The growing power of Sky Television and online advertising is behind TV3's decision to pull the plug on its breakfast news launch.
The network said yesterday it had "put on hold" plans to introduce an early morning news programme, which in January it said would rival TVNZ's Breakfast show.
Twomonths later TV3 chiefs have backed away from the idea. Plans for a midday news programme have also been dropped.
TVNZ said last night that its opposition "lacked the gumption" to see the plan through, but one media analyst described it as a very sensible decision.
Mark Jennings, TV3 director of news and current affairs, said he was not saying "never" to morning television, but it needed closer analysis to see if it was the best option in the competitive news market.
"I'm not sure we get the best bang for our buck in the early morning," he said.
Mr Jennings said the increasing fragmentation of the market was behind the change of heart.
Other players, such as Sky, and the rapid growth of the internet as a news provider and advertising medium, meant a review of priorities.
TV3 would instead put money toward its existing evening news programmes, 3 News, Campbell Live and Nightline so they could "become even stronger programmes".
Bill Ralston, head of news and current affairs at TVNZ, said he regretted the lack of competition.
Paul Norris, head of the broadcasting school at Christchurch Polytechnic, said TV3 had made a sensible decision based on the small breakfast viewership and the decline in the advertising market coupled with the uptake in online advertising.
