceeds the amount of money it actually put into vice. They say Disney declined to comment, but one bit of language in Disney's quarterly filing Wednesday is telling Disney describes the three hundred fifty three million dollar impairment charge. It took on vice as a right off which an accounting
big means there is nothing left to get rid of. After this it's all gone. They say if you ve been doing the math you'll note that three hundred and fifty three million dollars, plus a hundred and fifty seven million, is five hundred and ten million dollars. Well, more than four hundred million dollars Disney invested directly invites they add. Since Disney won't comment, we will assume that the additional sum includes vice investments that Disney owned through any the tv programmer that Disney owns along
Hearst, which also backed vice, as well as seventy million dollars, that twenty first century sunken device that ownership stake transferred to Disney earlier this year when Disney bought a good chunk of the Fox empire. So it's not just the money that Disney put advice, its fox as well, and also any Disney
eating a massive half a billion dollar loss over vice media, and I gotta say a lot of
who know the digital space we saw. This coming in fact shape
Psmith himself said several years ago there was going to be a bloodbath in digital media. He wasn't hiding the fact that digital media was going to get hurt by changes in the media landscape that these companies they wanted in, and it was a mistake
Now, for those of you that dont know I used to work advice, I was in fact the founding member a vice news and at the time when I joined we saw vice skyrocketing, it seemed like it would never end. But those of us who are smart enough knew at some point. Things would have to turn around and it's been a string
bad news for vice over these past several months. This story in the Wall Street Journal back in November vice media to shrink workforce by as much as fifteen percent as growth stalls. We then saw in February vice media to reorganise and lay off ten percent of its staff, and then, just three days ago, the Vice Union tweeted that broadly tonic and way point no
longer exist. They have been folded into vice those three brands operated as independent vertical. Basically there.
Websites that exist underneath vice dot com. You could go to weigh point and see nothing but way. Point content, but now there being shuddered devising and is asking vice to keep the brands alive, advice that come with a basically means is you can't go to those sites anymore, they're gone? They will prob
we lay staff off, but someone will still be writing gaming content or feminist content under those names. Essentially, if vice dot com is gonna, write, something that's about video games, they'll just tag way point on it, but at the end of the day the vertical is gone. Now, let's talk about why these companies are collapsing, it's entirely possible that the digital media, landscape doesnt support this kind of venture. But I don't think that's true. In fact, I think the thing is these companies bet on fringe. Politics
that don't work that people do not like, and I have no idea why. But we can go into my experience of these companies and a second first, this report from news with it, shows tat
publishers from left to right in twenty eighteen. We can see that the daily wire got a hundred and thirty two million engagements and for the left, the route only got twenty five million engagements. What this says to me is that digital content, when its concern,
does absolutely fine. Although we do see many of these platforms censoring mostly conservatives. We also see that the left, while they aren't centred nearly as much they don't even get close to the engagement, only twenty five million for their top public.
But in a separate section from news organisations, there's an interesting phenomenon, Fox NEWS with ninety nine million engagements and occupied Democrats. Just after with ninety five
This means that conservatives get their news from legitimate new sources, I'll be a partisan one and the left is getting their news from make conspiracy. Theory click bake mean page which are not really understand. Something is happening, and I've got this data quite a bit in this chart from news. What we can see right wing was left being published
total interactions and the right just gets way more interactions than the left. Does. I'm gonna have to bet that these companies, too,
I did to run on a left wing message for some reason and it's something that people don't understand or relate to it's not so much about being conservative, but it's about there being no middle ground. I have often said- and I have made many many videos pointing out that the left just keeps going
further and further left and the right only move slightly to the right. So what I see happening as people like me, who are kind of moderate, left, leaning, we look to the left and with you know, we see this fringe insanity. What are they doing and what are they talking about? Well, it's likely because these are young people fresh out of college, who learned a bunch of progressive social justice ideas and they bring them into these companies. As these companies look to hire cheaper staff for the rest of us in this country, who believe in more moderate policy, which is basically the majority of the country,
according to gallop. We look at the left and think that's knots and when you look at the right, it's only slightly more right than it's ever been. So when I see the daily wire- and I look at their stories- I say yeah- I disagree with their perspective in their politics, but that's not incorrect, then I look at these other media outlets, Vocs Vice Buzzfeed, etc, and, unlike that's just play
in wrong or their pushing some weird nonsensical anti science position. Don't get me wrong, they are concerned
those who anti sites do it's not unique to the left, but there
the main stream right there. Certainly
are some mainstream right people, but the left is overtly anti science denying biological sex. It's the weirdest thing. So, what's a moderate to do, I'm certainly not going to read these weird fringe websites, and thus they do bad. I dont think politics is the sole reason
But looking at the data, who are you going to Red Fox NEWS or occupied Democrats, I'm not gonna go to occupy Democrats for my news now. I'd rather go to Fox NEWS, its partisan. I disagree with their opinions, but at least I know it's real reporting
And this, in my opinion, is why many of these companies are failing, but there is another really important aspect of the story is that Facebook and Google own the space if Google wants to they can t rank my videos which they do and then my videos are gone and you'll never see them. People can vanish. Google has
retorted ban people, as has Facebook. If they control the ad space they
decide vice you're worthless today and that basically, what happens? Facebook changed their algorithm to de rank news from publishers and promote content from friends and family, and all of these companies took a massive hit to their revenue, because there are getting less views. This led the lay offs. We cannot have tech giants controlling everything, I'm not familiar with a market, also take it with a grain of salt, but this is typically true. We can see this data here that in twenty eighteen Google had forty percent of advertising revenue. Facebook had twenty two percent instagram of about five by twenty twenty one. They expect good
to be a thirty six and Facebook to be at twenty eight facebook in global control, the majority of digital advertising revenue- and there are a million and one reasons why this is nightmarish and dangerous. The people who run Facebook and Google have political opinions. They place those political opinions into how the system functions they choose who to ban and why to ban them. They set the rules. Something interesting happens in this story from the Texas trip.
Taxes is proposing a bill that will allow states to sue social media companies like Facebook over free speech see what happened was Republicans in Texas wanted to run an advertisement that was pro life. Facebook decided they weren't allowed to do that? That's on overtly political decision now they claim
it had to do with spam. However, texts Republicans had a similar, add four different subjects that were considered to be fine, so why this one particular advertisement, while the type of Republicans feel it was a political choice. If Facebook and Google control add revenue and they control the attention market, the majority of it, they can shut up political ideas, they don't like and that's bad for everybody sure it's negatively impacting Republicans now, but it will certainly come for the left. Don't think your immune to this and don't let them have his power but to bring everything back to the initial story. We can see that these companies who push
left wing politics. Just don't do that well, on Facebook and right wing publishers do way way better. We need only look at this chart one more time and I've shown this several times, but look at this the daily. Why? With a hundred and thirty two million engagements and the route with only twenty five, it stands to reason. The left has gone off the rails. They ve gone too far, left
so it's unreliable. The right is kind of in the same place, so at least moderates can kind of relate to it and are more likely to read it
EL first hand from working advice and fusion, which is not held, splinter news that this push it didn't work. It's
one of the reasons I left fusion, they thought if they went full, woke they'd make money, but in fact they got woke and went broke and the data show
The same is true for vice for MIKE etc, but limitation.
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Transcript generated on 2020-05-04.