Copesa crisis affects Chile's TV industry

Juan Fernandez Gonzalez | 25-11-2013

The Chilean group Copesa is going through severe financial problems which are having a negative impact on the country's TV sector.

The media group, which owns some of the largest publications in the country including the newspaper La Tercera and magazine ˇHola!, has been struggling financially lately. In September it announced that 3TV, its free-to-air channel that was about to air, had been cancelled, even though the schedule was almost finish and most of the staff already hired.
According to the national newspaper El Mostrador, CNN had made some agreements with Copesa regarding equipment, studios and technical staff. In addition, the international channel was going to provide 3TV with its own video archive. CNN has now lost this important source of income and has been forced to reduce its workforce in order to save money.
According to the newspaper, CNN's situation could get worse, as it's expected that next year the Chilean subsidiary will stop receiving finance from its US parent company. VTR, 20% of which also belongs to the Copesa group, is not interested in increasing its financial support to CNN, so the news channel will have to find a new way to get funds.