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DIS
Forbes
2 hrs

Should Disney Drop Broadcasting ABC To Avoid Government Meddling?

1. Needham proposes Disney stop broadcasting, shift content to streaming services. 2. Shutting down ABC could write off $1.7B to $2.7B in spectrum value. 3. ABC's viewership averages only 2.4 million in prime time ratings. 4. Proposal could add 10% value to Disney shareholders by enhancing streaming valuation. 5. Generative AI is changing the media landscape, making regulatory burdens more costly.

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FAQ

Why Bullish?

Transforming from broadcast to streaming may unlock shareholder value. Historical moves to streamline operations often result in increased investor confidence.

How important is it?

The article discusses a major strategic shift that could impact DIS’s valuation and investor perception significantly.

Why Long Term?

Transitioning to a streaming model aligns with longer-term market trends favoring digital consumption over traditional broadcasting.

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