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The XFL thread


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On 5/6/2019 at 9:27 PM, Alphadawg7 said:

 

The TV Deals bring no revenue into the XFL.  There are no rights fees being paid by the networks, just like with the AAF.  This is pretty standard until the XFL establishes ratings and sustained interest.  Likely a 2 year deal with an opt out after 1.  XFL likely wont see revenue from TV until year 3 at the earliest unless they have a big first season and have an opt out clause to negotiate rights fees for season 2. 

 

TV exposure is vital to any league starting up, so its a great deal still without the rights fees as the networks have agreed to pay for the production which is expensive at about $400,000 per game.  Had the networks not done that, the XFL would be responsible for paying to produce the content too.  

 

This is exactly correct.  As the article says:

 

"The networks are not paying a rights fee, but ESPN and Fox are picking up production costs, which generally amount to around $400,000 per game, sources said. As part of the deal, the nets will sell ads around the game; the XFL will handle sponsorships at the venue."

 

$400,000 for ~3 hours of national programming is actually pretty cheap.  The play here is that enough people will watch any kind of football to get enough ads to cover the nut.  If they can pedal spots for $25K to $50K the networks will actually make a few bucks on what might otherwise be dead air time.  (I noticed that tonight one of the ESPN's was carrying women's corn hole, so my point about dead air time is already made.)

 

There's a reason SEC games are televised on Saturdays and MAC games on Thursday nights.  You can guess which ones get better ratings and ad revenues.  Nevertheless, somebody will watch the lesser product in the offseason I suppose.

Edited by Ennjay
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12 hours ago, billsfan89 said:

 

The original made it a full season. I think that they play out the season at the very least. Vince McMhaon sold nearly 200 million of his WWE stock to fund this venture. I imagine he calculated enough funds to play out a season and hearing that they have a TV deal means that they at least have some revenue to go with it. 

 

 

The AAF burned through more than that and still couldn't finish the season.  There is no TV money.  McMahon will take huge losses to finish the season and avoiding humiliation.

 

Ego costs money and fools and their money are easily parted.

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5 hours ago, Mr. WEO said:

 

 

The AAF burned through more than that and still couldn't finish the season.  There is no TV money.  McMahon will take huge losses to finish the season and avoiding humiliation.

 

Ego costs money and fools and their money are easily parted.

 

The AAF lost 70 million to not finish the season (although they burnt more money on the gambling app they were banking on), the original XFL (Which did have a much better TV than the current production costs only deal they have in this new version) lost 70 million to make it a whole season. I think that the XFL will be designed to make it a whole season no matter what. 

 

However I think much like the original Vince burns through a lot of cash and pulls the plug after the first season. I think Vince hopes to see the XFL gain momentum after the first season and see the losses slow in year two and then maybe the league will break even in year 3 and be profitable in year 4. But I think the XFL 2.0 burns towards the worst case scenario amount of cash and they don’t quite have the success needed to project forward that the losses would slow significantly enough in year 2.

 

Vince might have enough to burn 200 million in one season but not two and I don’t think McMahon wants to leverage his WWE position below majority ownership in order to keep his football fantasies alive. But as I said before I do think that he is leveraged enough to at least last the whole season. 

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On 5/7/2019 at 11:08 AM, TroutDog said:

I lived in Birmingham during the first attempt at this. The company I worked for had a box and it was a ton of fun. Basically like top tier NCAA football. 

 

I’m certainly no McMahon fan (I loathe him as some others do here) but it would be nice to watch competitive football in the Spring. 

 

Will Vince be strapping on the pads and lacing up his cleats?

 

I would pay to see him get his clock cleaned!

.

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  • 3 months later...

Hopeful.

 

I was hopeful for the AAF, too, but we saw how that turned out....

9 minutes ago, Just Jack said:

Dammit, I can't stand Landry Jones.

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12 minutes ago, Just Jack said:

And they already have a QB that was better than anything the AAF put out there.  The play in the AAF wasn't bad but the QB play was putrid.

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