A breakdown of Network Ten's current struggles, including programming failures, financial pressures, and the implications of the ABC's recognition of Palestine.
This edition of On Background delves into the challenges facing Network Ten amidst broader company issues, including the aftermath of media mergers and the ABC 's recognition of Palestine . Network Ten has made some decisions which are facing scrutiny, starting with the cancellation of a news program after just nine months due to poor ratings, despite a $20 million investment. A replacement show was then introduced and after only three months, there are concerns about its future.
The poor performance has led to senior staff at the company's Pyrmont headquarters expressing strong disapproval, with some calling for executive accountability. Plans are now in motion to potentially reduce the show to 30 minutes in the new year, or even to cancel it completely. The current financial climate for commercial TV stations is challenging, and executives are under pressure to generate revenue as global streaming services continue to gain market share. Despite efforts to stabilize audience numbers, revenue continues to decline. Increased collaboration between competitors has been suggested, including a potential consolidated sales unit for Ten, Nine, and Seven, though this is dependent on all three networks agreeing to participate. \The company’s future remains uncertain while navigating its current financial situation. Redundancies and cost-cutting measures have been implemented. Network Ten's future hinges on decisions being made by the company's leadership. The options include a potential sale, similar to the fate of many non-US broadcast channels, or the network becoming a component of a larger global entity. This could involve an acquisition of HBO-owner Warner Bros. Discovery, potentially leveraging TikTok's algorithm and platform to promote its content. A recent Bloomberg profile shed light on the company's plans for a significant overhaul, including budget cuts of at least US$2 billion, thousands of layoffs, reduced cable programming, and the sale of some international networks. A planned reinvestment into Paramount+ is also on the cards, with the potential addition of HBO Max to expand the platform's offerings. Network Ten has been used to help grow Paramount+ in Australia. This strategy mirrors the approach taken in the US and the UK, particularly as the company focuses on English-language content. With the new global head of Paramount’s TV networks visiting next month for the annual presentation to advertisers, the pressure is on. However, the effectiveness of promoting Paramount+ through Ten is undermined by the current programming challenges and lack of substantial audience engagement. The network is also experiencing a series of failed programming attempts that aren't resonating with viewers.\Network Ten has faced several programming setbacks, including the replacement of a news program and other shows that have struggled to attract viewers. The situation has highlighted the importance of delivering audience numbers to attract advertisers. The network must find a way to succeed in a highly competitive market. The public broadcaster, the ABC, has recently recognized Palestine. Editorial Director Gavin Fang has authorized staff to use the name, following Australia’s recognition, and nearly two years after the October 7 attacks. Fang stated in an email that “ABC content can refer to Palestine when referring to its geography, history, community and the intended state encompassing the Occupied Palestinian Territory”. This decision sparked mixed reactions, with some figures, like Ryan Williams, expressing confusion. The network is under pressure to make strategic moves in order to ensure its long-term viability. The need for programming success to bring in audience and advertisers is crucial for its survival in the face of challenges from streaming platforms
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