Tegna dispute IS OVER!

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For the Phoenix DMA, the Mercury games are split between KTVK/3 (AZ Family 3) and the AZ Family Sports channel via the newly signed on KAZF/32 in Flagstaff (KPHE-LD/44 or KTVK/3.5 for Phoenix area viewers), which their website lists as coming soon for DIRECTV.
 
Just read this, do not know if it has any impact on what is going on-

The dream of having locals as an optional add-on for people who want to save money by using an antenna to avoid the costs of locals seems to be blocked for many by the FCC.

 
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I think it'll definitely have an impact. It will likely just force DirecTV to do the same ol' negotiating they've been doing with other disputes.
Heck, when I called D* last night about the loss of WNEP (which was also the same call where I ordered their Gemini device), I was told it was "not removed (for good)", just that they were in "contract negotiations".
 
For those who didn't click, that rule about having locals in the lowest package is specifically for cable, not satellite.

For DISH it's an all or nothing thing if you want to drop locals, not for individual channels. DIRECTV originally had that ability too, and a few years back even piloted an option for Vegas and Salt Lake City where customers could drop their locals for a LCC (with the caveat that you also lost access to the TVE platforms from the networks)

Even if they somehow got Tegna to agree to it, the option to let you cherry pick which of your locals you want will probably be impossible to implement everywhere, especially since Tegna has stations in major markets that also have Big 4 O&Os who would never agree to do so anytime soon, along with markets with broadcasters who recently signed renewal deals that don't include that clause like Nexstar.

Not to mention the average customer who knows nothing about retransmission consent vs free must carry status won't understand why they wouldn't save anything if they just opt to drop locals that show nothing but shopping, religious, infomercials or ethnic programming. Heck, just look at all the comments over the years made by people who think they are paying for the P/I, religious, shopping and infomercial channels when in reality it's the other way around.
 
Just read this, do not know if it has any impact on what is going on-

The dream of having locals as an optional add-on for people who want to save money by using an antenna to avoid the costs of locals seems to be blocked for many by the FCC.

DTV isn't blocked by this law/rule. They can do this but it hasn't been broadly done because people would have said no way previously. At this point though, it's easier for people to use antennas and all the streaming services make it easier to not even need an antenna to watch. Sports are the only issue right now with not all of the big 4 offering them in a streaming service.

  • DTV is now pushing for this because they know a lot of their customers would immediately say no to the fees and drop their bill.
  • Tenga doesn't want it as they know they will have to lower their fees. Would you pay $5-10/mth for 1 station? I bet most people would rather just pay that to a streaming service and get all the content they have and be able to watch any time they want.
Tenga is either going to have to keep their existing fees or possibly even lower them or they won't get any revenue from DTV. How many of these stations will stay afloat without this revenue? How many customers will DTV lose over this?

The answers will determine how long this lasts and who wins. I prefer to have them on DTV or a hardware option to be able to record sports. I can live with OTA if I have to and watch most of the shows from other services. I don't want a higher bill though.


I think it'll definitely have an impact. It will likely just force DirecTV to do the same ol' negotiating they've been doing with other disputes.
Heck, when I called D* last night about the loss of WNEP (which was also the same call where I ordered their Gemini device), I was told it was "not removed (for good)", just that they were in "contract negotiations".
A rep is never going to tell you anything else. They just read the notes put out to them with the PR spin. The negotiations will most likely stay open forever even if the channels never comeback. Tenga would just have to pick up the phone and agree to the terms. I just don't think DTV is ever going to agree to raise the bills of everyone now.
 
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Tegna knows their time of power is coming to a end ( as all of them know), so they are trying to make as much $$$ as possible, as quick as possible.

But the one thing I keep reading, is how dare they ask for per sub fees, they are a free station that gets advertising money.

What most of them is getting in Advertising Revenue is about 1/2 to 3/4 less then just 6 years ago.

This has been upended by streaming, a trend that is not going away anytime soon, they love the cheap rates it provides for slots and the ease of targeting those ads, with streaming they know how many and who are watching.

If Tegna did not have the per sub fees, they would now be unprofitable and gone.
I posted this about why Tegna is asking so much for their stations, that advertising is not enough to sustain them anymore like the old days, this story just came out backing that up-

According to a report from GroupM, who looks at ad spending in the United States, ad spending on TV will drop 5.1% in 2024 to $52.3 billion.

This has left networks to push cable TV companies to pay more to make up for the loss in ad revenue in a very soft ad market in 2023.

Ad revenue is already down and a 5% drop on top of that could be damaging for many local owners.

This all comes as advertisers have been cutting back or putting their ads in places other than on traditional TV networks.

Tegna’s revenues dropped almost 7% year-over-year due to a tough ad market.


Because of all of this look for the cost of cable TV to continue to grow to help offset these losses from a very soft ad market.


 
I posted this about why Tegna is asking so much for their stations, that advertising is not enough to sustain them anymore like the old days, this story just came out backing that up-

According to a report from GroupM, who looks at ad spending in the United States, ad spending on TV will drop 5.1% in 2024 to $52.3 billion.

This has left networks to push cable TV companies to pay more to make up for the loss in ad revenue in a very soft ad market in 2023.

Ad revenue is already down and a 5% drop on top of that could be damaging for many local owners.

This all comes as advertisers have been cutting back or putting their ads in places other than on traditional TV networks.

Tegna’s revenues dropped almost 7% year-over-year due to a tough ad market.


Because of all of this look for the cost of cable TV to continue to grow to help offset these losses from a very soft ad market.


This is where they are being stupid. They need to focus on their contracts with their network. If they increase costs to cable/satellite, then they will just push more people to streaming and OTA. They will then lose subscribers and ad revenue. The ads on streaming will then increase.

Right now, most people don't need a local channel. It's mostly useless news, except for some local stories or upcoming events, there is nothing else the station provides. Weather, traffic, news is all available on your phone or other devices. So if they don't adapt and work to get revenue from streaming (Peacock, Paramount, Disney) or put limits to block shows for an amount of days, then the stations will die.

They know they are dead, they have seen their death, but they are just trying to delay it instead of stop it from happening.

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This is where they are being stupid. They need to focus on their contracts with their network. If they increase costs to cable/satellite, then they will just push more people to streaming and OTA. They will then lose subscribers and ad revenue. The ads on streaming will then increase.
Yes.

Raise the per Channel fees will cause Providers to raise the monthly bill, then more people will leave when those providers do so.

But that is the world we live in currently, make profits now, now, now, there is no more long term planning.

We have all seen the news stories about streaming services being unprofitable, but those same stories do not mention that is completely normal, it takes time.

For example, it took DirecTV and Netflix 6 years to become profitable, Dish and Amazon 9 years, if Disney+ turns profitable in Nov/24 as planned, that would only be 5 years, that is how long term planning works.

Tegna and all of Traditional Paid Live TV have no long term planning, just make as much as possible and as long as possible.

Right now, most people don't need a local channel. It's mostly useless news, except for some local stories or upcoming events, there is nothing else the station provides. Weather, traffic, news is all available on your phone or other devices. So if they don't adapt and work to get revenue from streaming (Peacock, Paramount, Disney) or put limits to block shows for an amount of days, then the stations will die.
Local News is still needed, but you are correct, it will need a different format in the future, the question is how to monetize it.

Still gotta pays the pay the bills, how else could you produce local news.
They know they are dead, they have seen their death, but they are just trying to delay it instead of stop it from happening.
Answered above.

But no matter what, if they did not have per sub fees, they would be gone, advertising no longer pays the bills.
 
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C’mon DirecTV fix the software on my Genie 2 so I can use an LCC, then I don’t care if Tegna ever comes back. That would be a power move for you in the negotiations. Lol
If they only would have kept OTA tuners in their DVR’s……….oh well…….yeah I don’t know why the HS17 can’t support it with a software update. And we are still paying for an RSN that doesn’t exist anymore. LOL
 
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Looks like Tegna has made fun of DirecTV's "TV Promise" site by registering a domain called brokentvpromise.com, which just redirects to their existing keepmylocaltv.com domain.
 
Might not have been the brightest thing for them to do.
I still have my am 21 hook to my hr 700 . Tell the local station to go where the sun don’t shine. Watch the locals sometime but not very often. I had directv several years don’t want the streaming. Once satellite and cable tv fold you see biggest jack up fees. I have fast internet and no desire to go to streaming.
 
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Tell the local station to go where the sun don’t shine.
This bothers me, I keep reading over and over how greedy Tegna is being, yet we do not know all the facts to substantiate that.

None of us knows what the amount is the affiliates have to pay the networks.

None of us know how much it costs to produce local programming like the news.

None of us know all the other costs are in running a TV Station.

We do know that advertising money is down substantially, it has been reported as high as 75% in certain areas, because of cord cutting, strikes, lack of programming that people wish to watch, for example , Netflix just reported their ratings, certain shows are getting much higher ratings then the Networks.

Advertising is not coming back, it has largely moved to streaming because it is less expensive and the big thing Advertisers love, Targeted Ads.

None of know what Tegna is wanting in per sub fees.

None of us know what DirecTV is offering for per sub fees, but in reading these forums, it is always Tegna wants to make a profit, they are bad to want to make so much, well, does not DirecTV make a profit and do the same, does that mean DirecTV should make less profit like people want Tegna to do?

All it comes down to, without the per sub fees, Tegna would be out of business.
 
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IMHO, unless the local station has an expense in providing their signal to DIRECTV, there should be no payment for providing the signal. Before cable and DBS, and congress screwing things up, local stations got all their money form advertising. So go back to that model, and don’t charge retransmission fees.
 
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The cable companies kind of brought that on themselves. They spent the better part of the 90s running anti-satellite ads bragging how they provide locals and that viewers have to "ruin their house" by installing an antenna to get locals with DISH/DIRECTV/Primestar. It just gave NAB evidence that their carriage provided a competitive advantage when the retrans consent payment laws were being written.


If you want to see what you get from stations that mostly rely on ad revenue these days, look up the schedules of stations that have to choose free must carry status because they have no Big 4 affiliated sister stations to get their foot in the door for retrans negotiations, like WMBC/63 or WRNN/62 in NYC or WMCN/44, WTVE/51 or WBPH/60 in Philly.
 
IMHO, unless the local station has an expense in providing their signal to DIRECTV, there should be no payment for providing the signal. Before cable and DBS, and congress screwing things up, local stations got all their money form advertising. So go back to that model, and don’t charge retransmission fees.
As I posted, those days are gone, not coming back.

And when those days existed, there was no streaming, no where else to place the advertisements.

Now we have all the paid streaming services, the free services, Pluto TV, Tubi, etc, then we have other services, like CBS/ABC/NBC News and others, all offering Ad Slots less the the Networks and the local affiliates sell them for.

So Networks/Local Channels have to lower their rates, but they cannot offer targeted advertising and their ratings are shrinking.

So again, they need per sub fees and they have the right to make a profit, just like DirecTV has that same right.
 
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As I posted, those days are gone, not coming back.

And when those days existed, there was no streaming, no where else to place the advertisements.

Now we have all the paid streaming services, the free services, Pluto TV, Tubi, etc, then we have other services, like CBS/ABC/NBC News and others, all offering Ad Slots less the the Networks and the local affiliates sell them for.

So Networks/Local Channels have to lower their rates, but they cannot offer targeted advertising and their ratings are shrinking.

So again, they need per sub fees and they have the right to make a profit, just like DirecTV has that same right.
They have a right to make a profit, yes. They also have a right to go out of business if they can’t adjust to changes in the market. Maybe there needs to be a major change in how the entertainment business works, starting all the way at the top. Stop paying millions of dollars to the stars of shows, there are plenty of good actors out there that can do a good job, just need a break. Stop paying millions of dollars to sports players, especially when they are still going to make their millions even if they don’t perform. Stop paying millions of dollars to the executives that green light spending hundreds of millions of dollars on a movie or series for a streaming service that isn’t making money.
 
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