The Death Throes of Free TV
Television networks have been feeling the pinch of declining ad revenues for years, but the recession may have been the last straw for the traditional free-TV broadcast model. Cable companies had a buffer during the downturn -- subscriber fees -- and the content producers want a piece of that action.
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, as well as 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. .......................
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