JPMorgan last week released a report that aggregates bills and revenue from sports media rights for network television, regional sports networks and streaming, YouTube’s NFL Sunday Ticket, Amazon’s Thursday Night Football and Apple’s MLS and MLB deals. which in total amount to about 26,000 million dollars in rights. This year.
The result: sports rights inflation is unsustainable in the long run, according to analysts, led by Philip Cusick. That’s due to the speed of linear declines in videos and, despite strong ratings and live audiences, although they expect some sports rights. to continue to see significant renovation increases in the coming years. Another key point: Sports will most likely move increasingly towards virtual/streaming platforms in the coming years, forcing stores to evolve their virtual business models to reflect the platforms’ linear monetization, without which video margins will erode.
For major sports rights programmers and sellers through JPMorgan, the report estimates P’s operating expenses at $18. 2 billion.
JPMorgan writes: “We, who today’s sports ratings and audiences, necessarily imperative in a linear ecosystem contested in a different way, will continue to justify sports rights inflation, but this inflation exacerbates what are already existential demanding situations for the video distribution industry as a whole. Today, it is unclear how DTC/digital platforms will be able to reflect the point of profitability of the legacy style, such as the existing style of low prices and simple on/off on a monthly basis with a higher churn rate. It is unsustainable in general, but especially for sport.
Below are tables showing sports media rights and estimates of revenue growth and royalty fees for selected events and programmers.
Major commitments
Rights compatible with sport.
Rights decided through the programmer.