Private Equity Sees a Few More Miles Left in Traditional TV Model
September 05, 2013
The television revolution will not be televised. It may not even be recorded. More likely, revolutionaries say, it will be streamed wirelessly to whatever mobile device is within arm’s reach, and, perhaps, without any pesky ads. Not only are the televisions themselves doomed to obsolescence, so is the entire traditional apparatus that keeps them afloat.
Broadcast studios, overpaid executives and subscription models all included.
A pair of private equity firms, GTCR and Spectrum Equity, sees a little more money to be made in the existing television model, however. Quietly, GTCR is building a rural-focused cable and telecommunications platform built on the familiar triple-play model of broadband, video and voice. Rural Broadband Investments, its platform, is looking to scoop up between 300,000 and 400,000 cable subscribers in small to mid-sized markets, subscribers used to paying upwards of $150 per month for their connections to the outside world.