A newsletter stated in 2022: Roku's Anthony Wood is channeling John Malone. The Wall Street Journal reported (see attachment) today that Roku had joined forces with private equity firm Apollo to bid for 20% of Lionsgate's Starz channel and streaming service, which Lionsgate has talked about spinning off as a separate company.

This move is a little reminiscent of a strategy Malone's cable giant, Tele-Communications Inc., employed in the 1990s to diversify out of distribution by taking a stake in cable channels. It turned out to be a hugely profitable move, as programming proved to be where all the value was in cable. (TCI's portfolio of cable channel investments became Liberty Media, still a force in the broader media world long after a rival absorbed TCI.)

Why do you think, or disagree, with the proposition that the value (profits) is in programming, rather than distribution? Explain.