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Edited on Tue Jun-07-11 04:09 PM by titaniumsalute
He gets, on average, about 1.5 million viewers per week on Fox Noise. That is total audience. When Howard Stern went to Sirius it was estimated that about 10-15% of his audience ended up paying for his radio show. So let's assume between 10% and 15% of 1.5 million will pay for his show. (I'd bet it is much lower than that as most are 55+ in demo and a fixed income.)
At $5 per month you are talking about $11 million per year for his TV/online "network." Now $11 million might sound like a lot of money but for a network it is pretty much lame. Let's say Beck pays himself $2 mill per year which is what he made at Fox. He would need an executive producer, producer, director, writers, technical staff (camera, engineer, IT) and other assistant staff. Figure probably about another $2 mill in staff salaries. You have all the other bs like benefits, worker's comp, etc. That would probably be another $500K. Figure in fees like BMI/Ascap to be able to broadcast any ads, any music, etc. That could easily be $1 mill. We are already down to $6.5 mill already.
You have all that equipment and server power which is not cheap. In addition, he'll have to pay for the broadcast of the show. Oh yeah, I forgot about production staff for promos, segue-ways, etc. Then of course sales taxes on the subscription based service. Now we're down to about $4.5 million. He needs to have a physical location with offices and a studio to house the equipment. figure another million per year for that stuff. Down to $3.5 million. Shareholders? Other expenses? Utilities, etc.
At the end of the day I see two things. 1. A network that makes very little to no money. 2. Beck loses his huge avenue to people to market his shit like books, coffee mugs, magazines, etc. That will also cost him money.
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