Industry insiders are concerned that local television stations will be threathened by the Internet

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(Continued) The RFS Newsletter, Apr. 21, 2007. Page 5
In news on Tuesday, many of the attendees of the NAB (National Association of Broadcasters) conference are very concerned that local television stations and some major network affiliates will be the next business category to be severely threathened by the Internet. Overall, the Internet could offer TV networks even more clout when cutting deals with their affiliates. However, the news isn't all that bad. As it relates to broadcasting, the advertising industry is going to continue to grow, and the switch from analog to digital could even mean a big payout.

But for many local television outlets, all the warning signs are there and cannot be easily discounted. In March, News Corp. and NBC Universal established a new online video network that will help distribute movies and television shows across some of the top Internet portals. For its part, CBS also announced its own video network last week. Richard Jones, GM of Bay City TV says "many people are deeply concerned by all of this."

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