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Cox sells majority TV interest to Apollo


The Frog

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That's who I was thinking of. I knew there were couple of others but I forgot about the others

When Gray merges with Raycom, they'll get WALB, their original flagship built and signed on by the company, back in the fold.

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I just thought about something as I was watching WTVF while I'm at work, you want to know one reason why Scripps is a good fit for stations like WSB or WFTV?

 

The graphics.

.

 

Is that Ramona's "13" Brockman?

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Then that would be an expensive adaption for Scripps.

Scripps is still a Viz/Chyron hybrid anyways. There are still a few legacy stations on Chyron (KGTV, KERO, and WKBW are still Chyron, I think there's one more?)

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Scripps is still a Viz/Chyron hybrid anyways. There are still a few legacy stations on Chyron (KGTV, KERO, and WKBW are still Chyron, I think there's one more?)

 

Point being is that Scripps is converting everyone to Viz. Do you think they'd want to invest heavily in converting all of the Cox stations that way as well?

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Point being is that Scripps is converting everyone to Viz. Do you think they'd want to invest heavily in converting all of the Cox stations that way as well?

 

They'd have to invest heavily in converting the stations to their way of doing things anyways. Most groups are heavily standardized across the board, down to the model of phone at each desk. Adding a couple hundred grand of graphics equipment to the list would be a drop in the bucket, especially when you consider how much they'd be spending on buying the group itself.

 

Decoupling the stations from the Cox IT systems would be more time consuming and costly than converting to Viz.

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They'd have to invest heavily in converting the stations to their way of doing things anyways. Most groups are heavily standardized across the board, down to the model of phone at each desk. Adding a couple hundred grand of graphics equipment to the list would be a drop in the bucket, especially when you consider how much they'd be spending on buying the group itself.

 

Decoupling the stations from the Cox IT systems would be more time consuming and costly than converting to Viz.

 

Thaaaaaat's not worth the investment.

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Decoupling the stations from the Cox IT systems would be more time consuming and costly than converting to Viz.

 

To put that in perspective, Nexstar was up until recently converting the former Media General stations over to the Nexstar domain.

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oh boy... this is exactly what the big wigs in the board room are talking about right now... chyrons...

 

scripps had to buy the journal stations new viz boxes... to bring them in line with the viz boxes they were buying converting their legacy stations to viz... because the journal viz equipment was so old...

 

scripps bought a station group using a different graphics system... and then needed to pay to convert or upgrade almost every one of their old and new stations... except for those few hold outs with new chyron gear that was not written off the books yet...

 

this is how tv works, friends... hell... it's how business works... you think Apple is going to pass on buying a startup tech company because they use PCs???

 

:rolleyes:

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Scripps is still a Viz/Chyron hybrid anyways. There are still a few legacy stations on Chyron (KGTV, KERO, and WKBW are still Chyron, I think there's one more?)

And isn’t KB the only station out of the group with an outsourced master control (dating back to the latter days under Granite)?

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To put that in perspective, Nexstar was up until recently converting the former Media General stations over to the Nexstar domain.

 

Weren't there way more Media General stations than Cox TV stations?

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Weren't there way more Media General stations than Cox TV stations?

Yes, my point was that stuff takes time, and likely no one on this board will think about stuff like that unless they already work in I.T.

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  • 3 months later...
Harry Jessell poses the question so many of us at TVNT have asked.....Why doesn't ABC buy some more stations? In this case, WSB, WSOC and WFTV.....

https://tvnewscheck.com/article/top-news/225660/just-much-disney-care-abc/

 

The problem with that logic and Jessell even unintentionally answered his own question in that article is that Disney doesn't care about ABC or the stations, they just sign the checks. The reason the ABC O&Os themselves remain dominant even with little corporate support has to do with their management and their people, literally, nobody ever leaves an ABC O&O station. People will go there and stay there for decades. Since the people have longevity, they have the viewer's trust, which contributes to the higher ratings.

 

We've said it once and we will keep saying it a thousand times over, Disney is NOT buying anymore stations. Broadcasting is a dying industry, look at the Cox sale/merger as evidence to that.

 

If anything, I'd be more concerned that the ABC O&Os aren't sold themselves eventually. Disney may hold onto WABC, KABC, WLS, WPVI since they are in the Top 4 markets, but consider the rest of them to be bait for private equity companies or one of the handful of broadcasters that are left. The future of their dominance owned by Disney is in doubt, not because Disney is looking to exit, that remains to be seen, but because Disney doesn't care.

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I'm convinced that Disney is in on ABC until the bitter end. Selling it would probably be beneficial for both Disney and ABC but they run the risk of someone doing a better job with it and the resulting deluge of articles in the trades about how bad Disney was for the network.

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Look, what concerns Disney more? Revenue from TV O&Os or box office from the Star Wars, Marvel Cinematic Universe and Pixar franchises? Buying more TV stations isn't necessary when applied to the overall picture, Disney thinks in a totally different manner than most companies do, Sinclair included.

 

ABC exists as a content delivery source for Disney-owned product. The O&Os are what they are, and have been owned by the company (either through ABC or CapCities) for decades. They aren't going to sell those stations until they no longer can be sustainable, and at this point, it will be when linear television ceases to exist altogether. Of course ABC is going to remain in the mouse's hands, and so will the O&Os, but they aren't interested in growing or shrinking either part.

 

That Harry Jessell can't figure any of this out is rather shocking and stupefying on his part.

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Not just box office - all that licensing money too! Plus being able to stick those characters in their theme parks, keep those movies in rotation on cable TV for years to come...

 

ABC is a content delivery source for Disney product but also a mushy apple within the company as a whole.

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Not just box office - all that licensing money too! Plus being able to stick those characters in their theme parks, keep those movies in rotation on cable TV for years to come...

 

ABC is a content delivery source for Disney product but also a mushy apple within the company as a whole.

Does ABC insist on reverse compensation for their affiliates like CBS/CW does?

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The money that Disney could use to buy more television stations can be used on that or movies/the parks/other ventures. Television isn't exactly making Disney money. What do you think they'd spend the money on?

 

When was the last time the chain expanded? 1995. In fact, the only reason they bought the stations they did (WTVG, WJRT) was to have an insurance policy in Detroit and Cleveland should Scripps decide to flip their longstanding affiliates (WEWS and WXYZ) to CBS. Long story short: they didn't. WJRT and WTVG were both gone by 2010.

 

It's the same reason NBC bought Outlet in 1995. As an insurance policy in Boston whenever Ansin played hardball. They initially wanted WJAR, but Outlet threw in WCMH/WWHO and WNCN to sweeten the deal. At the time, neither was truly interested in expansion. NBC had just spent millions getting WCAU from CBS and wasn't exactly in the mood to expand their chain to midsize and small-midsize markets, or operating a low-rated WB affiliate (WWHO).

 

The networks only expand their station groups when it is in their interest to do so. Disney is not interested in expansion. If they wanted to, they'd have expanded already. This guy needs to stop beating a dead horse.

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Television isn't exactly making Disney money. What do you think they'd spend the money on?

 

If you have some time, I suggest you Google Disney’s annual report for 2017, and wade through it to find the figures for media networks and broadcasting. In 2017, Disney media networks made nearly 7 Billion dollars in profit on revenues of 23 Billion. That’s about a 30% profit ratio. And while it was down 11% from 2016 (which was a gargantuan election year), it is still twice the bottom line profit of the theme parks. The television station group profit accounted for 1.2 Billion of that.

 

So, how is it television isn’t making Disney money?

 

The fact that Disney isn’t buying more stations doesn’t mean they don’t care about television. It means, as a company, diversification is paying off enormously well. The stations are doing their part, and there are other things the company wants to do as well. And there are plenty of examples in the industry of broadcast groups that expanded for the hell of it, and wound up killing a good thing. Often, NOT expanding is the most profitable decision.

 

One final thought:

Disney is not a television broadcasting company like Tegna or Sinclair.

Disney is not a media company like Hearst or Cox.

Disney is an entertainment company, where broadcasting is one of its business groups, and not its only enterprise.

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