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TV Production
Who Owns Shows
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5 major networks (CBS, ABC, NBC, Fox,
CW) own 77% of prime-time shows
Few successful independent studios (Sony
Pictures Television is exception)
Networks often buy up successful
independents
Independent production
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Independents need on syndication
revenues to finance new projects
Decline traced back to 1995 removal of fin
syn regulations
3/4 of all new shows fail
High cost of TV production prices
independents out of the market
Production Costs
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Half hour comedies ~$1.25m/episode
Hour dramas $2m+/episode
Unscripted costs much lower
E.g.,Top Model = $800,000 per episode
Heroes cost $2.7 million
Ad Revenue
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~$200,000 per 30-second national spot
20 national spots per 1-hour show
Consequences of Consolidation
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Fewer “quality” shows
Less originality
Networks interested in highest margins,
safest shows
Networks program primarily for
audience (18-49) advertisers pay most
to reach
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