Warner-Amex Satellite Entertainment
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|Fate||Sold to |
|Defunct||July 18, 1984|
Warner-Amex Satellite Entertainment Company was a
Despite its technological innovation and vision, the creation of the QUBE and its relative financial failure meant that Warner Communications needed outside capital to expand beyond Columbus, Ohio. Additionally, Warner leader
Seeing the potential in the creation of new cable networks, Warner Cable divested QUBE's biggest brands, Star Channel and Pinwheel, into nationwide outlets. Star Channel began by satellite in January 1979 and was renamed The Movie Channel by the end of the year. Pinwheel became Nickelodeon in April 1979.
In 1980, Warner-Amex formed a joint venture with
Lack had worked in sales at CBS Radio (in fact, it was he who suggested Schneider to Warner chief Ross) and had an idea of cable programming as a series of special-interest 'channels.' A devotee of popular music, he developed a half-hour show named Pop Clips at Nickelodeon with musician
In 1983, concerned by the strategic and financial failure of its pay-TV venture The Movie Channel (started to reap the benefits Time Inc. was having with
Meanwhile, WASECO operating partner Warner Communications experienced financial upheaval, including the reversal of fortunes at innovator Atari, and legal questions about business dealings of Ross and his senior lieutenants. In an effort to maximize the good news, Warner Communications decided to spin off Nickelodeon and the rapidly growing phenomenon MTV as a public company (MTV Networks). Jack Schneider also left WASECO, being replaced by senior Warner executive David Horowitz (who oversaw Warner Communications' half of the WASEC joint venture).
A year later, American Express sold their stake in Warner-Amex Cable to Warner Communications, which renamed the company Warner Cable.
In 1985, Warner sold its interest in
During this period, Warner Cable reorganized itself by dividing the company in half (a "metro" unit that had newer wired communities and a "national" unit which comprised the older systems), selling the Dallas and Pittsburgh systems to
In 1987, Warner Communications and American Express rendered MTV Networks private, selling its assets (MTV, VH-1 and Nickelodeon) to Viacom for $685 million, ending Warner's venture into cable television until it acquired HBO and
In 2011, MTV Networks changed its name to