re: Can someone explain the business model that CBS has going?

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Do the network channels get money from cable subscriptions?

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Yes. Which makes no sense, but they hold viewers hostage all the time to get their payments increased.

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No.

WAFB gets money from the cable systems that carry their channel. CBS does not. Now WAFB does have to pay CBS to carry CBS programming. (It used to be the other way around. Networks would pay local affiliates to carry their content.)

As for why the affiliates do not complain to the networks about their streaming services bypassing their contract to provide the network content locally... The affiliates do complain. There was a time when some of the networks allowed the local stations to sell commercial time on the streaming in their area, but that came to an end. It's an ongoing battle. (Imagine if you had the exclusive contract to own McDonald's restaurants in your town, then McDonald's began to send in corporate food trucks to sell directly to your customers. That's where the local stations are now.)