FOX Seattle could lose FOX affiliation

[TVViewer]

It looks like the Tribune owned KCPQ in Seattle, branded on-air as Q13FOX could be losing its FOX affiliation. Due to the fact that Seattle is a key NFL market, FOX wanted to buy the station and it appears Tribune wasn't very interested in selling. FOX sent the station notice of affiliate termination effective January 17th 2015, exactly one day before the NFC Championship Game where Seattle could possibly be playing. It looked like Tribune and FOX would likely come to an agreement for FOX to buy the station but FOX has now purchased the independent Bellingham station KBCB (which has no news operation and currently an affiliate of a home shopping network). Now that FOX has another station lined up to air FOX programming, it looks like Tribune will have to decide if they want to keep KCPQ as an independent station or sell the station to FOX. Even though FOX will own KBCB, it would still be ideal for them to buy KCPQ as it already has an existing news operation, something FOX would obviously want in Seattle (local news is profitable in the United States because it operates under the viable dual revenue stream model of advertising + subscription fees as opposed to the broken advertising only model)

KCPQ is the FOX affiliate for Vancouver and I believe the rest of British Columbia, it is also the west FOX station for Bell and Shaw Direct (Shaw Direct also offers the Spokane locals, although I don't know why anyone would choose them over the superior Seattle stations)

I hope Tribune makes an agreement to sell the station to FOX as it's better than the alternative of losing FOX programming, Tribune runs a good news division in Seattle but FOX has also done a good job at running strong local news operations, and I would hate to see KCPQ's local news impacted by the loss of FOX programming and NFL Football revenue. FOX pretty much did the exact same thing for the same reasons (NFL market) a few years ago in South Carolina, and although FOX struggled with launching a news operation from scratch, the station that lost its FOX affiliation also experienced lower ratings for their local news. This is a perfect example of just how powerless local affiliates are to the U.S. networks. Fortunately, we don't have to worry about this kind of thing happening in Canada as our networks own practically all of their stations, which also allows for small markets to have better funded news operations than they would if they were independently owned.

[PokerFace]

If you still can get Fox via Spokane, isn't that good enough for Shaw Direct subscribers? Unless Fox Spokane has lousy audio or a bad picture, Shaw Direct subscribers have nothing to worry about.

Shaw Direct ... We won't RAIN on your parade ... If Fox Seattle gets hit by lightning, we've got Fox Spokane. Don't worry, be happy.

[TVViewer]

If you still can get Fox via Spokane, isn't that good enough for Shaw Direct subscribers? Unless Fox Spokane has lousy audio or a bad picture, Shaw Direct subscribers have nothing to worry about.

Shaw Direct ... We won't RAIN on your parade ... If Fox Seattle gets hit by lightning, we've got Fox Spokane. Don't worry, be happy.

There is nothing wrong with the Spokane locals. I don't believe any Seattle or Spokane stations offer regular programming that isn't available on other stations so it's really only the news programming and commercials that make them different but the Seattle stations do have far superior news operations. Really there isn't much value to U.S. stations at all as the vast majority of the programming they air is available on Canadian stations.

[PokerFace]

We could also say that there really isn't that much value to the Canadian stations since the vast majority of the programming is also available on American stations. But yes, I suppose our economy needs the Canadian stations to exist (or so we're told), so even if the Canadian consumers preferred the US stations, Canada must come first. I think there's room for a Celine Dion channel ... fingers crossed.

[InMontreal]

It looks like the Tribune owned KCPQ in Seattle, branded on-air as Q13FOX could be losing its FOX affiliation. Due to the fact that Seattle is a key NFL market, FOX wanted to buy the station and it appears Tribune wasn't very interested in selling. FOX sent the station notice of affiliate termination effective January 17th 2015, exactly one day before the NFC Championship Game where Seattle could possibly be playing. It looked like Tribune and FOX would likely come to an agreement for FOX to buy the station but FOX has now purchased the independent Bellingham station KBCB

Damn ! Seattle is the 14th biggest market in the US. After the disaffiliations in other markets due to higher subscription revenues, I'm not surprised Fox is acting like that. Of course, they'll have unlimited ressources to grab broadcast rights to other Seattle teams, and I guess some sports contracts are about to expire which is why they're acting now.

Tribune is known for being The CW affiliate in NY, LA and Chicago, but Seattle's CW is O&O by CBS Corporation, so it's already covered. Also interesting, Tribune also operates the MyNetworkTV affiliate, KZJO, which might cross over to KCPQ as last resort if Fox accepts it. As for coverage, the wiki article on KBCB (K British Columbia Bellingham) says its powerful 165kW transmitter reaches Vancouver and Victoria, so it covers the 2nd biggest canadian market as a bonus, but it won't be carried on canadian cable, which is good because Fox would want to milk subscription revenues from canadians...

[bigoranget]

FOX can't get subscription revenues from Canadians. WJBK is a FOX O&O and they don't get subscription revenue from Canada. My guess is they will probably just switch to KAYU Spokane. This is the perfect time to drop a feed from their fibre link and from their satellite.

[InMontreal]

FOX can't get subscription revenues from Canadians. WJBK is a FOX O&O and they don't get subscription revenue from Canada.

One word : leverage.

During the CRTC Let's Talk hearings, the US Television Coalition asked again to receive their fair share of subscription revenues. KSTP-TV (ABC Minneapolis) is part of the coalition, there was probably some irritation over money so MTS decided to carry WDAZ-TV Grand Forks instead and carry the other Minneapolis NBC-CBS-Fox stations. Only Shaw Cable in Thunder Bay opted to continue carrying KSTP.

But the coalition is made of small independent broadcasters. If Fox acquires KCPQ, they'll own two stations distributed in Canada (the other being WJBK Detroit, the 11th biggest market), which are widely distributed (Unlike Buffalo or Vermont, Detroit is the "default" east coast affiliate, Seattle is the "default" west-coast station). They are de-facto "content owners" over their station operations (think local news) as well as network programmers and can decide to ask distributors to pull its O&O stations from canadians BDUs if they don't get subscription revenues.

Need I to remind that Speed Channel, owned by Fox which became Fox Sports 1 in the US, has denied distribution in a "pick-a-pack", and well, when it became a dumbed down version since the launch of FS1, its price remained the same and some BDUs decided to remove it when the contract expired.

Conclusion, Fox is greedy, just like Bell. Their next target may be WFXT Boston (7th biggest market), operated by Cox Media Group, which happens to have good sport teams.

[TVViewer]

[QUOTE=InMontreal;67255]

Damn ! Seattle is the 14th biggest market in the US. After the disaffiliations in other markets due to higher subscription revenues, I'm not surprised Fox is acting like that. Of course, they'll have unlimited ressources to grab broadcast rights to other Seattle teams, and I guess some sports contracts are about to expire which is why they're acting now.

It's all about NFL Football. FOX paid a lot of money to renew NFL rights and owning a station in a market with a strong NFL team that makes it to the super bowl is very lucrative for them.

Tribune is known for being The CW affiliate in NY, LA and Chicago, but Seattle's CW is O&O by CBS Corporation, so it's already covered. Also interesting, Tribune also operates the MyNetworkTV affiliate, KZJO, which might cross over to KCPQ as last resort if Fox accepts it.

I doubt Tribune would want to continue with MyNetworkTV in Seattle if they lose the FOX affiliation. Tribune owns enough syndicated content to fill the 2 hours of FOX primetime (that's one of the benefits of being a FOX affiliate, you don't have to devote as much hours to network programming) the main problem for them is they lose the benefit from the FOX programming lead-in and the NFL games with the Seattle seahawks.

As for coverage, the wiki article on KBCB (K British Columbia Bellingham) says its powerful 165kW transmitter reaches Vancouver and Victoria, so it covers the 2nd biggest canadian market as a bonus, but it won't be carried on canadian cable, which is good because Fox would want to milk subscription revenues from canadians...

FOX knows there is no way they would get subscription fees from Canadian BDU's. They understand that you can't charge companies for programming you don't own the rights to. FOX Detroit has never asked for subscription fees from Canadian BDU’s. FOX just sold their Boston station to gain a station in the more lucrative NFL market San Francisco-Oakland and they have never asked for Canadian subscription fees for the FOX Boston station. Like all U.S. broadcasters, they care about subscription fees from U.S. cable companies and like all networks they do expect local affiliates to pay them as well. Tribune just gained a CBS affiliation in Indianapolis because the CBS Indianapolis affiliate owned by LIN TV refused CBS subscription fee requirements. The days of affiliates taking the networks for granted is certainly over.

[TVViewer]

[QUOTE=InMontreal;67261]

One word : leverage.

Which is something local U.S. stations don't have in Canada since they don't own the Canadian rights to any of the non-local news programming they broadcast.

During the CRTC Let's Talk hearings, the US Television Coalition asked again to receive their fair share of subscription revenues. KSTP-TV (ABC Minneapolis) is part of the coalition, there was probably some irritation over money so MTS decided to carry WDAZ-TV Grand Forks instead and carry the other Minneapolis NBC-CBS-Fox stations. Only Shaw Cable in Thunder Bay opted to continue carrying KSTP.

But the coalition is made of small independent broadcasters.

the US Television Coalition is a joke nobody in the industry is taking seriously. Even if they get the copyright act changed (which FYI would also allow local Canadian OTA stations to withhold their signal) they wont have any leverage as they don't own the Canadian broadcast rights to the programming they broadcast in Canada.

If Fox acquires KCPQ, they'll own two stations distributed in Canada (the other being WJBK Detroit, the 11th biggest market), which are widely distributed (Unlike Buffalo or Vermont, Detroit is the "default" east coast affiliate, Seattle is the "default" west-coast station).

They are de-facto "content owners" over their station operations (think local news) as well as network programmers and can decide to ask distributors to pull its O&O stations from canadians BDUs if they don't get subscription revenues.

Even FOX doesn't own the rights to FOX programming outside of the United States. They could acquire the Canadian broadcast rights instead of selling them to Canadian broadcasters but this would have a overall negative impact on FOX financially.

Need I to remind that Speed Channel, owned by Fox which became Fox Sports 1 in the US, has denied distribution in a "pick-a-pack", and well, when it became a dumbed down version since the launch of FS1, its price remained the same and some BDUs decided to remove it when the contract expired.

How do you know the price remained the same? Regardless, this is irreverent to FOX trying to get subscription fees for OTA channels in Canada with programming they don't own the broadcast rights to.

Conclusion, Fox is greedy, just like Bell. Their next target may be WFXT Boston (7th biggest market), operated by Cox Media Group, which happens to have good sport teams.

FOX JUST sold WFXT Boston to Cox in exchange for a station in a more high profile NFL market.

[InMontreal]

FOX JUST sold WFXT Boston to Cox in exchange for a station in a more high profile NFL market.

Hmmm, that's a detail I haven't read yet until today.

According to wiki, Fox made several attempts to acquire KTVU San Fancisco from Cox. A FCC regulation just puts caps on how many stations can be O&O by the network, which is why there was a trade instead of a shopping spree...

[SportsFan]

Tribune agreed to increase the affiliation fees they pay to FOX and they renewed their agreement through 2018.

[ParamountChris]

it wont be the same. KCPQ and WUHF are my favorite Fox stations