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Will recession bring the end of free TV?
The Washington Times ^ | December 30, 2009 | Andrew Vanacore

Posted on 12/30/2009 3:37:51 AM PST by mmanager

NEW YORK | For more than 60 years, TV stations have broadcast news, sports and entertainment for free and made their money by showing commercials. That might not work much longer.

The business model is unraveling at ABC, CBS, NBC and Fox and the local stations that carry the networks' programming. Cable TV and the Web have fractured the audience for free TV and siphoned its ad dollars. The recession has squeezed advertising further, forcing broadcasters to accelerate their push for new revenue to pay for programming.

That shift will play out in living rooms across the country. The changes could mean higher cable- or satellite-TV bills, as the networks and local stations squeeze more fees from pay-TV providers such as Comcast and DirecTV for the right to show broadcast-TV channels in their lineups.

(Excerpt) Read more at washingtontimes.com ...


TOPICS: Business/Economy; Culture/Society; Miscellaneous; News/Current Events
KEYWORDS: mediadeath; reporting; tv
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Title should read: "Will poor programming and reporting end free TV?"
1 posted on 12/30/2009 3:37:53 AM PST by mmanager
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To: mmanager

That would not be good. I don’t think that I am alone in saying that hubby and I have never watched a pay-per-view anything. I can watch most of what I want over the internet, too.

If the cost to me of TV goes up, it goes out. I won’t pay it.


2 posted on 12/30/2009 3:40:41 AM PST by Jemian (I believe there's a hell, but I didn't know it was down the street with a dome on it." Abe Lincoln)
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To: Jemian

Fox and Local Cable co, (Time Warner) are in battle right now - because Fox (so TWC claims) wants increase of 300% in payment from TWC for the privilege of carrying (certain) Fox Channels on local cable.

TWC says negotiations are ongoing but that if Fox doesn’t give in to a lesser charge for their services, then either the TWC charges will have to zoom upward or they will have to drop Fox.


3 posted on 12/30/2009 3:48:02 AM PST by Freedom'sWorthIt (Ronald Reagan: If we ever forget that we're one nation under God,then we'll be a nation gone under.")
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To: mmanager

Can’t see Congress critters sitting still while their constituents to have to pay for television access. Expect more federal mandates if this debate gains momentum.


4 posted on 12/30/2009 3:49:03 AM PST by Bratch
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To: mmanager

They’re losing business and their response is to raise costs? They sound like some state legislatures!


5 posted on 12/30/2009 3:52:10 AM PST by Man50D (Fair Tax, you earn it, you keep it! www.FairTaxNation.com)
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To: Freedom'sWorthIt

Fox News is available over the internet and House is, as well.

As I said, if the cost to me goes up, I’ll cancel.

Today I just cancelled my cell phone because I didn’t think it was worth all the hidden charges and fees that Verizon sticks on. Too expensive for the product given.


6 posted on 12/30/2009 3:54:59 AM PST by Jemian (I believe there's a hell, but I didn't know it was down the street with a dome on it." Abe Lincoln)
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To: mmanager

I hope so. What with the Unions messing up programming I lost interest in many programs due to forced hiatus which lasted an entire season.

I understand the unions point of view and the company point of view but, they were both short sighted as to effect it would have on viewership.

I no longer watch most TV and now consider myself a drive by viewer.

They are competing with the internet and other important life things like well... paying attention to other people in the room.

So a positive social impact but they are paying for their avarice.


7 posted on 12/30/2009 3:57:56 AM PST by Vendome (Don't take life so seriously... You'll never live through it.)
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To: mmanager

If broadcast TV dies, I can see Internet access fees skyrocketing as well. Since most television programs are available online for free, television producers will have to find a way to tap that, or block access.


8 posted on 12/30/2009 3:58:57 AM PST by FlyVet
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To: mmanager

The real problem is to many cable channels. The viewership has been divided up in to too many unsustainable networks.
Let the free market forces fall where they may.


9 posted on 12/30/2009 4:00:28 AM PST by 1776 Reborn
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To: Jemian

Should switch to Sprint. They have some of the best flat rate programs around.

I am on the all you can eat program for $99 a month. That’s calling and receiving calls from anyone in America, Surfing, texting, GPS, etc.

Whatever you can do on a Cell Phone I pay on fee.

Trust me. I use the heck out of it.


10 posted on 12/30/2009 4:00:58 AM PST by Vendome (Don't take life so seriously... You'll never live through it.)
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To: Vendome

I will keep that in mind. Right now, I’m happy without the bother.


11 posted on 12/30/2009 4:09:02 AM PST by Jemian (I believe there's a hell, but I didn't know it was down the street with a dome on it." Abe Lincoln)
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To: Vendome
They are competing with the internet and other important life things like well... paying attention to other people in the room.

LOL

12 posted on 12/30/2009 4:12:11 AM PST by Claud
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To: Man50D; mmanager
My sister works in advertising, and the article is pretty correct.

Air TV is paid for by ads. But most people either are watching cable or the internet. The ad bus is dying a quick and messy death as a result.

No ads, no one paying for free TV. So for that service to exist, someone has to pay for it.

The internet is going the same way. The ad revenue is not near what it was for the old media, and many of the big news and entertainment companies are bleeding money all over the place. They are putting a lot of pressure on world governments to massively restrict free access to the internet.

In short, a lot of huge companies are in trouble, and they are looking for ways to increase cash flow. They also have the ear of the current government.

13 posted on 12/30/2009 4:17:54 AM PST by redgolum ("God is dead" -- Nietzsche. "Nietzsche is dead" -- God.)
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To: mmanager
Oh no ... Big Brother Government please save me! Bad ol' economic competition is going to take away my 'free' television!

(As if the time I spent viewing commercials had zero value - which would mean my personal time has zero value.)

14 posted on 12/30/2009 4:26:09 AM PST by The Duke (Duncan Hunter = Ronald Reagan on steroids!)
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To: Bratch

***Expect more federal mandates if this debate gains momentum***

Exactly.

Zero will have federal $$$ available for his followers so they can keep their TVs...

how else can he communicate with them other than the MSM?


15 posted on 12/30/2009 4:32:12 AM PST by Mrs.Z
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To: redgolum
My sister works in advertising, and the article is pretty correct.

I'm not disputing the accuracy of the article. I'm referring to the laws of diminishing returns. There is a point at which the production of a given unit of a product or service realizes a decreasing profit margin. This principle is exacerbated with an unemployment rate over 10% as we have today. TV stations will be cutting their own financial throats if they raise the rates any higher.
16 posted on 12/30/2009 4:32:50 AM PST by Man50D (Fair Tax, you earn it, you keep it! www.FairTaxNation.com)
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To: mmanager

Will recession bring the end of free TV?<

What recession?? I thought we were in a jobless recovery!


17 posted on 12/30/2009 4:36:02 AM PST by timetostand (And a Hap Hap Happy New year !)
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To: mmanager

The change to hi-def has already ended free tv. I ended up having to get cable after the poor power of antenna transmissions ended me getting tv reception even with the vaunted “converter” boxes.


18 posted on 12/30/2009 4:40:21 AM PST by GreyFriar (Spearhead - 3rd Armored Division 75-78 & 83-87)
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To: Jemian

That is why I use a cell phone that I can add minutes to when I need them. Of course, I rarely use it, unlike those hundreds of people I see everyday who have it as an extention of their ear.


19 posted on 12/30/2009 4:42:55 AM PST by GreyFriar (Spearhead - 3rd Armored Division 75-78 & 83-87)
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To: GreyFriar

Sorry to hear that. I have two digital flat panel tv’s connected to an amplified antenna. Great picture and local channels free. So far I have been able to keep off of the cable.


20 posted on 12/30/2009 4:48:56 AM PST by pappyone (New to Freep, still working a tag line.)
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