Local broadcast stations generate $1.19 trillion in GDP, report finds

Local commercial broadcast television and radio stations generated $1.19 trillion in gross domestic product and supported 2.46 million jobs in 2024, according to a report released by Woods & Poole Economics Inc. and BIA Advisory Services.

The study, “Local TV and Radio: Helping Drive the United States Economy,” examined 1,240 commercial television stations and 10,607 commercial radio stations across the United States. The analysis excluded noncommercial stations, cable networks, satellite providers and other video distribution platforms, as well as over-the-air broadcast network operations except for their owned and operated local television stations.

Television accounted for $748.03 billion in GDP and 1.55 million jobs, while radio contributed $437.04 billion in GDP and 909,071 jobs.

“No other industry gives more to Americans for free,” said Curtis LeGeyt, president and CEO of the National Association of Broadcasters, which commissioned the report. “Local stations provide trusted journalism, life-saving emergency alerts and the sports and entertainment that bring our communities together.”

Three components of economic impact

The report divided the economic impact into three categories: direct impact, effect on other industries and stimulative effect on the economy.

Direct impact from the broadcast industry accounted for $53.51 billion in GDP and 310,924 jobs. Television generated $33.69 billion in GDP with 195,755 jobs, while radio produced $19.82 billion in GDP with 115,169 jobs. This figure included employment in broadcasting, advertising and programming, estimated at 212,000 jobs, as well as an additional 99,000 jobs in industries supplying goods and services to broadcasters.

The report noted that industries ranging from telecommunications and public utilities to manufacturing, transportation and retail trade provide inputs for local television and radio broadcasting.

The ripple effect of broadcast employees’ spending added $134.10 billion to GDP and supported 775,759 jobs. Television accounted for $86.35 billion in GDP and 488,411 jobs in this category, while radio contributed $47.75 billion in GDP and 287,348 jobs.

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“A worker in local broadcast television advertising consumes manufacturing output when he or she purchases an automobile,” the report stated. “A worker in local radio broadcasting consumes construction sector output when he or she purchases a new home.”

The largest component, described as the stimulative effect of advertising, contributed $997.46 billion in GDP and 1.37 million jobs. Television generated $627.99 billion in GDP and 866,449 jobs, while radio produced $369.47 billion in GDP and 506,554 jobs through this mechanism.

Role of advertising in economic growth

The report attributed the stimulative effect to the role of broadcast advertising in reducing the cost of product information for consumers and providing competitive intelligence to businesses.

“With the product and service feature and price information obtained from local broadcast television and radio advertising, consumers allocate their purchases more efficiently and businesses design goods and services to keep pace with their competitors,” the report stated.

The analysis noted that advertising reaches almost all households in the United States, creating demand and economies of scale for producers and consumers. The report described paid advertising as providing consumers with product information and price comparisons while giving competitors access to information about product features, innovations and price structures.

“An unintended consequence of paid advertising by businesses is that competitors can learn of product features, innovations and price structures,” the report stated. “This competitive intelligence encourages businesses to adapt and to offer better products at lower prices, benefiting consumers and creating real economic growth and increases in wealth.”

Revenue projections and outlook

BIA Advisory Services data indicated that broadcast revenues are expected to remain stable through 2028.

Television station revenues, combining over-the-air and digital sources, were forecast to reach $22.21 billion in 2024 and fluctuate between $20.17 billion and $22.21 billion through 2028. Radio station revenues were projected at $12.41 billion in 2024 and expected to range from $12.17 billion to $12.41 billion during the same period.

“Research suggests that both local television and radio broadcast revenues will remain steady through the year 2028,” the report stated. “The unique forum and low cost of providing entertainment and product information to consumers ensure that revenues will increase in coming years.”

The report noted that the economic impact described in the study will show parallel growth to revenue trends.

Woods & Poole Economics used Bureau of Economic Analysis input-output tables and U.S. Census Bureau employment data to calculate the economic impact. The firm applied multiplier factors capped at 2.5 jobs and stimulative factors limited to $19 of economic output per $1 of advertising output and fewer than 40 jobs per $1 million of advertising output. The study used 2024 estimates based on revenue projections from BIA Advisory Services. Employment estimates were obtained from detailed industry data for broadcasting and advertising, classified under NAICS code 5151.

Industry context

The $1.19 trillion figure represents the total economic impact across all three categories, with advertising’s stimulative effect accounting for 83.8% of that total. The direct revenue base of $53.51 billion positions local broadcasting as a modest contributor to the U.S. economy compared to sectors like technology or finance, though the report’s methodology amplifies that figure through multiplier effects and advertising’s broader economic influence.

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Overall, the revenue projections suggest an industry managing contraction rather than pursuing growth, which aligns with broader shifts in television consumption patterns.

The combined television and radio revenue of approximately $34.6 billion projected for 2024 exists within a broader advertising market where digital platforms now command the majority of spending. U.S. digital advertising revenue exceeded $200 billion in recent years, according to industry estimates, dwarfing traditional broadcast figures. With two major political cycles on the horizon, it will boost stations in the short term.

The report does not provide a detailed account of how streaming video and audio services are changing media and advertising allocation. Connected TV advertising, podcast advertising and other digital audio formats represent direct competition for the same advertising categories that have historically supported broadcast stations. The absence of comparative analysis with these platforms leaves questions about broadcasting’s relative position in the current media ecosystem.

The report arrives as local broadcasters face questions about their long-term viability in a media landscape where younger audiences increasingly favor on-demand digital content over scheduled programming. The projection of stable rather than growing revenues through 2028 suggests the industry expects to maintain its current position rather than reverse audience and advertising share losses to digital competitors.