TVNZ Will Likely Lose $100M in Advertising by End of Decade
November 6, 2022
The Government’s new public media entity will witness the loss of a third of TVNZ’s existing commercial revenue, equating to about $100 million a year, within five years, according to advice from officials.
This lost revenue will need to be supplemented by taxpayer funding from the Crown, which is forecast to contribute $211m a year to the entity over 30 years, roughly half of which will be used to plug the shortfall in advertising.
The commercial details were revealed in a late draft of a business case for the Government’s RNZ-TVNZ merger, obtained by the National Party.
The party’s broadcasting spokeswoman Melissa Lee said the documents showed the Government was wilfully destroying TVNZ’s commercial model and forcing the taxpayer to pick up the tab.