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Sources: Cubs To Go Own Way In TV Venture

By September 4, 2018No Comments

New deal: The Cubs are ending their partnership with NBC Sports Chicago and launching their own network.

Current deal: The Cubs will get paid $750K per game next year for broadcast rights.

How much more could they make? How about 3X more! The Dodgers make ≈$2M per game in local broadcast rights through SportsNet LA.

Flashback #1: The Dodgers Are on a Roll but Fans Remain in the Dark Amid Cable-TV Dispute

The Dodgers are guaranteed $8.35B over 25 years from Time Warner (now Charter Communications).

That breaks down to an average of $334M/year!

In order to break even, the Network needs to make $1,988 from every pay-TV subscriber in the region or an average of $80/year.

Flashback #2: Big Ten TV revenue distribution reaches an insane $51 million per school

Revenue distribution per school:
1)
2013 — $25M
2)
2017 — $36M
3)
2018 — $51M (↑ 42% YoY)

More #1: College Football Stares Down Major Changes in the Form of Cord-Cutting

More #2: Fight for Fox Local Sports Channels Could Shake Up Broadcasting

More #3: ESPN, Kansas Provide Glimpse at Potential Future for Sports Streaming

Michael Beach

Michael Beach

Michael Beach is the Chief Executive Officer of Cross Screen Media, a media analytics and software company that enables marketers to plan, activate, and measure CTV and linear TV at the local level. Michael is also the founder and editor of State of the Screens, a weekly newsletter focused on video advertising that is a must-read for thought leaders in the advertising industry. He has appeared in such publications as PBS Frontline, The Wall Street Journal, The New York Times, Axios, CNBC and Bloomberg, and on NPR’s Planet Money podcast.

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