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ACC cashes in...
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mattsarz Offline
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Post: #1
ACC cashes in...
A friend who has a subscription to Sports Business Journal notes that ESPN has won all rights to the ACC. The highlights that he mentioned include

1) 12 years, $1.86 billion. Average annual rights are $155 million

2) ESPN will now own all football and men's basketball rights. This is significant as Raycom owned the MBK rights in the past and owned the regional rights to 13 FB games.

3) Raycom will sublicense and syndicate regional games from ESPN

4) FOX drove up the rights significantly. They offered games on FOX, FSN and F/X. They drove the rights negotiation up by 25% from ESPN's initial offer of $120 million.
(This post was last modified: 05-17-2010 06:19 AM by mattsarz.)
05-17-2010 06:18 AM
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Airport KC Offline
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Post: #2
RE: ACC cashes in...
The money announced is only 12-13 million per school, clearly more than what the ACC was getting but not impressive when compared with SEC/Big Ten.

After years of having the highest rights fees in the college sports (which attracted VT, Miami, BC) they are now playing second fiddle to the Big Ten/SEC.

I wonder if this means a significant deal can be struck on Fox Sports for the PAC-10, Big XII or Big East?
05-17-2010 06:29 AM
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Post: #3
RE: ACC cashes in...
So that comes up to a rough median of 12.92M a year per team. Congrats to the ACC. Much better than what I was expecting.

So if the Big East manages to keep things together it looks like we're going to have to go the Fox or NBC route. Will be interesting in a couple of years.
05-17-2010 06:30 AM
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SoCalPanther Offline
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Post: #4
RE: ACC cashes in...
WOW! 04-jawdrop that is impressive. I'm actually kind of shocked at that number especially when rumors came out that the contract negotiations weren't going well. I think they just about doubled their previous TV contract. I hope that now that the BE presidents kiss goodbye to the notion that anyone will leave the ACC for the BE.
(This post was last modified: 05-17-2010 07:24 AM by SoCalPanther.)
05-17-2010 07:11 AM
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swash Offline
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Post: #5
RE: ACC cashes in...
So much for those claiming the ACC would receive less than they were making before. If this report is correct, they greatly exceeded market expectations.

As I've stated many times before, here and other places...I can't stand them, but they basically invented sports marketing as we know it. To pull this kind of premium, in this economy, with the polished turds they're peddling, is impressive...I don't care who you are.

What does this mean for the Big East? I don't know, but it damn sure ain't good. Simply put, the ACC will be getting $155 million a year for at least the next 12 years. The Big East will be getting $33 million a year for at least the next 3 years. That's a gap even Ron Jeremy would wince at.
05-17-2010 07:31 AM
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Post: #6
RE: ACC cashes in...
(05-17-2010 07:31 AM)swash Wrote:  So much for those claiming the ACC would receive less than they were making before. If this report is correct, they greatly exceeded market expectations.

As I've stated many times before, here and other places...I can't stand them, but they basically invented sports marketing as we know it. To pull this kind of premium, in this economy, with the polished turds they're peddling, is impressive...I don't care who you are.

What does this mean for the Big East? I don't know, but it damn sure ain't good. Simply put, the ACC will be getting $155 million a year for at least the next 12 years. The Big East will be getting $33 million a year for at least the next 3 years. That's a gap even Ron Jeremy would wince at.

The BE is actually getting about $45 million per year from Espn. That is still not good, and your greater point still stands regarding the huge gap, but there is about $12 million left out there.
05-17-2010 07:49 AM
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mattsarz Offline
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Post: #7
RE: ACC cashes in...
(05-17-2010 06:29 AM)Airport KC Wrote:  I wonder if this means a significant deal can be struck on Fox Sports for the PAC-10, Big XII or Big East?

I received a copy of the article and the author speculated that it must have meant a great deal to the Big 12 and PAC-10 that FOX was so active in the ACC bidding.
05-17-2010 07:58 AM
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Ring of Black Offline
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Post: #8
RE: ACC cashes in...
(05-17-2010 07:31 AM)swash Wrote:  So much for those claiming the ACC would receive less than they were making before. If this report is correct, they greatly exceeded market expectations.

As I've stated many times before, here and other places...I can't stand them, but they basically invented sports marketing as we know it. To pull this kind of premium, in this economy, with the polished turds they're peddling, is impressive...I don't care who you are.

What does this mean for the Big East? I don't know, but it damn sure ain't good. Simply put, the ACC will be getting $155 million a year for at least the next 12 years. The Big East will be getting $33 million a year for at least the next 3 years. That's a gap even Ron Jeremy would wince at.

Agreed...
05-17-2010 08:10 AM
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swash Offline
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Post: #9
RE: ACC cashes in...
(05-17-2010 07:49 AM)cuseroc Wrote:  The BE is actually getting about $45 million per year from Espn. That is still not good, and your greater point still stands regarding the huge gap, but there is about $12 million left out there.

My apologies...a 6-year, $200 million contract with ESPN was published by SBJ...has there been an updated negotiation?
05-17-2010 08:12 AM
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mattsarz Offline
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Post: #10
RE: ACC cashes in...
(05-17-2010 08:12 AM)swash Wrote:  
(05-17-2010 07:49 AM)cuseroc Wrote:  The BE is actually getting about $45 million per year from Espn. That is still not good, and your greater point still stands regarding the huge gap, but there is about $12 million left out there.

My apologies...a 6-year, $200 million contract with ESPN was published by SBJ...has there been an updated negotiation?

I don't think so, I think that's about right for the overall numbers.
05-17-2010 08:23 AM
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Post: #11
RE: ACC cashes in...
(05-17-2010 06:29 AM)Airport KC Wrote:  The money announced is only 12-13 million per school, clearly more than what the ACC was getting but not impressive when compared with SEC/Big Ten.

After years of having the highest rights fees in the college sports (which attracted VT, Miami, BC) they are now playing second fiddle to the Big Ten/SEC.

I wonder if this means a significant deal can be struck on Fox Sports for the PAC-10, Big XII or Big East?

One would figure that with Fox (FOX, FSN, FCS), Comcast (NBC, VS, CSN), and CBS (CBS, CBS College), there will be plenty of action as the P10, B12 and BE rights come up. The ACC bid process confirms that Fox, at least, is willing to push ESPN for college rights. P10 is up next.
05-17-2010 08:28 AM
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Airport KC Offline
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Post: #12
RE: ACC cashes in...
(05-17-2010 07:58 AM)mattsarz Wrote:  
(05-17-2010 06:29 AM)Airport KC Wrote:  I wonder if this means a significant deal can be struck on Fox Sports for the PAC-10, Big XII or Big East?

I received a copy of the article and the author speculated that it must have meant a great deal to the Big 12 and PAC-10 that FOX was so active in the ACC bidding.

There would be a significant audience for prime time PAC-10/Big XII games opposite SEC/B10 on Fox.

A lot of people like watching the SEC and a lot of people do not. I'm one that would prefer a PAC-10/Big XII game over SEC/ACC southern football.
05-17-2010 08:43 AM
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Post: #13
RE: ACC cashes in...
This is exactly why the Big East should be going into overdrive to build their network. With Fox losing the ACC I'm sure they will pay a pretty penny for Big East sports, especially Big East basketball. The Big East need to grow a pair and demand huge coin.
05-17-2010 08:43 AM
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mattsarz Offline
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Post: #14
RE: ACC cashes in...
Fox only lost the Sunday night games but there is another thing happening over there...

Fox is trying out moving its MLB package to primetime, this weekend and one other weekend in June. They will also televise at least four games at a time in the primetime window. If this is successful, they may request that their games be moved to primetime and more games in a particular slot (for the TV snobs, something similar to the Baseball Network of the 90s), meaning that their MLB package may not start until later in the year like it used to instead of the 1st week of the season. Also, instead of 3 games at a time, they may end up doing 4-5 games at a time hoping to get better regional ratings.

And if Fox moves those games, voila they have a timeslot to start doing CFB. Only question is what time to start those games. Several Fox affiliates televise the SEC Network package and those games do not kickoff until 12:21pm ET, so a 4pm start might be the earliest they could do.
(This post was last modified: 05-17-2010 08:53 AM by mattsarz.)
05-17-2010 08:52 AM
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Post: #15
RE: ACC cashes in...
(05-17-2010 08:12 AM)swash Wrote:  
(05-17-2010 07:49 AM)cuseroc Wrote:  The BE is actually getting about $45 million per year from Espn. That is still not good, and your greater point still stands regarding the huge gap, but there is about $12 million left out there.

My apologies...a 6-year, $200 million contract with ESPN was published by SBJ...has there been an updated negotiation?

I should have included cbs as well. When the latest 6 year deal was signed with Espn, the BE never gave us a figure, so no one really knows, but the figure that has been thrown around the most back then was $250 million over 6 years. There are numerous articles that use that figure.
http://www.philly.com/philly/sports/coll...90092.html

Likewise there are numerous articles that use the 6 year $200 milliion figure as well.
(This post was last modified: 05-17-2010 09:14 AM by cuseroc.)
05-17-2010 09:08 AM
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Post: #16
RE: ACC cashes in...
alot better than most were speculating.
BE and non bcs are falling even further behind.
05-17-2010 09:21 AM
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RE: ACC cashes in...
(05-17-2010 08:52 AM)mattsarz Wrote:  Fox only lost the Sunday night games but there is another thing happening over there...

Fox is trying out moving its MLB package to primetime, this weekend and one other weekend in June. They will also televise at least four games at a time in the primetime window. If this is successful, they may request that their games be moved to primetime and more games in a particular slot (for the TV snobs, something similar to the Baseball Network of the 90s), meaning that their MLB package may not start until later in the year like it used to instead of the 1st week of the season. Also, instead of 3 games at a time, they may end up doing 4-5 games at a time hoping to get better regional ratings.

And if Fox moves those games, voila they have a timeslot to start doing CFB. Only question is what time to start those games. Several Fox affiliates televise the SEC Network package and those games do not kickoff until 12:21pm ET, so a 4pm start might be the earliest they could do.

Don't forget that the Big Ten will be re-negotiating in a couple of years. It's the piece that people keep forgetting about - the Big Ten is making $100 million per year off of ABC/ESPN for its top tier games, which is still more than what they're getting from the BTN. If the ACC garnered a 100% increase without adding any schools or a conference championship game, how much more is an expanded Big Ten with even just Nebraska and a new conference championship game be worth compared to today? This ACC number surprised me and I think it's going to embolden the Big Ten university presidents, to the extent that any of them had reservations about expansion, to add schools with or without ND.
05-17-2010 09:25 AM
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RE: ACC cashes in...
The 6 year, $200 million figure for ABC/ESPN is correct. There is a 'small' contract with CBS though for BB games. I think that figure is about $4 million per year.
(This post was last modified: 05-17-2010 09:39 AM by SoCalPanther.)
05-17-2010 09:37 AM
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Post: #19
RE: ACC cashes in...
(05-17-2010 06:18 AM)mattsarz Wrote:  A friend who has a subscription to Sports Business Journal notes that ESPN has won all rights to the ACC. The highlights that he mentioned include

1) 12 years, $1.86 billion. Average annual rights are $155 million


2) ESPN will now own all football and men's basketball rights. This is significant as Raycom owned the MBK rights in the past and owned the regional rights to 13 FB games.

3) Raycom will sublicense and syndicate regional games from ESPN

4) FOX drove up the rights significantly. They offered games on FOX, FSN and F/X. They drove the rights negotiation up by 25% from ESPN's initial offer of $120 million.

That is more than DOUBLE what the ACC was getting in their previous deals.

Funny how some on this board thought the ACC's new deal wasn't going to be even as good as their old one.

ACC got it done...as they did alright...especially in "this" economy.
05-17-2010 09:40 AM
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KnightLight Offline
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RE: ACC cashes in...
(05-17-2010 08:23 AM)mattsarz Wrote:  
(05-17-2010 08:12 AM)swash Wrote:  
(05-17-2010 07:49 AM)cuseroc Wrote:  The BE is actually getting about $45 million per year from Espn. That is still not good, and your greater point still stands regarding the huge gap, but there is about $12 million left out there.

My apologies...a 6-year, $200 million contract with ESPN was published by SBJ...has there been an updated negotiation?

I don't think so, I think that's about right for the overall numbers.

FYI...ESPN used the $33 Million figure for the Big East in their special report last December.

TV Impact on College Sports (and contracts per conf)
http://espn.go.com/video/clip?id=4757335...id=3286128

Current Annual TV Revenue per BCS Conf:
Big Ten: $242 Million (and growing due to Big Ten TV Network)
SEC: $205 Million
Big 12: $78 Million
ACC: $67 Million (will jump up to $155 Million in new deal)
Pac-10: $58 Million
Big East: $33 Million (shared with 16 teams)

NEW RANKINGS with new ACC Contract:
Annual TV Revenue per BCS Conf:
Big Ten: $242 Million (and growing due to Big Ten TV Network)
SEC: $205 Million
ACC: $155 Million
Big 12: $78 Million
Pac-10: $58 Million
Big East: $33 Million (shared with 16 teams)
(This post was last modified: 05-18-2010 06:16 AM by KnightLight.)
05-17-2010 09:46 AM
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