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Started By
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NP Suns walk away from Ballys, put games on local OTA TV.
Posted on 4/28/23 at 12:25 pm
Posted on 4/28/23 at 12:25 pm
quote:
A new kind of local rights deal is emerging in Arizona, where the NBA’s Suns and WNBA’s Mercury announced plans to have a local broadcast channel and streaming service carry their games. Per the deal, Gray Television, which owns three stations in the Phoenix, Tucson and Yuma markets, will carry each one of the team’s games either on its CBS affiliate KPHO, or one of its independent stations (KTVK and KPHE). Kiswe will live stream the games, which will be made available via the Suns and Mercury websites and team-branded apps. Mercury games will be made available for free when the WNBA season kicks off next month. The Suns have not determined how much it will charge for its games.
LINK
The Suns are going to lose money on this, the Pels are making at least $14 million per year on their deal and I'd expect Phoenix to be making significantly more than that. This never would have happened under Sarver. It's nice to see the fans win one for once.
4
Posted on 4/28/23 at 12:32 pm to TigerinATL
Gayle won't be doing this.
Posted on 4/28/23 at 12:33 pm to TigerinATL
They have a great new owner, unlike the Zombie the Pels have.
Posted on 4/28/23 at 12:33 pm to TigerinATL
quote:
Per the deal, Gray Television
This really isn't anything different than sinclair owning the right, except Gray is a bit more financially stable.
This is not a longterm solution.
Posted on 4/28/23 at 1:41 pm to Broski
quote:
This is not a longterm solution.
The RSN model is dying with traditional cable. Teams have done studies and predict they'd make an average of $8 million per year going direct to consumer vs. $30 million per year from the old RSN model they can't go back to. So direct to consumer doesn't look like a great option either.
The long term solution seems like it's going to be bundling local and national rights to the new national partner(s) as part of the new TV deal in a few years.
This post was edited on 4/28/23 at 1:42 pm
Posted on 4/28/23 at 1:57 pm to TigerinATL
quote:
The RSN model is dying with traditional cable.
I understand.
But you realize Gray and Sinclair are both media conglomerates that make their money off of owning local stations, right?
Posted on 4/28/23 at 2:04 pm to Broski
quote:
Gray and Sinclair are both media conglomerates that make their money off of owning local stations
I'm not sure why that matters, but I doubt Phoenix signed anything long term. They are a stop gap while teams and the league try to figure out what's next.
Posted on 4/28/23 at 2:07 pm to TigerinATL
quote:
I'm not sure why that matters,
It matters because the bulk of their money is in an industry that is either, at worst, dying or, at best, going through a major retooling. Sinclair accelerated its fall with just massively stupid business decisions, but the writing is kind of on the wall for Gray, Nexstar, Hearst, Tegna, etc.
Basically, if you want a stable TV product for your local sports team, you don't want it to be tied to any of those corporations.
Posted on 4/28/23 at 8:14 pm to TigerinATL
quote:
they'd make an average of $8 million per year going direct to consumer vs. $30 million per year from the old RSN model
Where is that extra $22m/yr coming from? Are the regional networks taking money that they make showing high school football and women's sports and shifting those revenues to the NBA (while "underpaying" the lesser sports)?
ETA: Thought about it for a minute. I'm guessing that the RSNs being part of cable packages (i.e. you HAVE to pay for it if you want to watch HGTV, that Discovery murder mystery channel, etc.).
This post was edited on 4/28/23 at 8:21 pm
Posted on 4/28/23 at 8:30 pm to THRILLHO
Exactly. Everyone else subsidizing niche sports unwilling/unwittingly with the cable bundle allowed the RSN business model to exist. And that $30 million was an average. The Pels last deal was $12-$14 million. So does that mean the $8 million for direct would be more like $4 million for the Pels?
Posted on 4/28/23 at 8:34 pm to TigerinATL
We can dream baws
Posted on 4/28/23 at 9:03 pm to TigerinATL
quote:
Exactly. Everyone else subsidizing niche sports unwilling/unwittingly with the cable bundle allowed the RSN business model to exist. And that $30 million was an average. The Pels last deal was $12-$14 million. So does that mean the $8 million for direct would be more like $4 million for the Pels?
Depends on how successful these first couple of years of MLS on AppleTV+ is. If the league sees big gains from that, you may see NHL make the move followed by the NBA and MLB.
It could fall into the streaming service trap though. When it was just Netflix, people were fine paying a monthly sub, but once that market got oversaturated with Hulu, Disney+, HBOMax, Paramount+, etc. These streaming services saw prices increase and subscriptions dip.
I worry that if all the other RSN leagues follow MLS, we're going to be paying the roughly the same bill now to only get two of MLS, MLB, NBA and NHL.
This post was edited on 4/29/23 at 11:48 am
Posted on 4/28/23 at 11:04 pm to Fun Bunch
quote:
Gayle won't be doing this.
why not?
the Bensons already have a working relationship with Gray TV
Fox 8 in NOLA... which is the flagship station of the Saints preseason games... was once owned by Benson and then they sold to Gray
I think Benson still has some little bit of minority ownership of Fox 8 even though Gray has all the operational control of the station
plus with all the Gray TV stations around the Gulf... it could help get the Pelicans on even more TVs in the area
Posted on 4/30/23 at 11:15 am to rt3
Argued last year when this came up that team should switch to a local OTA broadcast model + streaming option. Best way by far to build your fan base in he region. They did one preseason broadcast on Fox 8 and it did well. Applaud Suns for going this route. Pels should follow suit, citing Sinclair bankruptcy filing…
Posted on 4/30/23 at 3:28 pm to New City Champ
Gale has made billions the least she could do is ensure all fans can watch the games.
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