It’s not every day that you hear the head of a media company characterize the economic impact on a business division as “profound,” but these aren’t usual times. “(The economy has) had a profound effect on our local TV stations, which were highly dependent on auto and retail advertising,” NBC Universal CEO Jeff Zucker said in London on Friday. “We haven’t seen an advertising slowdown on a national level yet in the United States but obviously we’re concerned about it, and I think if you’re not concerned about it you’re in denial.” 2009 looks especially bad for the local TV industry — no Olympics, no politics, eroding ratings, increasing competition for local dollars and an economy that continues to worsen. If the economic picture doesn’t turn around, I think we’ll see unprecedented budgets cuts in local TV next year.
Advertisement