Television Broadcasting

Television Broadcasting
Brief Excerpt from Industry Overview Chapter:

Companies in this industry broadcast television programs to the public. The major US broadcast TV networks, often referred to as the Big Four, are ABC, CBS, Fox, and NBC; leading companies based outside the US include the BBC (UK), Japan Broadcasting Corporation, RTL Group (Luxembourg), and ProSiebenSat1 Media (Germany).

COMPETITIVE LANDSCAPE

Advertising spending, program popularity, and consumer demographics drive demand. The profitability of individual companies depends on programming mix and efficient operations. Large companies have advantages of economies of scale in production and distribution. Small companies can compete effectively with special programming that attracts a targeted audience. The US industry is highly concentrated: the top 50 companies account for more than 90% of revenue.

PRODUCTS, OPERATIONS & TECHNOLOGY

Advertising for television broadcasting accounts for 50% of the industry revenue, followed by national and regional advertising for about 30%. Other revenue sources include network compensation (10%), local advertising (10%), and all other products and services as well as licensing of rights to exhibit, broadcast, or rent audiovisual works.