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re: Sling TV Releases Sports Package - $5 Per Month

Posted on 2/9/15 at 12:11 pm to
Posted by PrimeTime Money
Houston, Texas, USA
Member since Nov 2012
27324 posts
Posted on 2/9/15 at 12:11 pm to
How would another company have the dough to pay for the rights for NFL, NBA, or MLB content and then make a profit with an a la carte service when competing against ESPN and their 100 million subscribers and billions of dollars in revenue under the current system?
This post was edited on 2/9/15 at 12:13 pm
Posted by rocket31
Member since Jan 2008
41819 posts
Posted on 2/9/15 at 12:11 pm to
quote:

Well some here seem to think a la carte is coming in the future


let me guess, you probably thought dialup internet would be around forever too?
Posted by rocket31
Member since Jan 2008
41819 posts
Posted on 2/9/15 at 12:12 pm to
quote:

NFL, NBA, or MLB content


these leagues will eventually stream most content online on their individual channels.
Posted by PrimeTime Money
Houston, Texas, USA
Member since Nov 2012
27324 posts
Posted on 2/9/15 at 12:16 pm to
ESPN and TNT is paying the NBA $24 billion dollars to broadcast the games. NBA won't make that kind of money streaming online.
Posted by rocket31
Member since Jan 2008
41819 posts
Posted on 2/9/15 at 12:18 pm to
quote:

NBA won't make that kind of money streaming online.



of course not, but in 20 years they will also never get that type of contract again because the market is trending in other directions.


Posted by Dr RC
The Money Pit
Member since Aug 2011
58117 posts
Posted on 2/9/15 at 12:22 pm to
quote:

let me guess, you probably thought dialup internet would be around forever too?




quote:

of course not, but in 20 years they will also never get that type of contract again because the market is trending in other directions.


Sports content providers do not want a la carte either. They make more now with the current system.
Posted by lynxcat
Member since Jan 2008
24184 posts
Posted on 2/9/15 at 12:29 pm to
The reality is it does not matter what the content providers want in the long term because innovation will drive new business models that force them to adapt.

The contracts with the leagues are the tail wagging the dog. In a worst case scenario, ESPN could restructure those contracts.
Posted by rocket31
Member since Jan 2008
41819 posts
Posted on 2/9/15 at 12:29 pm to
quote:

They make more now with the current system.


duh.

then they go bankrupt similar to the once $200 million dollar corporation named Blockbuster (the same company who turned Netflix down in 2000 because they thought it wouldnt be a success - just lol)
Posted by Dr RC
The Money Pit
Member since Aug 2011
58117 posts
Posted on 2/9/15 at 12:37 pm to
Well you can hope all you want, you arent going to be getting your sports for a mere $10-$15 a month anytime soon if full on a la carte happens. This is especially if your sport is the NFL. The MLS Live streaming package is $65 (roughly the same $5 a month ESPN costs on cable) and that league has a much smaller fanbase than the other big 4 North American sports. The NBA League Pass is $100 of you want it on your TV and that's what it is w/the massive deals they have from ESPN and TNT. It will absolutely go up if that revenue is lost.

This doesnt even begin to take into account what ISP providers are going to do with your bill if all the sudden their cable and satellite arms aren't making money off of TV packages.
This post was edited on 2/9/15 at 12:42 pm
Posted by rintintin
Life is Life
Member since Nov 2008
16191 posts
Posted on 2/9/15 at 12:39 pm to
quote:

How would another company have the dough to pay for the rights for NFL, NBA, or MLB content and then make a profit with an a la carte service when competing against ESPN and their 100 million subscribers and billions of dollars in revenue under the current system?


How did Netflix almost single handedly put Blockbuster out of business?

How did Amazon single handedly make B&N and Books a Million an afterthought?

How did (insert any new thriving company) put (insert any competing out of business company) out of business?

I'm not saying anyone is gonna put ESPN out of business, but if they don't provide what the market wants, someone will and people will look elsewhere.
Posted by KosmoCramer
Member since Dec 2007
76547 posts
Posted on 2/9/15 at 12:44 pm to
quote:

How did Netflix almost single handedly put Blockbuster out of business?

How did Amazon single handedly make B&N and Books a Million an afterthought?

How did (insert any new thriving company) put (insert any competing out of business company) out of business?

I'm not saying anyone is gonna put ESPN out of business, but if they don't provide what the market wants, someone will and people will look elsewhere.


You're wrong man. ESPN and the Sports Leagues will never allow ESPN to not make that much money no matter what the changes in the market. This is different than all those other ones you mentioned.
Posted by TiptonInSC
Aiken, SC
Member since Dec 2012
18924 posts
Posted on 2/9/15 at 12:48 pm to
If they had A&E and History in a package I would join ASAP
Posted by PrimeTime Money
Houston, Texas, USA
Member since Nov 2012
27324 posts
Posted on 2/9/15 at 12:58 pm to
quote:

How did Netflix almost single handedly put Blockbuster out of business?

How did Amazon single handedly make B&N and Books a Million an afterthought?

How did (insert any new thriving company) put (insert any competing out of business company) out of business?

I'm not saying anyone is gonna put ESPN out of business, but if they don't provide what the market wants, someone will and people will look elsewhere.
Those are all completely different situations with very little similarities. Not applicable to this particular conversation at all.
Posted by lynxcat
Member since Jan 2008
24184 posts
Posted on 2/9/15 at 12:59 pm to
You are a lost cause if you cannot fathom a situation where ESPN could be overtaken much less start earning less profit than they currently do.

All it takes is innovation that tweaks this model enough to open the flood gates. There is a lot of demand to cut the cord as soon as viable options are available. Aereo was going to be formiddable until the Supreme Court struck them down - and that is just the beginning.
This post was edited on 2/9/15 at 1:00 pm
Posted by rintintin
Life is Life
Member since Nov 2008
16191 posts
Posted on 2/9/15 at 1:21 pm to
I think he was being sarcastic.

quote:

Those are all completely different situations with very little similarities. Not applicable to this particular conversation at all. 


How so? They are companies that offered a service, where another company came and offered a different/better one. How is that not applicable to streaming sports content?

ETA: Let me ask you a simple question. 10 years from now do you honestly think that the only option for watching sports will be through cable TV?
This post was edited on 2/9/15 at 1:26 pm
Posted by KosmoCramer
Member since Dec 2007
76547 posts
Posted on 2/9/15 at 1:26 pm to
quote:

You are a lost cause if you cannot fathom a situation where ESPN could be overtaken much less start earning less profit than they currently do.


I was being sarcastic because I knew this comment was coming from primetime:

quote:

Those are all completely different situations with very little similarities. Not applicable to this particular conversation at all.


Right on cue.
Posted by dhuck20
SCLSU Fan
Member since Oct 2012
20425 posts
Posted on 2/9/15 at 1:29 pm to
I can't do it until they get the local Fox sports networks for Hawks and Braves
Posted by PrimeTime Money
Houston, Texas, USA
Member since Nov 2012
27324 posts
Posted on 2/9/15 at 1:31 pm to
Because those are new companies who offered the same thing in a more convenient way.

They weren't selling movies or books at a cheaper cost.

ESPN and other networks are the content providers. They are like the movie or book companies. They are making too much money to change. The cable and satellite companies are making too much money to change.

A new company can't just come along and offer ESPN and TNT and other networks for $15 or whatever on their own. They need ESPN and the other networks to be on board.

You know what this "Sling TV" is? It's Dish Network. Dish Network is trying to pick up some "cord cutters" who dropped them. Cord cutters are a very small minority, relatively speaking, but Dish saw an opportunity to cut into the business of other streaming services like Hulu.

This is Dish Network trying to reach every last customer they can... they aren't revamping the whole system. They are getting the few "cord cutters" plugged back in so that they can make some money off of them when they were previously unreachable.
This post was edited on 2/9/15 at 1:34 pm
Posted by KosmoCramer
Member since Dec 2007
76547 posts
Posted on 2/9/15 at 1:34 pm to
Posted by PrimeTime Money
Houston, Texas, USA
Member since Nov 2012
27324 posts
Posted on 2/9/15 at 1:35 pm to
That doesn't necessarily mean people are not willing to pay for cable. There could be any number of factors.

For example, the economy has been pretty crappy with lots of unemployment. People may have dropped cable out of necessity.
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