Allen Media Group Considering Pursuit of Scripps Stations; How Does Byron Allen See His Company Going Forward?
Allen has signified interest in purchasing ABC from Disney, following a bid to purchase BET Media Group from Paramount earlier this year.
There’s no slowing down at Allen Media Group (AMG) these days. The company has been linked to several high-profile media acquisitions this year, and though none have come to fruition thus far, its owner Byron Allen is clearly on the lookout for more great deals.
- A new report indicates Allen Media Group is exploring the acquisition of Scripps stations in several non-major markets.
- AMG also pursued BET Media Group earlier this year, and expressed interest in buying ABC from Disney.
- The moves point to the conclusion that AMG sees itself as a future leader in linear broadcasting.
What is Allen Media Group Interested in Buying Now?
A report from Bloomberg indicates that AMG is now considering a pursuit of a handful of Scripps-owned television stations in non-major markets around the country. The discussions are in the preliminary stages, so there are no details yet on which stations in particular are being talked about.
This is just the latest indication that Allen wants to increase his linear TV holdings. The Weather Channel owner has already entered a bid for ABC and some of Disney’s cable channels, and reiterated that interest a month a go. AMG also made an effort to acquire BET Media Group from Paramount Global over the spring and summer, though the latter company decided it would rather hold onto BET in the end.
Why is Allen Media Group Attempting to Buy More Linear TV?
The entertainment marketplace is a rapidly changing place. At the moment, the winds of change are blowing in the direction of streaming, as cord-cutting continues to take bigger and bigger bites out of the cable industry. Traditional pay-TV providers lost 1.8 million customers in the third quarter of 2023 alone, which seems to suggest linear TV is continuing to die a slow death.
Allen clearly sees an opportunity to become a leader in linear television, however. He likely doesn’t see himself as a savior of traditional TV, but he clearly envisions a way to make these channels and stations pay in the short term, if not over a longer stretch.
Perhaps he wants to position AMG as an arms dealer with a wide array of assets that various outlets may want for different reasons going forward. For example, those Scripps stations could come in handy if an acquisition-minded firm wanted to bolster its local news offerings, as would ABC. As part of the bid for ABC that Allen made he also tried to acquire FX, which now sends its titles to stream on Hulu but would generate sincere interest from plenty of outlets if its streaming rights were available.
That’s the most likely strategy behind Allen’s multiple pursuits of new linear assets, but there could be many other motivations at play. Whatever the case may be, his latest target appears to be a collection of Scripps-owned TV stations in non-major markets.
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