Channel Ten Just Got Bought By A Huge American TV Network
In a deal announced this morning Channel Ten has been acquired by CBS.
Channel Ten, beloved home of The Simpsons and Neighbours, has been bought out by CBS Corporation, the parent company of the US television network CBS.
In a statement released this morning CBS said it had acquired Ten as well as the digital channel Eleven and the digital platform tenplay. As part of the deal CBS will launch its digital subscription video on-demand service, All Access, into the Australian market.
Ten has been in a dire financial situation for months. In June, the company was placed into voluntary administration after its biggest financial backers, including James Packer and Lachlan Murdoch, refused to guarantee it a loan.
Like plenty of other media companies, Channel Ten has struggled to compete in the digital age. Its share price has dropped 99 percent in the past decade, and it has a lot of expensive, longterm contracts with US production companies for big budget shows that just aren’t as valuable in an era of Netflix and Stan.
The company has been trying to reduce costs over the past year, but its biggest shareholders, including James Packer, have run out of patience and are trying to sell out while they can. Channel 10’s flagship reality shows like The Biggest Loser used to bring in ratings, and the revenue, but audiences have tanked this year.
CBS currently provides a number of flagship television shows to Ten, including NCIS and Hawaii Five-0. It’s unclear at this stage what impact the purchase will have on programming.