Despite Cable-Costs Crackdown, New Channels Keep Coming

Players ranging from WWE to ABC News and Univision will again try to elbow their way onto pay-TV program guides this year. But 2013 may prove particularly inhospitable for upstart networks as cable and satellite distributors get serious about mitigating rising content costs.

WWE hopes it already has a head start for a network of its own, with huge existing fan base and experience in producing content.

The company, which produces "Monday Night Raw" and "Friday Night Smackdown" for USA Network and Syfy, intends to make an announcement this year about a launch date, according to WWE CMO Michelle Wilson. Earlier reports had the company aiming to introduce the network back in April 2012.

The most challenging part of starting a new network is gaining distribution, Ms. Wilson said, adding that she sympathizes with pay-TV companies. "I appreciate the challenge of increasing programming costs and the operators' need to control those costs," she said.

That could mean that the network appears on distributors' premium tiers, where channels such as HBO and Showtime reside, rather than the more broadly-distributed basic tier. WWE is currently in discussions with potential carriers and is looking at potential models.

Ms. Wilson said "Raw" and "Smackdown" will remain on their current homes, driving viewers to the new network, which will include new, in-ring content in the vein of "Raw" and "Smackdown" as well as pre-show and post-show coverage. WWE also plans to draw from its 100,000 hours of library content for planned series such as "WrestleMania Rewind."

WWE may also look to genres like reality TV and talk shows, Ms. Wilson said.

source: adage.com