nScreenMedia OTT multiscreen media analysis

nScreenNoise – NBCU affiliate deal not enough for locals

nScreenMedia Video Podcast

NBCU struck a deal with affiliates that lets them opt-in on streaming agreements the broadcaster negotiates. This is good for the affiliates, but they must do much more to have a future.

Chapter 1: Three reasons affiliate should love NBCU deal (0:30)

NBCU agreed with affiliates that they can chose to opt in to any deal the broadcaster strikes with streaming delivery. It is a good idea for affiliates to do this because:

  • The audience for linear broadcast channels is falling
  • Some of that audience is going online to services like Sling TV, and operator TV Everywhere portals
  • NBCU can negotiate a better deal than affiliates can with online companies

Chapter 2: Affiliates must still solve long-term problems (1:50)

Though affiliates should be happy with the NBCU deal, it is not enough to fix the problem with their long-term future.

Young people increasingly don’t watch live television. Many get their news from social media, for example. When there is a breaking event in their area, young people don’t turn on the television. They go to social media.

That means affiliates are in competition with Johnny-on-the-spot people with a smartphone and Facebook Live. Affiliates need to aggressively push into social media to recapture their traditional audience.

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