Local Broadcasters Form Joint Venture to Provide High-Speed Data Transmission Services to Clients Across the United States
EdgeBeam Wireless, a new joint venture formed by four major broadcasting groups (E.W. Scripps, Gray Media, Nexstar Media Group, and Sinclair), aims to provide nationwide wireless data services using ATSC 3.0 technology. The venture will leverage existing broadcast infrastructure to deliver data services across multiple industries.
The company targets three main markets with significant revenue potential: automotive connectivity ($3.7B/year), content delivery networks ($3.65B/year), and enhanced GPS ($220M/year). EdgeBeam will deliver data to any civilian or military device with an ATSC 3.0 receiver, including vehicles, drones, marine vessels, and mobile devices.
The partnership creates a nationwide spectrum footprint that individual broadcasters couldn't achieve alone, with plans to partner with additional broadcasters for expanded coverage. The service could also provide a backup to existing GPS capabilities, helping secure the U.S. economy.
- Creation of new revenue streams through data transmission services
- Access to large addressable markets totaling over $7.5B annually
- Leverages existing infrastructure, minimizing additional capital requirements
- Potential for nationwide coverage through broadcaster partnerships
- Success depends on widespread adoption of ATSC 3.0 receivers
- Requires additional broadcasting partnerships for full nationwide coverage
- Faces competition from established wireless solutions
Insights
The formation of EdgeBeam Wireless represents a strategic pivot into data transmission services that could generate significant new revenue streams. The joint venture's
The consortium's combined broadcast footprint creates a powerful nationwide network that would be impossible for individual broadcasters to achieve alone. The technology's ability to transmit data to billions of devices with centimeter-level GPS accuracy could disrupt existing wireless service pricing models. Particularly noteworthy is the potential to serve as a GPS backup system, which adds critical infrastructure value.
This venture positions these broadcasters to capture value from the growing connected vehicle and streaming content markets. The
The partnership structure is particularly significant - by combining resources, these broadcasters can offer nationwide coverage while sharing infrastructure costs. This could accelerate ATSC 3.0 adoption and create network effects that benefit all participants. The move demonstrates traditional broadcasters' ability to evolve their business models beyond conventional television broadcasting.
For Sinclair specifically, EdgeBeam represents a important diversification opportunity beyond traditional broadcasting revenue streams. With a current market cap of
The venture's potential to generate recurring revenue from automotive and content delivery services could help smooth out cyclical advertising revenue. The partnership model also distributes development costs and risks across multiple players while creating barriers to entry for competitors. This positions Sinclair and its partners to potentially dominate this emerging market segment.
“EdgeBeam Wireless” Will Use ATSC 3.0 to Provide Faster, More Secure, and Less Expensive Data Delivery
The E.W. Scripps Company, Gray Media, Inc., Nexstar Media Group, Inc., and Sinclair, Inc. launched the new company ahead of meetings this week at the Consumer Electronics Show in
Leveraging broadcasters’ uniquely efficient network architecture and the ATSC 3.0 transmission standard, EdgeBeam Wireless will provide expansive, reliable, and secure data delivery services. Using the broadcasters’ existing ATSC 3.0 facilities to deliver data has immediate applications for industries that need to send data to multiple customers, often in real time. This approach delivers a notably cost-effective solution that complements and enhances current wireless solutions.
Among EdgeBeam’s potential applications:
-
Automotive connectivity – including software updates, infotainment, precision navigation, and safety enhancements. The total addressable market for automotive connectivity services is as much as
$3.7 billion -
Content delivery networks – EdgeBeam can help provide a significantly improved viewer experience for streaming services, without buffering or lag, particularly during high profile events with large audiences, such as live sports. The total addressable market for CDN services is estimated to be as much as
$3.65 billion -
Enhanced GPS – ATSC 3.0 can be used to improve the accuracy of GPS location information to mere centimeters as opposed to meters today. The total addressable market for enhanced GPS services is estimated to be as much as
$220 million
EdgeBeam will be able to deliver data across the country to any civilian or military device with an ATSC 3.0 receiver, such as cars and trucks, drones, marine vessels, phones, tablets, and television sets.
This partnership creates a spectrum footprint that no individual broadcaster could achieve on its own, unlocking the potential of ATSC 3.0 to offer nationwide coverage for data delivery to billions of potential devices on market-disrupting terms. EdgeBeam anticipates partnering with other broadcasters for additional capacity to offer truly nationwide services. A national ATSC 3.0 footprint could also allow broadcasters to provide a complementary backup to existing GPS capabilities in the event GPS satellites were subject to interference – helping to secure the
“The launch of EdgeBeam Wireless is the culmination of many years of technological advancement, market development and, importantly, recognition by government regulators of the expanded services local broadcasters can provide through ATSC 3.0 technology,” said Scripps President and CEO Adam Symson. “Scripps is pleased to join forces with its peer companies to create not just a new company but a marketplace that will allow us to more deeply serve our local communities while providing a wide variety of industries with efficient data-transmission services nationwide.”
“With adoption of ATSC 3.0 receivers in television sets continuing to increase with more models available and sets sold every year, Gray Media is eager to join EdgeBeam Wireless to expand the user base for our broadcast signals to a new category of businesses and to spur the wider deployment of receiver chips in an expanded range of handheld units and vehicles,” explained Hilton Howell, Gray Media’s Executive Chairman and CEO.
Nexstar Chairman and Chief Executive Officer Perry Sook said, “Our long-held belief is that the transmission of high-speed data via our broadcast infrastructure represents a new way forward for the broadcast industry and a new stream of potentially significant revenue. Nexstar is pleased that these four broadcast groups have come together to create this important new venture.”
“This is a groundbreaking development for the broadcast industry,” said Sinclair, Inc. President and CEO Chris Ripley. “We’re thrilled to partner with other leaders in our industry to chart a new path forward and develop new revenue opportunities. EdgeBeam Wireless will have benefits for the entire wireless ecosystem, helping to relieve congestion while also offering competitive pricing for wide-area data distribution.”
About Scripps
The E.W. Scripps Company (NASDAQ: SSP) is a diversified media company focused on creating a better-informed world. As one of the nation’s largest local TV broadcasters, Scripps serves communities with quality, objective local journalism and operates a portfolio of more than 60 stations in 40+ markets. Scripps reaches households across the
About Gray
Gray Media, or Gray, is a multimedia company headquartered in
About Nexstar Media Group, Inc.
Nexstar Media Group, Inc. (NASDAQ: NXST) is a leading diversified media company that produces and distributes engaging local and national news, sports and entertainment content across its television and digital platforms, including more than 310,000 hours of programming produced annually by its business units. Nexstar owns America’s largest local television broadcasting group comprised of top network affiliates, with 200 owned or partner stations in 116 U.S. markets reaching 220 million people. Nexstar’s national television properties include The CW, America’s fifth major broadcast network, NewsNation, our national news network providing “News for All Americans,” popular entertainment multicast networks Antenna TV and Rewind TV, and a
About Sinclair:
Sinclair, Inc. (Nasdaq: SBGI) is a diversified media company and a leading provider of local news and sports. The Company owns, operates and/or provides services to 185 television stations in 86 markets affiliated with all the major broadcast networks; owns Tennis Channel and multicast networks Comet, CHARGE!, TBD. and The Nest. Sinclair’s content is delivered via multiple platforms, including over-the-air, multi-channel video program distributors, and the nation’s largest streaming aggregator of local news content, NewsON. The Company regularly uses its website as a key source of Company information which can be accessed at www.sbgi.net.
Category: General
View source version on businesswire.com: https://www.businesswire.com/news/home/20250107255686/en/
Scripps: Carolyn Micheli carolyn.micheli@scripps.com
Gray: Kevin Latek kevin.latek@graymedia.com
Nexstar: Gary Weitman gweitman@nexstar.tv
Sinclair: Jessica Bellucci jbellucci-c@sbgtv.com
Source: Sinclair, Inc.
FAQ
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