The tightening of budgets has already impacted a significant revenue source for network television: the morning shows. In early January, Hoda Kotb departed from the Today program after a tenure of 17 years. The well-known broadcast journalist was reportedly earning over $20 million annually as a host, a figure NBC seemed unwilling to maintain. This financial reconsideration also led the network to eliminate the band from Late Night With Seth Meyers and reduce The Tonight Show With Jimmy Fallon from airing five times a week to four. These developments are indicative of what Variety referred to as “TV’s new austerity measures.”
“Our audiences are migrating to various platforms to consume their content,” an agent shared with Variety. “Many of these organizations are experiencing declining revenues. It’s simply a reality we are facing.”
Yet, with broadcast television’s viewership now splintered across streaming services, cable, and social media, what prompts Donald Trump to threaten its very existence? “This is a political weapon being wielded against major national news networks,” remarks David Greene, civil liberties director at the Electronic Frontier Foundation. Greene pointed out that Trump’s discontent was primarily directed at national news outlets rather than local stations, which actually hold the broadcast licenses.
Several networks own local stations, including Paramount, which also produces CBS’s 60 Minutes. Back in August, Paramount considered selling off 12 of these stations before Trump’s recent accusations against the network emerged. However, when questioned about these threats, Oberman expressed that she hadn’t noticed it being a significant concern for the industry. “If anything, it appears the incoming administration will be more supportive of broadcasters,” she stated.
Perry Sook, the CEO of Nexstar— the largest television station owner in the United States— remains optimistic that the new administration will lift restrictions on how many local stations one company may possess. Sook articulated his vision for journalism on those stations during a November 2024 earnings call. “[I]t appears that a gentler consensus may be forming, perhaps leading to a resurgence in fact-based journalism, while also reducing the influence of activist journalism,” he declared in the meeting.
Sinclair, the second largest owner of TV stations in the US, also welcomes further consolidation and has established a reputation for steering its local stations to report news with a perspective aligning more closely with Sinclair’s conservative views. In 2018, Sinclair garnered attention for a viral video showcasing numerous newscasters nationwide reciting identical scripts that echoed critical sentiments about the media, incorporating established conservative rhetoric.
However, the relationship between the Trump administration and the major broadcast license holders extends beyond shared political beliefs. According to Orman, local stations often provide enhanced reach for political advertising. “Digital platforms seem to fall short in delivering the returns political advertisers hope for, while television continues to perform better in that regard,” Orman commented to Ad Exchanger late last year. Notably, broadcast TV experienced a 9 percent increase in ad revenue in 2024, entirely attributed to a surge in political ad spending during the pivotal election season.
As the election season concludes, that advertising revenue is diminishing. Coupled with declining viewership and streaming platforms outpacing networks in spending, one of the oldest media establishments is facing significant challenges. Even if the incoming administration fails to follow through on its threats against media outlets producing unsavory reports, the future of broadcast television appears increasingly precarious.
“The vulnerability of broadcast is profound at this moment,” asserts Greene from the EFF, “any intimidation directed at it poses a serious risk.”
