Even as Sinclair Aims to Be a Bigger Broadcaster, It’s Building a New Streaming Service Called…

Big news: Sinclair Broadcasting Group is taking content (news, etc.) from 190 local stations across 80+ markets to launch a national OTT service.

Quote from Christopher Ripley– CEO @ Sinclair Broadcasting Group:
“There will be no broadcasting business in short order…it will all mesh together.”

Interesting: The service will be delivered primarily via OTT, but they will also sign carriage agreements with pay-TV providers (Comcast, etc.) for additional distribution.

Local + National: Stitching together a national OTT offering allows a local broadcaster like Sinclair to also sell national advertising to big brands and move beyond the $5.3B in local digital video spend.

Flashback #1: TV Advertising Has A Marketing Problem

Local video ad spend in 2022 (% of total):
1) Television: $29.8B (80%)
2) Digital: $5.3B (14%)
3) Other: $2.0B (6%)

Flashback #2: Pew Research Center: Local TV News Fact Sheet

Local broadcast station revenue by year (TV only):
1) 2010 — $19.4b
2) 2011 — $17.9b
3) 2012 — $20.3b
4) 2013 — $18.4b
5) 2014 — $20.0b
6) 2015 — $18.5b
7) 2016 — $20.6b
8) 2017 — $19.8b*
9) 2018 — $21.1b*

Flashback #3: Charter Spectrum plans to report local TV news, 24 hours a day, in Los Angeles

More #1: Is Broadcast TV’s Future Over-The-Top?

More #2: Local Broadcasters Prepare to Face Very Different Future

More #3: Nielsen Expands Total Audience To Local TV

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