Read this: Streaming and media consolidation are killing local news

Streaming is killing legacy media, but local news is perhaps its most vital and vulnerable casualty. As Hollywood studios merge and consolidate to make the industry smaller, a very similar slash and burn effect is happening on local television outlets. Last week, the FCC approved Nexstar Media Group’s $6.2 billion to acquire its competitor, Tenga, meaning Nexstar would effectively own 15 percent of all television stations in the country. This week, The L.A. Times reports that a wave of layoffs have already begun at Nexstar owned outlets. 

Reporters Stephen Battaglio and Cerys Davies lay out the problem facing local news right now. These mergers are becoming more common because station ad-revenue is drying up, with streaming accounting for some 40 percent of all viewing. Broadcast TV stations are a vital source of news, but as its viewership ages, these outlets are failing to attract younger viewers. The former president of CBS News, Andrew Heyward, who now advises local TV stations, seemingly hit the nail on the head. “It used to be that people would grow into the news habits of their parents, and now they’re not,” he said. “The next generation of consumers are never going to run home to watch the newscast at 5, 6, 10 or 11.” 

Nexstar is now the largest owner of stations in the country—which is why the FCC has been flexing its muscles with regards to what comedians these stations should carry. Following more than $40 million in losses last year, the conglomerate has slashed roles in New York, Los Angeles, and Chicago, and reportedly begun moving money toward streaming, like the rest of the industry. However, now that the merger has been approved, more layoffs are likely headed to more stations.