Frank the Tank
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Dodd: Lucrative Big Ten Network could be driving force for expansion
Key quote:
Quote:The network became profitable in December of 2008, which explains why expansion could help the monster. If you don't get it on basic cable, the Big Ten's plan is that you soon will. The economy of success is fairly simple: Expansion folds new markets into the Big Ten eight-state "footprint". Interest from those markets forces local cable carriers to carry the BTN on its basic tier. That's where you get ESPN, CNN, Discover and other networks for "free." (The combined price of those networks is reflected in your cable bill.)
Inside the Big Ten region, you most likely receive the BTN on expanded basic cable. Outside of it, you most likely have to pay extra to see it on a digital sports tier. The ultimate goal is get the BTN on basic cable for everyone.
"Expansion would impact us," Silverman said. "We would have more games -- more games and increased level of games. Having more conference games in general is positive for us. Whether it's a school within the footprint or outside the footprint. Either way, it's going to help us."
Cable television analyst Mike Reynolds of Multichannel News estimated that the Big Ten is getting a subscription fee of 70 cents per month per subscriber within that eight-state Big Ten region. Outside of that area, he says, the fee drops to 10 cents.
Take the state of Missouri as an example of the profit potential for the Big Ten. The state had an estimated 2.2 million households in 2008. Let's assume that almost all of those have satellite or cable or both. If the Big Ten added the University of Missouri, it could potentially increase those subscriber fees from 10 cents per person to 70 cents. That's the difference between a gross of $220,000 and $1.54 million per month.
"You add some of these other players and, yeah, maybe when you come up for renewal the money rolls in, in a much bigger way," Reynolds said.
The schools most often mentioned for expansion are Notre Dame, Missouri, Syracuse, Rutgers and Pittsburgh. Expansion could include any one of those or all five -- or teams that haven't been widely considered yet. If the BTN were able to penetrate the New York City market with the addition of Rutgers or Notre Dame or Syracuse (or all three), a potential windfall awaits -- that 70 cents could be doubled.
http://www.cbssports.com/collegefootball...-expansion
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04-16-2010 01:49 PM |
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templefootballfan
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RE: Dodd: Lucrative Big Ten Network could be driving force for expansion
Which is why I think B-10 network is behind the western alliance.
Cali, Tex & NY more than double B-10 network footprint.
To complete the alliance you still adding 10 more markets
[ND,NJ,Wash,Missouri,Ariz,Colo,Org,Okla,KS,Utah]
the orignal B-10 members are going to get 20% increase
with this plan.
2 conf championship games with winners going to Rose Bowl
Ironically thier setting up mini playoff to hold off NCAA playoff
now with 28 schools under B-10 network,
is B-10 network2 possiable
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04-16-2010 02:01 PM |
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Native Georgian
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RE: Dodd: Lucrative Big Ten Network could be driving force for expansion
I think even Roone Arledge would be speechless.
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04-16-2010 02:02 PM |
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ecuacc4ever
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RE: Dodd: Lucrative Big Ten Network could be driving force for expansion
(04-16-2010 02:01 PM)templefootballfan Wrote: Which is why I think B-10 network is behind the western alliance.
Cali, Tex & NY more than double B-10 network footprint.
To complete the alliance you still adding 10 more markets
[ND,NJ,Wash,Missouri,Ariz,Colo,Org,Okla,KS,Utah]
the orignal B-10 members are going to get 20% increase
with this plan.
2 conf championship games with winners going to Rose Bowl
Ironically thier setting up mini playoff to hold off NCAA playoff
I like your thinking, "temple".
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04-16-2010 02:04 PM |
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