1) Concentration of Ownership

2) Globalization

3) Audience Fragmentation

3) Audience Fragmentation

From "Broad"casting to "Narrow"casting

Lower cost of content development and channel distributions means less need for "mass" audiences

The two Doonesbury cartoons to the right correctly identified these trends.

A "niche" can provide enough income for profit. Niches have become so small, they are now known as "slivers".

"In the last six months, major media companies have received much attention for starting to move their own programming online, whether downloads for video iPods or streaming programs that can be watched over high-speed Internet connections.

Perhaps more interesting - and, arguably, more important - are the thousands of producers whose programming would never make it into prime time but who have very dedicated small audiences. It's a phenomenon that could be called slivercasting".

Click here to read "The Slivercast is Born."

"In this new age of satellite radio and personalized playlists, only 35 percent of 18-to- 34-year-olds are turning to the once mighty FM radio to find new artists. Meanwhile, online music sales nearly doubled last year to about $2 billion, or 10 percent of all sales.

The reason, says Ben Zalman, radio promotion manager of the Planetary Group, a Boston based music promoter, is simple. 'Although I don't think radio's days are numbered, people are getting more used to the on-demand style of consumption. If someone is in the mood to listen to Modest Mouse, they no longer have to hear the new Red Hot Chili Peppers hit five times before they can.'"

Click here to read "Digital Revives the Indie Pop Star."

Positives to Fragmentation

1) Increased channels for specific types of information

2) Less reliance on "mass" receivers can lead to higher "quality" content

Negatives

1) Loss of national character / shared interests as we become a nation of niches

This is especially evident in the rise of niche news channels and the polarization of America along political lines. The easy categorizing of Americans into "red" and "blue" states is an example.

The following excerpt from a "2014 Pew Political Polarization & Media Habits" study points out the growing Selective Perception and Loss of Credibility in the news media.

"When it comes to getting news about politics and government, liberals and conservatives inhabit different worlds. There is little overlap in the news sources they turn to and trust. And whether discussing politics online or with friends, they are more likely than others to interact with like-minded individuals, according to a new Pew Research Center study."

Click here to read "Political Polarization & Media Habits"

2) Increased competition for smaller audiences will lead to fewer channels