Sunday, December 14, 2008

Rogers wins new Toronto TV news license

CTV's CP 24 local headline news service will soon be facing new competition from Rogers. Although Rogers acquired CITY Tv from CTVglobemedia some time ago, CGM retained former sister station CP 24 in that sale. Earlier this week Rogers Media announced that the Canadian Radio-Television Commission (CRTC) had approved their application to operate a specialty all news English-language regional Category 2 specialty channel. Rogers' application had faced opposition from CTVglobemedia, whose Toronto cable channel CP24 plays around-the-clock news, traffic and weather updates. The private broadcaster had argued that the new channel would be a direct competitor. Rogers' application was also opposed by Pelmorex Inc., owner of the Weather Network, which said the new channel will infringe on its territory by running extensive weather updates. In rejecting the opposition from CGM and Pelmorex, the CRTC observed that the new channel's programming would be much broader in focus than that provided by the Weather Network and its coverage area narrower in focus than CP24 whose reach extends beyond the GTA into other areas of Southern Ontario.

The digital license granted was for a local 24-hour news channel to serve the Greater Toronto Area (which includes Durham, York, Peel and Halton extending from Burlington in the west, to Clarington in the east, and to Brock in the north). Rogers Media already operates several tv stations in the GTA including CITY tv, the multicultural outlets OMNI 1 and OMNI 2 and the local community access channel Rogers cable 10. The channel's programming is expected to consist of local news, traffic, weather, business, sports and entertainment information for the city and commuting areas.

Having a local cable news outlet will give Rogers a second window for airing the news programming produced with its other local TV media holdings and to amortize production costs over a broader advertising revenue base. During a transition period following CGM's sale of CITYtv to Rogers, CP 24 has continued to air some CITY tv originated programming during a transition period including the flagship morning show "Breakfast Television" but that programming has gradually been phased out and replaced with CTV programming. CP 24 recently began airing CTV's local supper hour newscast. Rogers new news channel will also include news items contributed from a number of other Rogers owned media properties including The Fan 590, 680News, Sportsnet, the Toronto Blue Jays and its publishing interests (which include newsweekly magazine Macleans).

Although Rogers Media Television will be unveiling launch date and branding plans for the new channel at a later date, the new news channel is currently being referred to as CITYNews. Under CRTC rules, the new Rogers channel must be launched within three years of the decision, but operations are expected o commence in 2009. The new channel is expected to originate live newscasts from the new studio facilities Rogers currently have under construction at Dundas Square in downtown Toronto.

New new stations will also compete in the crowded news specialty field with national networks like CTV Newsnet and CBC Newsworld as well as US imports like CNN, CNN Headline News, CNBC and FOXNews available in many GTA households. CBC executives recently revealed that market studies indicate consumer awareness of the public broadcaster's cable news channel, Newsworld, indicates the channel is lagging and needs to be revamped. Plans are reported to overhaul the look of Newsworld in the fall of 2009 to mimic CP24, which runs graphic weather and news update elements on-screen throughout the day.

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