Broadcast Television: Survivor in a Sea of Competition
Jonathan Levy, Marcelino Ford-Livene, Anne Levine, September 2002
The television broadcast industry has entered the new millennium in good shape, but with many challenges on the horizon. Although the past decade has seen a continuing erosion of broadcast audience and advertising shares, television advertising prices and revenues have continued to grow. DBS and the expansion in cable availability and channel capacity have created an increasingly competitive environment for television broadcasting. This will lead to continuing audience fragmentation and further pressure on broadcast advertising revenues. The increasing competition for program production resources has led to an increase in production costs. The future profitability of the broadcast industry will depend on how it responds to competition and cost pressures, and on whether it can harness new technologies such as DTV and interactive services to its benefit.
