[opendtv] Kagan: Retrans Fees to Reach $9.3B By 2020 | Broadcasting & Cable

  • From: Craig Birkmaier <craig@xxxxxxxxxxxxx>
  • To: OpenDTV Mail List <opendtv@xxxxxxxxxxxxx>
  • Date: Tue, 28 Oct 2014 09:51:15 -0400

http://www.broadcastingcable.com/news/currency/kagan-retrans-fees-reach-93b-2020/135130

Kagan: Retrans Fees to Reach $9.3B By 2020 | Broadcasting & Cable

Retransmission fees paid to broadcast stations will reach $9.3 billion in 2020, 
according to a new projection by SNL Kagan.

Kagan had previously estimated that retrans fees will hit $7.64 billion in 2019 
and raised that to $8.78 billion in its new forecast.

This year, Kagan estimates that retrans payments will be $4.9 billion.

A big chunk of retrans fees going to affiliates will be sent to the networks in 
the form of reverse compensation. Kagan figures that reverse comp could 
increase to $2.33 billion in 2020 from $1.53 billion in 2015.

Over time, Kagan says affiliates will be getting increases in their monthly 
retrans fees, but that networks will be getting 59% of the total.

Kagan esimates that broadcasters will be getting an average of $1.32 per month 
by 2017, and that will top what most basic cable networks get, with the 
exception of ESPN and TNT. The figure will also top what most regional sports 
networks get.

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