Hall of Fame HONOREES

Cable World,  Nov 3, 2003  

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Sie almost single-handedly changed U.S. policy on digital transmission standards by convincing Washington regulators in 1987 to ditch the Japanese analog HD standard in favor of a digital transition that continues today. He is again trying to convince regulators that some of the decisions that have been made as they relate to the transition to HD need tweaking.

Sie got into the cable business when John Malone, who was president of Jerrold Electronics at the time, hired him as head of terminal products and services in 1972. Sie went to Showtime in 1978. It was difficult to get the MSOs to carry to Showtime since most had already cut deals with HBO; at the time, operators were choosing between one or the other. But that would change when Wometco Cable in Thibodaux, La., allowed HBO and Showtime to duke it out in its market - whoever got the most subscribers during a marketing and sales test, got the contract. The test showed that a significant number of customers actually wanted both, and the idea of multipay was born.

Sie joined his old boss Malone again in 1984 as SVP in charge of strategic affairs for TCI. And when TCI's deal to buy 50% of Showtime foundered in 1989, he saw an opportunity to create a discounted premium movie service.

"I actually started it on a dare," he says. "I wanted to do it, and John said I'd never be able to get product, and I said, 'If I can get three studios to give me enough product for three years, would you back it?' and he said, 'Sure.' So that's what I did."

Encore was born in 1991 with TCI's blessing, backing and support. Today, the company is one of Liberty Media's most successful assets.

John Hendricks

John Hendricks had no idea how the cable industry worked, but that didn't stop him from wanting to start a cable network dedicated to documentaries and educational programming.

With the backing of Advance Newhouse, TCI and Cox, Hendricks' Discovery Networks has become one of the most successful cable network groups in the industry's history.

Still, it hasn't been easy. "You've never lived until you are two weeks from bankruptcy," he told the crowd during the Cable Center's Hall of Fame dinner.

But the cable operators who invested in Hendricks and his vision 20 years ago are pleased with the results. Liberty Media chairman John Malone has said in the past that if there is one asset he doubts he'll ever part with, it's Discovery.

Hendricks was so forward thinking, some of his business ideas are just now coming to fruition, says Advance Newhouse chairman Bob Miron. Several years ago, Hendricks developed YCTV (Your Choice TV) which allowed viewers to choose to watch a variety of shows that had already been telecast for a small fee. Video-on-demand was born. The business was ahead of its time, unfortunately, and eventually folded. But the idea never did and now VOD is one the industry's biggest potential revenue generators and value-added products.

Hendricks has lobbied hard over the years to make sure other entrepreneurs like himself continue to have the kind of environment that made it possible for him to succeed.