Channel 4 is a British free-to-air public Broadcast television channel. In order to provide a culturally challenging alternative to BBC, Channel4 was established by Thatcher’s government in 1982. Unlike BBC that has support income from audiences, Channel4 has no financial support from its media users. Channel4’s aim is not about making profit but support key national industry via reinvesting and buying programmes from British TV production companies. Privatisation has been discussed serval times since Channel4 launched because of the government’s push towards privatisation. However, ultimately, the culture secretary Karen Bradley formally announced that Channel 4 was a “valuable public asset” which should “continue to be owned by the nation”.
What might happen after privatizing of channel 4
Professionals have estimates that privatized Channel4 would lead to a $660 million 40%-50% cuts down on its budget. It would result in cutting down the content that would not bring much extra income like news. Over 90% of Channel4’s income comes from advertising. Channel 4 plays a key role in producing TV content based around the UK and sees itself as a key part of the government’s increasing ambitions outside London. It is believed that approximately 60 TV production British companies could be forced to shut if Channel 4 become privatization. After privatization, Channel 4 will start a profit-oriented business model, mainly in the distribution of advertising revenue and the sales of copy rights.
What might happen on The Great British Bake Off after privatization?
The Great British Bake Off may not change much in terms of content, still related to food production, and the rules of the show can still be a group of amateur bakers competing against each other in a series of rounds, trying to impress two judges with their work baking skills. One contestant is eliminated in each round, and the winner is chosen from those who make it to the finals. Of course, since it’s now on channel 4, The Great British Bake-Off competition can be watched for free. But when the show is taken private, it’s likely that the show will pay to watch as Netflix does to earn enough revenue. Audiences might need to subscribe to see the show and it can be produced with higher budget. The show may also insert more sponsorship information, such as brand endorsements during the production of the food or increase the frequency of brand advertising to ensure the series can function properly. In addition，Because Channel 4 will be privatized and the show will be primarily for profit, The Great British Bake-Off can be publicly traded and sold to other media platforms, The Great British Bake-Off competition can also have larger number of audiences. Likewise, since the show will be primarily for profit after privatization, the schedule may be shortened and the format becomes more intense and compact, as well as more flexible.