*By Lauren Babbage*
Television may be going static. As the major networks present their new shows at upfronts this week, they are fighting for smaller shares of a shrinking market.
Ad sales on linear television fell 2.2 percent in 2017, according to the ad-buying firm Magna, and it estimates sales will fall at least 2 percent in each of the next four years. Advertisers are wary of old-school television's reach among the consumers they most want to reach.
"I think the name of the game is cross-platform," said David Cohen, the president of Magna. "Obviously, NBCUniversal has lots of different assets they come to the table with, both network and cable and digital."
In an interview Tuesday with Cheddar, Cohen said it is increasingly important for networks to find ways for their advertisers to move with consumers across platforms and from show to show.
Viewers are abandoning traditional TV and taking the value of the ad-sales market with them. Streaming platforms like Netflix, Hulu and YouTube TV are diverting ad dollars from networks like NBC and CBS by providing advertisers with the ability to target specific demographics. Digital platforms give advertisers who once dumped all their money into TV ads the ability to promote content across multiple platforms and capture the mobile-forward consumer.
Cable television lost 3.6 million viewers in 2017, and Magna predicted it could lose another 4 million viewers this year. It also said more than 20 million households will cut the cord by 2020.
The people still watching TV are valuable, for now, but they are quickly becoming less appealing to advertisers ー and shrinking. According to The New York Times, TV shows attracting the highest ad rates are also attracting an older audience, with a median age of 37-60 years old. That's less desirable going forward for brands aiming for the attention of millennials, whose spending power is estimated by Oracle to reach over $3 trillion in 2018.
"We're seeing lot of the networks, broadcast and cable, try to program themselves for the Rokus, the Amazon Fires, the Apple TVs, etc.," said Cohen. "They're going to take their content and they're going to spread it out in lots of different places."
For the full interview, [click here](https://cheddar.com/videos/streaming-tv-threatens-cable-ad-revenue).
The New York Times and President Donald Trump are fighting again. The news outlet said Wednesday it won't be deterred by Trump's “false and inflammatory language” from writing about the 79-year-old president's health. The Times has done a handful of stories on that topic recently, including an opinion column that said Trump is “starting to give President Joe Biden vibes.” In a Truth Social post, Trump said it might be treasonous for outlets like the Times to do “FAKE” reports about his health and "we should do something about it.” The Republican president already has a pending lawsuit against the newspaper for its past reports on his finances.
OpenAI has appointed Slack CEO Denise Dresser as its first chief of revenue. Dresser will oversee global revenue strategy and help businesses integrate AI into daily operations. OpenAI CEO Sam Altman recently emphasized improving ChatGPT, which now has over 800 million weekly users. Despite its success, OpenAI faces competition from companies like Google and concerns about profitability. The company earns money from premium ChatGPT subscriptions but hasn't ventured into advertising. Altman had recently announced delays in developing new products like AI agents and a personal assistant.
President Donald Trump says he will allow Nvidia to sell its H200 computer chip used in the development of artificial intelligence to “approved customers” in China. Trump said Monday on his social media site that he had informed China’s leader Xi Jinping and “President Xi responded positively!” There had been concerns about allowing advanced computer chips into China as it could help them to compete against the U.S. in building out AI capabilities. But there has also been a desire to develop the AI ecosystem with American companies such as chipmaker Nvidia.
U.S. sports betting is booming as NFL and college football fuel massive activity. BetMGM CEO Adam Greenblatt breaks down trends, growth, and what’s next.
President Donald Trump says a deal struck by Netflix last week to buy Warner Bros. Discovery “could be a problem” because of the size of the combined market share. The Republican president says he will be involved in the decision about whether federal regulators should approve the deal. Trump commented Sunday when he was asked about the deal as he walked the red carpet at the Kennedy Center Honors. The $72 billion deal would bring together two of the biggest players in television and film and potentially reshape the entertainment industry.
Disney's changes to a program for disabled visitors are facing challenges in federal court and through a shareholder proposal. The Disability Access Service program, which allows disabled visitors to skip long lines, was overhauled last year. Disney now mostly limits the program to those with developmental disabilities like autism who have difficulty waiting in lines. The changes have sparked criticism from some disability advocates. A shareholder proposal submitted by disability advocates calls for an independent review of Disney's disability policies. Disney plans to block this proposal, claiming it's misleading. It's the latest struggle by Disney to accommodate disabled visitors while stopping past abuses by some theme park guests.
With a merger this big, creators, studios, and theaters all face uncertain futures. Here’s what experts are worried about and what good could come from it.
With disengagement rising and hybrid work shifting, 'Everybody Matters' author Bob Chapman explains why treating people well could define the future of work.
