3| MEDIA DEALS

 Who Knew Turning Sports Into Prime-Time Drama Could Mint Billions?




The Billion-Dollar Game

Watching sports used to be considered a luxury. It required traveling long distances to get to packed stadiums or staring at a little black-and-white TV. In the modern era, streaming behemoths like YouTube, ESPN+, Disney+ Hotstar, and Amazon Prime have commercialized the sports we all love and transformed them into spectacles. Given the staggering expansion of media rights, it is a wise move on their part. 


The NFL inked a staggering $77 billion contract for its TV rights recently. Cricket fans and advertisers worldwide are going crazy over the $6.2 billion deal that the Indian Premier League (IPL) inked in 2022. But why the expense? Why would they pay so much to broadcast an event that does not even happen all year around ? This is due to the fact that live viewers are something that no Netflix production can equal. No avid fan is choosing to skip the crucial last over of the game. Advertisers know this, and so do the broadcasters.


The Eyeball Economy

Viewers (eyeballs) are at the center of the media rights game. More views translate into more ad money, which allows broadcasters to continue upholding their outrageous bids.  It is a cycle driven by fandom, passion, and a tiny bit of FOMO. 


Consider NBC's agreement. Through 2032, they agreed to pay more than $7.7 billion to broadcast the Olympic Games. Is that not absurd? When your nation's team on the ice, you can not help but watch the TV, even if curling is not your thing. They stimulate passion and capitalize on your emotions.  


The Streaming Takeover

Games aren't just broadcasted on traditional TV anymore. Streaming platforms have entered the game and they are rewriting the playbook. Amazon Prime Video bagged exclusive rights to broadcast Thursday Night Football for $1 billion annually, revolutionising how and where you watch the NFL. 


Simultaneously, platforms like DAZN and their subscription- based streaming has shaken the market for pay-per-view boxing matches. Fans win with affordability and broadcasters with their steady revenue. A classic win-win, unless you’re still figuring out how to pronounce DAZN( a unique marketing technique as well).


Loyalty Has a Price

However everything isn't as it seems. Like in sports, these astronomical changes do favour the broadcasters, who come out as winners. For fans, these “deals” come with a price-literally. All these different charges are bound to pile up. It often leaves fans feeling like their loyalty is being monetized( because, well, it is).


Sports test our loyalty on a daily basis with their fluctuating form. Instead of being rewarded for that, we pay. One match might be on ESPN+, while the other on Disney+Hotstar. What once was an easy cable subscription has now transformed into a web of logins, passwords and monthly renewals. Combine this with a poor performing team( RCB, Ferrari, The Warriors, Manchester United and many more) and it feels as if fans are not getting their money’s worth. 


The love for the game is priceless, but everything else comes with a subscription.

The World is Watching

Media rights didn't stop at the national level. Akin to the astronomical rise of sports media rights has gone global. The NBA has invested heavily in expanding its reach in China where more than 500 million fans watch those thrilling basketball games. Similarly the IPL deal was not only about India, it was about the global appeal of thrilling and fast-paced cricket. Added efforts like multi-language broadcasts, region-specific marketing and tailored content ensures that no fan regardless of their geographic position, feels left out of action. 

The Future Playbook

Luckily, this journey has just begun. Imagine a world with hyper-personalised viewing experiences, AI-driven fantasy leagues and even blockchain-based ticketing. Isn’t that so exciting( more so for these broadcasters). The media right is a sport in its own right, evolving at such an impressive speed. It is certain that it will attract more viewers and subsequently more cash.

As fans we are a part of this ecosystem, in fact we fuel this madness with our passion(and our pockets). We cheer from our living rooms, debate on twitter and (reluctantly) pay those numerous subscription fees-because we can not give up on the game we love. Passion and loyalty is limitless and we can't put a price on it, but we can pay a price for it. The question remains, how far are we willing to go for our love for the game? And how far will broadcasters push to monetize our love?


A ticket bought, a screen unlocked,
Another deal, another stock.
You love the game, you always will,
And that's what keeps their pockets filled.





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