2004 Annual Report - Network TV Economics

Standing apart from most of these characterizations is "Nightline." It does not air in prime time and it does not follow the traditional news magazine format. As many of the magazines have gone more infotainment-oriented and sensational in content, "Nightline" has resisted. It also has changed its format and updated its look and feel a good deal more than some might imagine, without changing its seriousness, becoming much more flexible than its original format of a six-minute set-up piece followed by 15 minutes of interview. And while it has also seen its revenues decline in recent years, it has been far more stable than most news programs and much more than entertainment programming.

But avoiding the problems and resisting the pressures that have beset other network shows has not entirely protected "Nightline." In 2002, ABC considered luring David Letterman away from CBS to fill the 11:30 p.m. Eastern time slot. The deal eventually fell through and Letterman stayed with CBS, but the fact that ABC pursued him suggests that "Nightline's" approach to a weeknight magazine may be threatened. The problem wasn't that Nightline wasn't profitable or that its audience was too old. According to internal numbers from ABC Nightline at the time was expected to make $13 million in profit.²² The problem was merely that Lettermen might have made more money and attracted even younger demographics. The issue becomes one of purpose. If a network's owner feels that it gains something from offering a "Nightline" program to the society, it will view things one way. If it feels it gains operating income from offering "Nightline" and little more, it will view things another way.