Vuit acquires local news channels in deal with Paramount

Yahoo Finance Live looks at Paramount's stock after a local news channel deal with Vuit.

Video Transcript

DAVE BRIGGS: All right, my play is Paramount. Interesting news today from the local news front. A platform Vuit-- that's V-U-I-T-- reached a deal to add content from 13 CBS owned and operated local news channels, which include major markets right here in New York City, as well as the opposite coast, Los Angeles. Vuit it is a free ad-supported streaming service, which has seen its audience grow exponentially in recent years.

Pay TV penetration, though, is down to levels not seen since 1993, according to MoffettNathanson. They say the Q3 loss of 655,000 subs is the largest third quarter loss ever. Last year's was 617. The year before, 91,000 in Q3. So we are seeing the cord cutting just facilitate at unthought of levels. Paramount's down 40% this year. It is a big riser today, as you can see there, up almost 6%.

Is local news going to move the needle? No. I am a big proponent of local news, and I just want to urge everyone out there to check out local news however they can to keep democracy alive, my friends. That's my advocacy. I'll get off my soapbox now.

SEANA SMITH: No, I like it. You're bringing the spotlight to local news. It's an important story to [INAUDIBLE]. It is interesting, though, I think, when you take a step back. Paramount saying that they are going to try to be diversifying their revenue base. This is one example, not going to move the needle.

But they are finding new ways to bring in revenue, especially when we heard Bob Bakish, time and time again, talk about the softening ad market. He reiterated that earlier this week. That sent shares of Paramount down nearly 10% earlier this week. So I think it's a step. We'll see what it does, but Paramount's outperformance today something to note, at least, up almost 6%.

DAVE BRIGGS: All right, that'll do it here. Josh Shafer, thank you for playing in "Triple Play."