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NFL looking for a 100% increase in broadcasting rights fees on new TV contracts


Big Turk

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2 hours ago, Ned Flanders said:

That's about the number, actually a small percentage of DTV subscribers get ST.  

 

Heard today that the NFL REALLY wants to get the new TV deal done before free agency starts in mid-March so they can get a better idea of their finances going forward.  ESPN is holding out though and MNF is in danger...I think the World Wide Leader will capitulate though, and pay the king's ransom.

 

You wonder if it's a case the league wants MNF on ESPN or some type of "broadcast" channel as opposed to streaming only entity, but have a huge offer from someone like a Yahoo waiting in the wings. So trying to make it work with ESPN, but if they can't will dump them.

 

Am surprised at how few subscribers ST has, but then again if DTV is only in the 14 mil range, not as surprising.

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I do like watching the Bills play, but I’m not drinking the NFL koolaid, the NFL is just another greedy corporation, like so many others.

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14 minutes ago, Ed_Formerly_of_Roch said:

 

You wonder if it's a case the league wants MNF on ESPN or some type of "broadcast" channel as opposed to streaming only entity, but have a huge offer from someone like a Yahoo waiting in the wings. So trying to make it work with ESPN, but if they can't will dump them.

 

Am surprised at how few subscribers ST has, but then again if DTV is only in the 14 mil range, not as surprising.

 

Remember Yahoo is part of Verizon and Verizon is already in bed with NFL.

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3 hours ago, y2zipper said:

 

The whole point of DirecTV buying the license was using it to make people subscribe to DirecTV. It's the same thing that cable companies do when they purchase a local baseball or local basketball contract. When my family had DirecTV, the company would basically give Sunday ticket away every year when it was time to renew because Sunday ticket is DirecTV's loss leader.

 

Whoever the NFL decides to sell their streaming license to is going to want to make money off of whatever they pay for the license. that means the price of the consumer probably goes up if say Amazon gets it, but at least up until this point the other streaming services have decided that they can't afford what the NFL wants.

 

The NFL discovered a long time ago that the real cash cow is it's licensing rights. The league doesn't have to pay all of the expenses of running the production or facilitating the broadcast if they just sell their license to a network or to a cable company or somebody else.

 

 

 

They dont have to use the same model as the sunday ticket. Your not wrong, but the all or nothing package model does not need to be invoked. In fact, that model is already problematic. To make big money, Amazon could adopt the a la carte pay per view model more typical of major sports features. They have 112 million subscribers and would likely get a boost. I also think the red zone channel, and more prime time games has reduced the marketability of a high cost "package" type bundle .  

 

The NFL also "discovered long ago" how to be stubborn. The profitability / business model for streaming is unfolding in a rapidly changing realm . If there were lessons learned 15 years ago about cable, they are obsolete.

 

Again, I believe the NFL is not as smart as they let on, and the more forward thinking ideas would have been streaming and setting up thier own streaming service. In fact, they have much of this infrastructure already in place. 

Edited by RichRiderBills
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On 2/21/2021 at 11:05 PM, 97bills said:

This is what worries me I live in Mississippi and without ST I only get the prime time games and until this year that was maybe 2 games a year. And I live in the woods so I have satellite internet and if anyone has it they no it sucks so streaming games all day would be hard even just one a week. I wish they would give everyone a piece of the pie so there would be more options so if I wanted to pay DTV hi price at least I could still watch my bills. And if someone wants to steam that’s there to I would love to see something like pay for a game as you go it would be like ST you see all the games and a price next to them just like buying a movie. That way if the bills are on my local tv I don’t spend that money. I don’t no I’m just rambling off I hate paying DTV but be careful what I wish for with sorry internet. My cable bill is around 175$ During football season and I’ve been paying that for years. GO BILLS 

I just posted about steaming I have satellite internet and it sucks no way I can watch a game every week streaming. So what ever happens I hope I can still get every bills game. 

Similar situation in rural VA. I installed a commercial 4g repeater, got Verizon’s 4g home service, and dropped satellite service. There are work arounds. On the plus side, my total service price is lower. The downside is the upfront cost of buying and installing a repeater/booster. I wrote it off as a business expense though. 

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6 minutes ago, RichRiderBills said:

 

They dont have to use the same model as the sunday ticket. Your not wrong, but the all or nothing package model does not need to be invoked. In fact, that model is already problematic. To make big money, Amazon could adopt the a la carte pay per view model more typical of major sports features. They have 112 million subscribers and would likely get a boost. I also think the red zone channel, and more prime time games has reduced the marketability of a high cost "package" type bundle .  

 

 

This is an excellent point that I have been considering leading up to where the rights to streaming, or the new Sunday Ticket type access lands.

 

As we move more and more to a streaming world, and more people cut the cord, my hope is the NFL will see that selling a package that bulk includes "all" games minus black out restrictions doesn't make as much sense. As people move away from traditional TV but would still like to be able to enjoy watching their choice of NFL games how can they justify a big price tag for a Sunday Ticket type package when every SNF, MNF, TNF, local broadcasts and the few Saturday games would not be included? I suppose for DTV it made a bit of sense as you had to have a DTV subscription and would still be able to watch all the Sunday Ticket blacked out games but the cable subscription TV model is dying for sure.

 

I'm not confident that they will be able to be forward thinking enough to come up with something that makes sense but my hope is they will come up with something that makes sense instead of these old antiquated models.

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Disney, NFL have a gap of more than $1 billion per year in their initial positions

https://sports.yahoo.com/disney-nfl-gap-more-1-171721277.html

Note: Normally I try to quote initial source but you can only get access if you have subscription, even if you are google, so using article of someone who supposedly read article and put his own slant on it.

Quote

Disney, the parent company of ESPN and ABC, has balked at the NFL’s demands. According to John Ourand of Sports Business Journal, the NFL initially asked for $3.5 billion per year for Monday Night Football. That would represent a 75-percent increase over ESPN’s current annual average of $2 billion.

Per Ourand, ESPN offered $2.4 billion per year, a 20-percent bump over the current amount.

 

Personally I think ESPN is dead since there are a lot less subscribers to ESPN and Disney could get a lot more advertising dollars on ABC.

 

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Mostly they justify it by being the best of the professional sports networks.  They also added games to season which players say they do not want but NFLPA agrees to and players will accept the money rather than sitting out.

 

Disney's problems about losing money is not just COVID but ESPN which viewers are abandoning and due to amount they are charging for ESPN telephone providers are putting it on high priced tiers. 

 

Some more facts on season:

https://frontofficesports.com/nfl-viewership-tv-tracker-week-17-2020-regular-season/

Quote

The NFL generated 82 of the top 85 sports TV audiences in 2020, according to Sports Media Watch.

 

The only exceptions were three college football telecasts last January: the Oregon-Wisconsin Rose Bowl; the Alabama-Michigan Citrus Bowl; and LSU-Clemson CFP National Championship.

It only addresses regular season not playoffs or Superbowl which also had decreases, some large, with multiple causes including no two week media period and home team hosting Superbowl for first time.

 

Quote

The league’s decrease was also modest compared to double-digit declines for other sports, noted Sports Media Watch, including the Stanley Cup Finals (-61%), the final round of the Masters Tournament (-58%), NBA Finals (-49%) and World Series (-30%).  

 

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On 2/23/2021 at 11:01 AM, Buffalo Junction said:

Similar situation in rural VA. I installed a commercial 4g repeater, got Verizon’s 4g home service, and dropped satellite service. There are work arounds. On the plus side, my total service price is lower. The downside is the upfront cost of buying and installing a repeater/booster. I wrote it off as a business expense though. 

 

For all who are in rural areas and eventually a lot more of us "Starlink" is already running.

I would check it out if you haven't.

 

https://www.cnbc.com/2021/02/22/elon-musk-spacex-will-double-starlink-internet-speed-later-this-year.html

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On 2/23/2021 at 12:47 PM, Don Otreply said:

I do like watching the Bills play, but I’m not drinking the NFL koolaid, the NFL is just another greedy corporation, like so many others.

How do you separate watching the Bills and not drinking the NFL koolaid? Like it or not, watching the Bills is sipping from that cup.

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