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The Sun Hasn't Set on Local Broadcast

Plus, Warner Brothers toons in to a new ad age.

Welcome to The TV Room. Your weekly digest of television, streaming, and digital media insights that matter.

This week we're covering:

  • ☀️ Local Broadcast Still Shines

  • 📺 LinkedIn Looks Good on TV

  • 🎥 Creative Spotlight: Apple: “Someday, by Spike Jonze”

  • 🏞 Warner Bro’s OpenPath Doesn’t Reach CTV, Yet

Local TV Reinvents Its Value in the Age of Streaming

After nearly 69 years together, ABC and WPLG Miami have called it quits, marking a pivotal moment in broadcast television history. The split, announced this week, comes after failed negotiations between the network and the Warren Buffett-owned station.

This breakup goes beyond the local impact, it's a symptom of a paradigm shift in the television ecosystem that's been brewing for years, according to TV News Check.

What's driving the divorce?

The relationship between networks and local stations has deteriorated as networks have:

  • Demanded increasingly higher "reverse compensation" fees from local stations

  • Stripped away content exclusivity by moving premium programming to their streaming platforms

  • Used local station revenue to fund their streaming exit strategy

As retired Graham Media Group CEO Emily Barr notes, "Networks have convinced the FCC that they operate in the public interest...In reality, these networks have leveraged the broadcast network system to negotiate and finance extraordinary entertainment and sports rights deals while siphoning money out of local markets."

The third way forward

Rather than capitulate to network demands or fold entirely, stations like WPLG have another option:

  • Double down on local news and community programming

  • Follow the successful model of other independent stations like WJXT Jacksonville, which has thrived for 23 years after splitting from CBS

  • Focus on being the most trusted source for local news and information

"Local television stations remain the most trusted source for news and information," Barr points out. "Study after study points to the reliability of local television to provide lifesaving news, weather and local coverage."

This shift could actually benefit viewers, as stations freed from network obligations can "super-serve communities with local content and reaffirm their value" instead of funneling resources to network coffers.

The message is clear: traditional network TV is in its final quarter, but local television still has a winning playbook.

Read More:

TV Industry Updates

  • LinkedIn's CTV push: The platform has invested heavily in connected TV advertising, with partners now reporting ROI 6-7x higher than traditional tools.

  • Gaming meets CTV: Ad tech veteran André Swanston raised $10 million to launch PHYND, a cloud-based gaming service monetized through CTV ads.

  • Agency merger milestone: Shareholders have approved Omnicom's acquisition of IPG, creating the world's largest advertising network.

  • Netflix ad tech debut: Netflix announced its own supply-side ad tech platform called Netflix Ad Suite (NAS), launching April 1st with personalization capabilities.

  • Transparency plea: Inspire Brands' chief media officer called for more CTV transparency from providers.

  • Apple TV+ struggles: The streaming service reportedly lost over $1 billion annually despite reaching 45 million subscribers.

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Creative Spotlight: Apple: “Someday, by Spike Jonze”

Apple's latest AirPods 4 campaign featured actor Pedro Pascal in a visually striking transformation piece directed by Spike Jonze, where activating noise-canceling mode turned a grey urban environment into a vibrant, choreographed spectacle.

The Details:

  • The ad showcased the noise-canceling feature through a dramatic visual metaphor, with the cityscape shifting from dull and noisy to vividly colorful.

  • Celebrity Pedro Pascal's natural charisma carried the narrative, culminating in an intimate "You're perfect" whisper

  • The spot was enhanced by Sam's "Perfect" track and precise choreography that turned pedestrians into synchronized dancers

  • Creative direction by Spike Jonze brought his signature surreal style, with performers moving like puppets and voguing hands framing the scene

What We Loved: The blend of practical effects, choreography, and color transformation created a powerful visual representation of how noise-canceling technology can transform your everyday environment.

Marketing Mix

  • Warner's OpenPath debut: WBD officially launched The Trade Desk's OpenPath for its news properties, but is holding off on CTV integration for now.

  • DoorDash's double play: The delivery platform debuted new banner ad formats for "DoubleDash" post-checkout items.

  • TikTok transition: Global ad chief Blake Chandlee resigned as the platform approaches its April 5 ban deadline, shifting to an advisory role.

  • Roblox's brand boom: The gaming platform has attracted major brands like Chipotle and Nike, with a growing focus on creator partnerships.

  • Meta's AI integration: The company expanded its AI-powered ad features, including new tools for catalog ads and influencer collaborations.

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