(08-20-2018 06:34 PM)billybobby777 Wrote: In 2019 ESPN is scheduled to start the ACC network. The cable tv landscape is changing rapidly. The Big10 network has challenges ahead. The PAC network has been an incredible flop. The SEC network already covers the ACC region that BTN doesn’t. The region is a pro sports region. In 2019 The AAC/MWC/BYU will likely be in their last year of any affiliation with ESPN. Why start the ACC network when ESPNU, ESPN news, ESPN classic, ESPN3 and ESPN plus need content? Risky, I say. What say you?
PepsiCo sells Pepsi and Mountain Dew. PepsiCo sells Dortitos and Tostitos. PepsiCo sells Lays and Ruffles potato chips.
This should answer every question you have.
You can charge damn near anything you want for the ACCN in NC, Va, DC, and SC. You can charge a good price in Florida, Georgia, MD, WVa, and KY. You can charge a fair price in Pa, NY, Mass, VT, Maine, Delaware, NH, Connecticut, Indiana, and the DMA's that adjoin and overlap into ACC territory such as Mobile Alabama, Tri-Cities TN, Chicago, Philly side of NJ, etc.
The ACCN has three plays - Basketball, Notre Dame, and Football.
The SECN has one play - Football
25 million people can be charged damn near anything.
50 million people can be charged full price.
55 million people can be charged a discounted price.
200 million can be charged a nominal fee.
For the purposes of illustration only lets say these four tiers I've cited charge $2.00, $1.00, .50 cents, and a dime - that produces:
Now lets divide the population numbers by 4 to create more realistic household numbers and take into account non subcribers to cable or sataliite them multiply by the rate and then 12 months:
6,250,000 x 2 x 12 = $156M
12,500,000 x 1 x 12 = $150 M
13,750,000 x .5 x 12 = $82.5M
50,000,000 x .10 x 12 = $60M
Total $448.5 M
Now give half to ESPN/Disney $224.25 M
Now give half to the ACC $224.25 M
Divide that by 16 shares (15 schools and the office) = @ $14 M
Now lets assume you only get half of what you thought you could get with this model:
ESPN/Disney still gains $112 M
ACC still gains $7 M per school and office
Try to go out and sell ESPN news. The SECN is like repackaging air and selling it to people because you made them think they might lose it and the ACCN is the same. The product is "new and improved".