Eariler this week in USA Today, Fox Business and some other media sources were reporting that analyst Derek Baine of the research and investment firm SNL Lagan that Discovery Communications was reeling from a $143 million loss due to the sluggish performance of the Oprah Winfrey Network and suggested that it was possible that DC could dump OWN entirely.
Baine added that DC has invested so far $312 million in OWN and “that advertisers may tire of playing the waiting game for shows to catch an audience” and that “without a significant ratings boost by year’s end this could be Oprah Winfrey’s last chapter in the cable network industry”.
However Discovery Communications has fired back saying that Baine’s report is “riddled with inaccuracies and bad information”. They also said that “the venture is on more solid ground with more momentum than ever before and we’re looking to the long-term value we are bulding’”
Given all the money and media hype it’s very unlikely at this time that Discovery Communications will dump OWN, but no doubt Oprah must be under tremendous pressure to get the network on more soild ground ratings wise.