The number of European news channels has doubled in the last five years with over 160 channels available across the EU, according to AFP.
But as the internet becomes a more and more popular form of receiving quick news bulletins, and the credit crunch squeezes advertising revenue, the future of these channels is in doubt – the agency says in a report from the MIPCOM trade fair in Cannes, France.
AFP reports that the massive competition in this sector means the channels often make losses – with half the smaller broadcast media groups reporting losses in 2007 and 2008.
Andre Lange, head of markets and financing at the European Adiovisual Observatory, said: ‘We can expect some channels to go bust in the next few years. The big groups, however, have a certain obligation to their viewers to provide news channels. And for some it will almost certainly be politically important.”
AFP suggests news channels could find greater profits by targeting mobile phone news.