The Obvious Question

[Canadiana] This in my mailbox from the WGC:

At the recent CRTC hearings into the future of Canadian television, private, conventional broadcasters like CTV and CanWest Global said the rise of Internet programming and other technologies have eroded their revenues and they are too poor to spend money on Canadian drama.

If broadcasting is such a losing proposition, why would CanWest want to buy Alliance Atlantis’ 13 specialty channels, let alone pay $2.3 billion for it?

"We keep on hearing the same story from the broadcasters – they are losing money due to market fragmentation and have no money for Canadian drama," says Maureen Parker, Executive Director of the Writers Guild of Canada. "Well, this CanWest/Alliance Atlantis deal blows that argument out of the water. It’s obvious that broadcasting continues to be a lucrative business."

Yep. Ditto.