Friday, April 14, 2006

Affiliates Benefit from Fox's Media Deal

Television stations are grappling with the effects of the availability of current TV shows online. The relationships between broadcast networks and their affiliates are strained, to say the least.

But Rupert Murdoch's Fox TV is attempting to heal the wounds. Fox Television has signed a deal permitting 150 affiliates to share in revenue generated from online downloads. Industry analysts claim this example could serve as the business model for other television networks.

The agreement by Fox would allow stations to get a portion of the extra revenues for up to a year after they air a program. The exact percentage isn't known.

It's a big win for affiliates, letting them be able to participate in revenues from reruns shown on platforms other than the stations.

Other industry analysts view Rupert Murdoch's News Corp as one of the most aggressive media companies on the Internet.

Stay tuned. There's bound to be ripple effect to this financial change.


1 comment:

Anonymous said...

Isn't the station a delivery method, separate from the content itself? Why would a station get revenue from the content being delivered in a way other than their station?

It's a changing world and corporate stations should change with it, not change to rules to keep everyone happy.

Just my opinion though.

MMF