{"id":121024,"date":"2024-11-02T01:19:45","date_gmt":"2024-11-01T18:19:45","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=121024"},"modified":"2024-11-02T01:19:45","modified_gmt":"2024-11-01T18:19:45","slug":"can-comcast-save-cable-tv-with-a-channel-rollup-company","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=121024","title":{"rendered":"Can Comcast Save Cable TV With a Channel Rollup Company?"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\t<a href=\"https:\/\/www.hollywoodreporter.com\/t\/comcast\/\" id=\"auto-tag_comcast_1\" data-tag=\"comcast\">Comcast<\/a> Corp. opened its latest earnings call with a surprise announcement: The Brian Roberts-run media giant was weighing whether to spin out its cable TV channels into a separate \u201cwell-capitalized company\u201d that \u201cwould position them to take advantage of opportunities in the changing media landscape.\u201d<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tWas Comcast testing the waters? Sure. Comcast president Mike Cavanagh <a href=\"https:\/\/www.hollywoodreporter.com\/business\/business-news\/comcast-spin-off-cable-channels-streaming-partner-peacock-1236049904\/\">made it clear<\/a> that the company was just beginning to look into the idea, and was far from making a formal decision.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tBut one thing became clear: Wall Street seemed to like it. Comcast shares surged when the market opened, and closed up 4 percent on an otherwise down day for Wall Street. And Comcast\u2019s news seemed to make waves across the entire industry, with Warner Bros. Discovery shares also surging, and Disney and Paramount also inching up. In fact, on a day when almost the entire market was down, the media and telecom segments were up.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tA spinoff \u201cwould be a <em>very<\/em> welcome development,\u201d wrote MoffettNathanson analyst Craig Moffett on Oct. 31. \u201cInvestors have yearned for exactly this, or at least something close to it, for years.\u201d<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tWhy the enthusiasm? Comcast \u2014 which has a larger exposure to the cable TV business and subsequently lost more pay-TV subscribers than its rivals over the past year \u2014\u00a0may be a harbinger of the future, a world where the many disparate cable channels, now unwelcome to the balance sheets of the companies that own them, could find a home where they are the center of attention, and would have more freedom and flexibility to make strategic moves.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tPerhaps most significantly, a spinoff company could become a land of misfit networks, a place where unwanted cable channels could find a place to belong, or at least strength in numbers. Paramount Global, for example, has a slew of well-known cable brands like MTV, Comedy Central and Nickelodeon, but the incoming owner Skydance appears to be laser-focused on streaming and broadcast. <\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tWarner Bros. Discovery has a strong cable portfolio that includes TBS, TNT, CNN, Food Network, HGTV and Cartoon Network, but had to take a more than $9 billion <a href=\"https:\/\/www.hollywoodreporter.com\/business\/business-news\/warner-bros-discovery-streaming-unit-1235968605\/\">impairment charge<\/a> connected to its channels as their value declined.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tAnd there remain independent cable-centric companies, attempting to navigate the waters as best they can, who may find joining with a larger firm benefits them. AMC Networks, which owns AMC, IFC and BBC America is one, A+E Networks (jointly owned by Disney and Hearst) is another, with A&amp;E, History and Lifetime among its brands. Hallmark Channel, owned by the greeting card giant, is also a major independent player.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tOnly Disney \u2014 which had <a href=\"https:\/\/www.hollywoodreporter.com\/business\/business-news\/disney-earnings-bob-iger-linear-tv-networks-1235560246\/\">floated the possibility<\/a> of pursuing some sort of moves with its linear channels last year before backing off \u2014 appears out of the mix.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tNo one on Wall Street has been more open about the need to consolidate in cable than Bank of America analyst Jessica Reif Ehrlich, who has floated the idea for some time. \u201cThe biggest surprise is Comcast beat WBD to the punch, although we believe a spinout could be a cable network consolidator (our view is this will ultimately happen for the industry),\u201d she wrote in an analyst note Nov. 1.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tIndeed, Reif Ehrlich told <em>The Hollywood Reporter<\/em><a href=\"https:\/\/www.hollywoodreporter.com\/business\/business-news\/cable-tv-cordcutting-warner-paramount-1235973275\/\"> in an interview <\/a>after WBD\u2019s disastrous Q2 earnings that a roll up of cable channels would provide ample opportunities.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\t\u201cSomebody will separate their linear assets, and somebody will roll them up,\u201d Reif Ehrlich said at the time. \u201cWe have all these \u2014 call them stranded cable networks \u2014 maybe part of bigger companies, but not an area of investment, not an area of growth. And so if you combine a lot of the cable networks, I think you get rid of corporate overhead. You can get rid of duplicative advertising functions, distribution, there\u2019s a lot of costs by combining. A roll up could be run for cash.\u201d<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tA consolidated cable channel company could also provide leverage in the increasingly bitter and acrimonious carriage disputes between pay-TV providers.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tThere are complexifiers, of course. A big one for Comcast\u2019s plan involves CNBC and MSNBC. While CNBC has historically been run as its own news organization, completely separated from NBC News, MSNBC has long leaned on NBC reporting a a complement to its opinion shows.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tIf the spinoff goes through, MSNBC may need to build out its own news organization, cut some sort of deal to continue using NBC News resources, or abandon newsgathering altogether to focus on opinion.(Similarly, the <em>Wall Street Journal <\/em><a rel=\"nofollow noopener\" href=\"https:\/\/www.wsj.com\/business\/media\/comcast-cmcsa-q3-earnings-report-2024-c802f001\" target=\"_blank\">reported<\/a> that Bravo could stay a part of Comcast, citing the success of its programming on Peacock.)<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tBeyond that, the deal involves a slew of unknowns. How does one value a declining asset like this? How much freedom will a spinoff have? And would such a deal be able to extend the lifespan of cable TV? Or is its rapid decline inexorable?<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\tThey are real questions, and Wall Street seems to think that Comcast will figure out the answers.<\/p>\n<p class=\"paragraph larva \/\/  a-font-body-m     \">\n\t\u201cThe review is in early stages and the company is unlikely to provide an update in the near-term but we anticipate the company can find ways to generate incremental value from a spin-out such as cost synergies and\/or an extended lifespan should the separate entity combine\/partner with other cable networks,\u201d wrote JPMorgan analyst Sebastiano Petti Nov. 1. \u201cGiven the challenges in the PayTV ecosystem, particularly cable networks, the standalone attractiveness of these assets is unclear from an investor perspective.\u201d<\/p>\n<\/p><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.hollywoodreporter.com\/business\/business-news\/can-comcast-save-cable-tv-business-rollup-1236050224\/\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Comcast Corp. opened its latest earnings call with a surprise announcement: The Brian Roberts-run media giant was weighing whether to spin out its cable TV channels into a separate \u201cwell-capitalized &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=121024\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-121024","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/121024","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=121024"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/121024\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=121024"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=121024"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=121024"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}