This should impress Wall Street, although perhaps not the CBS lawyers who likely will tell U.S. Supreme Court justices why it’s so important for them to block the streaming service. CEO Les Moonves told analysts this evening that by 2020 CBS should collect at least $2B a year from cable and satellite companies that want to distribute its programming — up from his previous projection of $1B by 2017. The cash will come from its O&Os as well as reverse compensation payments from affiliates that also charge pay TV distributors that carry their signals. “We’ve exceeded our target every time we’ve given you one,” Moonves says. It’s part of his campaign to persuade investors that the cash will continue to flow even if ad sales flatten or decline. One analyst asked, though, whether CBS can still hit its $2B target if the high court rejects broadcasters’ arguments that Aereo infringes on their copyrights by streaming their over-the-air programming without paying them a dime. If Aereo wins, many believe, then cable and satellite companies might try to replicate the service so they, too, can avoid the rising outlays. “We will hit that number regardless of what happens with Aereo,” Moonves says. Indeed, he noted, even though he expects broadcasters to win, if they don’t then “we’re not going to be financially handicapped at all.” The companies have “a host of alternatives,” including creating their own Aereo-like streaming service, so “we can adjust and thrive no matter how this unfolds.” Moonves has said that CBS could take its prime time shows off the airwaves and just offer them on cable or satellite. But he said today that keeping them on over-the-air TV “remains our first option.” The Supreme Court plans to hear arguments on the Aereo case on April 22.
CBS Chief Raises Retransmission Revenue Estimate, And Says Aereo’s No Threat
What's Hot on Deadline
'Uncharted' Reconfigured: 'Spider-Man Homecoming's Tom Holland To Play Young Nathan Drake For Shawn Levy
'Criminal Minds': Kirsten Vangsness & A.J. Cook In Limbo Over Parity Push As Joe Mantegna & Matthew Gray Gubler Re-Up
Universal Brands New Monster Movies As 'Dark Universe'; Bill Condon's 'Bride Of Frankenstein' Up Next In 2019 - Video
Why 'Alien: Covenant' Lost Its Bite At The B.O. With $36.1M Opening, -34% From 'Prometheus' -- Box Office Final
Latest Business News
- Bob Beckel Accuser Retains Lawyer Behind Fox News Discrimination Suits
- UTA Gets In On Action, Inks Nitro Circus
- Big Media CEO Compensation Rose 21% In 2016: Is It More Out Of Whack Than Ever?
- Who’s Afraid Of Edward Albee? Dramatists Guild Backs ‘Virginia Woolf’ Playwright In Casting Dispute
- U.S.-Asia Institute Organizing Members Of Congress To Go To China In August
- Vin Diesel Escapes ‘xXx’ Sequel “Sham” Case From Ex-Biz Partner