There are some interesting possibilities that could come forth with this sale of NBC to Comcast. The first is that the NBC Owned and operated stations will more than likely be sold off. One of the main reasons for that is because Comcast has service in this market as well as several other main top 10 markets around the country.
The other very interesting possibility is that Hearst may be one of the key players to put a bid in for the purchase of the NBC Owned and operated stations KNTV being one of them here in the Bay Area. Another interesting twist in this drama is that Hearst owns the Chronicle which may conflict with the purchase of KNTV. The reason I bring this up is could this be an opportunity for KRON to come back as an NBC affiliate if Young or the bank decides to sell if an opportunity arises.
A long shot for KRON at best, I would think. KNTV has value primarily because it is an NBC affiliate. It has much less value if it loses NBC and becomes a lowly independent station...oh...kind of like another station that tanked a few years ago when it lost NBC.
If I were representing a corporation buying KNTV, I would want assurances that it would retain its NBC affiliation, and I would think NBC would guarantee that - otherwise the sale price of their station would plummet.
I see two more likely scenarios regarding the Chronicle conflict if Hearst puts in a bid for all the NBC O&Os:
1. Hearst buys the
other O&Os (at least in the markets they aren't running newspapers), but spins KNTV off to another buyer, who would also want assurances that they were buying an NBC affiliate.
2. Hearst sells the Chronicle, and buys KNTV. Reportedly, the Chronicle is losing subscribers at an even more rapid rate than most big city dailies - the paper is bleeding to death, and its future is very bleak.
3. Hearst buys KNTV after convincing the FCC or Congress to change the rules, given that daily newspapers are now an endangered species, and it's ridiculous to continue the policy that corporations can't own a newspaper and a TV station in the same market.
Remember that the FCC made an exception for KRON and the Chronicle when they were both owned by the Chronicle Corporation...I don't know the history of that...perhaps it was due to a 'grandfathering' type situation, but regardless - exceptions can be made.
In any of these scenarios, KRON is still out in the cold.
I'd guess #2 or #3 are more likely. I don't think it'd be worth it for Hearst to buy a few NBC O&Os, but have to worry about divesting after that. Also, I'd be surprised if Comcast NBC divested NBC stations in New York, Chicago and Los Angeles. It just seems unwise to drop guaranteed clearances in the largest markets which are the backbone of the network. But then again, Comcast may want the cash proceeds from selling all the stations, or the FCC may insist on it. At that point, the stations and the network remain at different interests, so that Comcast wouldn't care so much if there is a precipitous decline for NBC for it to be a distant 4th from the FOX CBS and ABC, and be at equivalent of what the CW is now, as long as the cable channels it acquired from the NBC Universal deal like CNBC and USA do well. Under that scenario with NBC at such a low, costs would be cut, and whatever remaining talent at NBC, or NBC news would shift to CBS, ABC or elsewhere or just be done. Like Meredith Viera too expensive for NBC, so she moves to GMA, Matt Laueur to CBS, shows like The Office done and cancelled, Jay Leno retired, SNL to cable.
But, maybe Comcast keeps NBC going and wants to keep atleast 5 NBC O&Os with the top 3, Washington DC and another one or two. I think San Francisco maybe worth keeping with the synergies of owning the Telemundo affiliate, with the high Hispanic population it serves in the Bay Area, and an affluent demographic for KNTV otherwise. So, what remains is Philadelphia, Hartford and a few other markets. The Dallas and San Diego NBC O&Os are partially owned by LIN.
I agree KRON would still be out in the cold.
