2008 4-28 MediaBytes: MICROSOFT - YAHOO - NEWSDAY- DAILYNEWS - WARNER BROS - NEILSEN - DISH NETWORK

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The MICROSOFT-YAHOO deadline passed in utter silence. Now what?

Yesterday, Mortimer Zuckerman of THE DAILY NEWS matched Rupert Murdoch’s $580M bid for NEWSDAY. The New York newspaper man believes his bid will be more attractive for the THE TRIBUNE COMPANY as it is less likely to fall under scrutiny of the FCC’s new media ownership law. Meanwhile, sources say that the OBSERVER MEDIA GROUP and CABLEVISION are joining together to make a joint offer for Newsday.

WARNER BROTHERS is expected to announce the rebirth of the WB network as a digital destination this afternoon. The site will stream old WB shows like “Everwood,” much like NBC/FOX venture HULU offers defunct programs like “Arrested Development.” With little to be lost, major studios and networks can only gain from ad-supported sites that cater to niche audiences.

NEILSEN ratings show that network newscasts lost approximately 1.2 million viewers in 2007. With the average age of a viewer around 60, networks are losing the crucial 18-49 demographic, who are likely to either be at work at 6pm or getting their news from another source. With ad spending down from $538.3 million in 2005 to $502.8 million in 2007, the networks will be forced to reevaluate the true value of their evening news broadcasts.

The DISH NETWORK is teaming up with ALCATEL-LUCENT to test mobile- TV technology in the US. The Dish Networks Digital Video Broadcasting- Satellite Services to Handhelds, or DVB-SH, is an indication of long term plans the satellite provider has for the 700-megahertz of terrestrial spectrum they acquired from the FCC earlier this year. A giant investment from the Dish Network has analyst’s wondering if it will pay off, as the mobile television market is practically non-existant.