Hokie Mark
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RE: Comcast dropping Big 10 Network out of market?
(04-17-2018 03:03 PM)JRsec Wrote: (04-17-2018 02:47 PM)Hokie Mark Wrote: (04-17-2018 02:05 PM)JRsec Wrote: ...If they are indeed bundled the SEC will getting out of footprint rates for the ACC portion of the footprint and vice versa. And what else that has been circulating that is untrue is that the rate for the two networks will be the same. It won't. So they will be grouped together for mutual benefit, but each conference will gain only more carriage via the bundle. And each conference will only keep the appropriate rate for their own footprint and for carriage beyond their footprint.
The ACC's in footprint rate hasn't been released yet. I expect it to be way higher than the 11 cents for the PAC aggregate and probably under the .48 cents for the Big 10 aggregate. The SEC's aggregate rate (out of footprint and within footprint average) is .74 cents. Most of the claims of huge dollars for the ACC have mistakenly taken the SEC's rate of .74 cents and multiplied it by the number of cable households within the ACC's footprint. It won't work that way. They'll get a decent rate, but it will be multiplied by the number of households within the ACC footprint buying the cable channel, which will include those who buy the SECN. And in turn the SECN will continue to get their rate inside the SEC's footprint, but the ACCN will get to claim out of footprint rates for those buying the networks there.
So it will benefit both conferences without really affecting the rates of the other. It might be argued that it is an added burden to the subscribers, but both channels will be on the same tier so it doesn't reallly affect the consumer.
In reality what will be happening is that ESPN will be paying both conferences a very slight overall increase in order to try to increase the penetration of both conference networks. Now how much the rate will be for the SEC in ACC footprint or the ACC's rate within the SEC footprint will vary from the traditional out of footprint rates paid for subscriptions in the rest of the nation I haven't heard. It may not actually vary at all. The issue here is more of an in house ESPN issue for increasing exposure.
Well, keep in mind that the SECN gets $0.74 basically nowhere. IIRC, they get $1.30 in-state and $0.25 out of state, for an AVERAGE of $0.74. I wouldn't be surprised* if the ACC gets those same rates, just in different states (obviously).
* on the other hand, it's possible that the ACC may get less - it all depends on what the market is willing to bear.
You do understand the terms aggregate and average which in this case are virtually interchangeable? The increase for both will be in guaranteed carriage. Then depending upon the rates you can figure what that means monetarily.
Roger that.
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04-17-2018 03:26 PM |
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westwolf
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RE: Comcast dropping Big 10 Network out of market?
Good to have DTV.
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04-18-2018 02:24 PM |
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madizoned-level2004
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RE: Comcast dropping Big 10 Network out of market?
Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
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04-19-2018 11:11 AM |
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solohawks
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RE: Comcast dropping Big 10 Network out of market?
(04-19-2018 11:11 AM)madizoned-level2004 Wrote: Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
Its not as geographically large as I thought it was when you look at that map. But they do cover most of the major population areas.
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04-19-2018 01:22 PM |
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IWokeUpLikeThis
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RE: Comcast dropping Big 10 Network out of market?
I love that regionalism still plays such a big role in cable providers. A good check on the increasing homogeneity of society.
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04-22-2018 12:44 AM |
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Hokie Mark
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RE: Comcast dropping Big 10 Network out of market?
(04-19-2018 11:11 AM)madizoned-level2004 Wrote: Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
Looking at this map, I'd say Comcast serves 8 or 9 Big Ten schools (Rutgers, Maryland, Penn State, Michigan, Michigan State, Indiana, Purdue, Northwestern and possibly Illinois) but not the other 5 or 6. FWIW.
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04-22-2018 05:55 AM |
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JRsec
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RE: Comcast dropping Big 10 Network out of market?
(04-22-2018 05:55 AM)Hokie Mark Wrote: (04-19-2018 11:11 AM)madizoned-level2004 Wrote: Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
Looking at this map, I'd say Comcast serves 8 or 9 Big Ten schools (Rutgers, Maryland, Penn State, Michigan, Michigan State, Indiana, Purdue, Northwestern and possibly Illinois) but not the other 5 or 6. FWIW.
The estimated loss to the Big 10 is considered to be 2% of their media value, or roughly $1,020,000 per school moving forward.
So their estimated 51.1 million gets trimmed to 50.1 million. I give that a big meh!
(This post was last modified: 04-22-2018 02:35 PM by JRsec.)
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04-22-2018 02:33 PM |
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McKinney
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RE: Comcast dropping Big 10 Network out of market?
(04-22-2018 05:55 AM)Hokie Mark Wrote: (04-19-2018 11:11 AM)madizoned-level2004 Wrote: Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
Looking at this map, I'd say Comcast serves 8 or 9 Big Ten schools (Rutgers, Maryland, Penn State, Michigan, Michigan State, Indiana, Purdue, Northwestern and possibly Illinois) but not the other 5 or 6. FWIW.
Minnesota looks to be covered by Comcast as well.
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04-22-2018 06:12 PM |
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Hokie Mark
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RE: Comcast dropping Big 10 Network out of market?
(04-22-2018 02:33 PM)JRsec Wrote: (04-22-2018 05:55 AM)Hokie Mark Wrote: (04-19-2018 11:11 AM)madizoned-level2004 Wrote: Just for reference, this is a map of Comcast's service area:
Map showing the areas of the US where Comcast provides Cable and Broadband Services
Looking at this map, I'd say Comcast serves 8 or 9 Big Ten schools (Rutgers, Maryland, Penn State, Michigan, Michigan State, Indiana, Purdue, Northwestern and possibly Illinois) but not the other 5 or 6. FWIW.
The estimated loss to the Big 10 is considered to be 2% of their media value, or roughly $1,020,000 per school moving forward.
So their estimated 51.1 million gets trimmed to 50.1 million. I give that a big meh!
Logically, I agree with you. However, most of this message board conference money analysis is more emotion than logic. Let's put this Comcast thing into perspective: the Big Ten is losing more from this (14 X $1.02M = $14.28M) than the ACC lost from a bad Orange Bowl contract ($40M - $27.5M = $12.5M). Honestly neither is THAT big a deal, but the optics are bad in both cases.
Of course, there's only ONE contract bowl to mess up... the Big Ten Network has many more carriers who could theoretically follow Comcast's lead.
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04-23-2018 02:07 AM |
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