CBS ♥'s CNN, pass it on!

The NY Times business section had a story yesterday to the effect that CBS is talking with CNN about carrying some of its news feeds and reducing its own CBS reporters. However, this is not the first time such discussion has been held.

Is this an end-run around contract language to undo a mistake, and clear the way to replace Katie Couric as principal anchor with John Roberts? Hmmmm. It could perhaps pave the way for a CBS takeover of the CNN channels as well, as part of an overall Time-Warner effort to spin off both CNN and AOL while holding on to the more profitable entertainment channels like TBS, TCM, TNT, etc.

A CBS/CNN corporate marriage would make a lot of strategic sense for CBS (and help restore its competitive position as a news organisation) while improving Time-Warner's balance sheet at the same time.

Either way this would promise to be one of the biggest deals of its kind, creating a major media and entertainment company with both broadcast and cable channels. Newscorp anyone?

CBS Said to Consider Use of CNN in Reporting {Times}
CBS deal with Viacom could deliver younger audience {CNN.com}