PBS President took on this very question in her speech defending the role of PBS at National Press Club last week. It was broadcast on C-Span over the weekend. This is here answer:

"Do we still need PBS in a media landscape of hundreds of choices" and "is PBS still an independent media service, free from the influence of funders or politics?"

The answers are "Yes" and "Yes". More than ever.

In a media environment where everyone seems to be selling something and everything is for sale, our non commercial model is more important than ever

In a time where ownership of media consolidating into bigger businesses with fewer owners, our national/local model with autonomous, community based media institutions more important than ever.

And in a time when media seems increasingly partisan and the public's trust of it lower, our independence and diversity of perspectives is more needed than ever.

She addresses the funding issue:

But to keep sesame street open and Elmo happy and Oscar less grouchy and PBS and stations able to pursue a very innovative agenda for the future, we are going to need to find new resources. And it is that challenge, far more than any political machinations or personal conflicts, which is the greatest challenge to public television in America today.

To give you a frame of reference of how other countries pay for their own public broadcasters, in the UK British citizen pay an annual $200 license on their televisions to support the BBC.

In Japan, it's $240 per household.

In America, we pay $1 per person, per year for public television.

All together, federal dollars account for about 15% of the funding for the public television system. The rest comes from significant support from foundations, corporations and "viewers like you."

If it is just 15%, you may ask, can't you find that money somewhere else? The answer is no, because it's not just the money, it's the principle here:

A democracy needs a public broadcasting service and public money invested in it…just like public money goes to public parks when there are plenty of private ones…and even with bookstores on every corner, we still need public libraries, supported by public funds.

Her speech and her argument for the continuance of PBS and it's role in a healthy democracy are very compelling. Read the whole thing. It's well worth your time.