Google Enters the Ring with Apple and Amazon with Surprise 'NFL Sunday Ticket' Bid

[Ken Schroy]

This is from July but still relevant. 

YouTube now a contender for a TV rights package that will likely go for more than $2.5 billion per season

 

                    Google has reportedly entered the bidding for NFL Sunday Ticket, which already has a competitive field of aspirants including Apple, Amazon and Disney/ESPN. According to the New York Times, Google is bidding on behalf of its YouTube unit for the NFL's popular out-of-market games package, which breaks free from its ancient ties with DirecTV after this coming season. It's believed that the winning bidder will pay more than $2.5 billion a year to acquire the rights to the package, which delivers every regular season NFL game to viewers not being played in their town. DirecTV, which has controlled NFL Sunday Ticket rights since the mid-1990s, is said to be losing as much as $500 million per year on the package, which is priced at just under $300 per season. 

However, NFL Sunday Ticket has held steady for DirecTV at around 2 million subscribers, making it a key anchor at a time when the pay TV service has taken on heavy customers losses due to cord cutting. For months, Apple has reportedly had the inside track, with one pundit declaring the biggest of all tech giants the imminent winner of the bid over the spring. In its Sunday report, the New York Times confirms Apple's desire to acquire the asset, noting that CEO Tim Cook has even taken meetings with league owners including the Dallas Cowboys' Jerry Jones and the Kraft family, who control the New England Patriots. The Times also spoke to former Disney CEO Bob Iger, who lamented the notion of tech giants, who have far deeper pockets to license live sports merely for the "platform engagement" they provide, and not beholden to the same gravity of ratings points and advertisers that traditional media companies are. 

“It’s hard when you’re competing with entities that aren’t playing by the same financial rules,” Iger said. Meanwhile, the NFL continues to covet having the biggest remaining draw in live TV. “A number of companies are in strong position to potentially land Sunday Ticket, but we still have a ways to go in this process,” said Brian Rolapp, the NFL’s chief media and business officer, in a statement. 

 

https://www.nexttv.com/news/google-enters-the-ring-with-apple-and-amazon-with-surprise-nfl-sunday-ticket-bid

[Barry McCockinner]

[Barry McCockinner]

Good.

[JohnnyLV]

7 minutes ago, Barry McCockinner said:

Good.

I am a little glad Apple is gone because it would not shock me if they had made it so the only way to watch Sunday Ticket was on an Apple device or just limited to IPhones. Amazon seems the more likely choice at this point.

[Barry McCockinner]

1 minute ago, johnnysd said:

I am a little glad Apple is gone because it would not shock me if they had made it so the only way to watch Sunday Ticket was on an Apple device or just limited to IPhones. Amazon seems the more likely choice at this point.

same. I've never been a fan of Apple products. Not one of those people who is border line religious about what device type I like, just - don't care for Apple stuff because I think it's over priced and I don't like their UI's.

Amazon is by far my preference. They're all sh*tty corporations at the end of the day.

[JohnnyLV]

1 minute ago, Barry McCockinner said:

They're all sh*tty corporations at the end of the day.

Agreed.  Another thing with Amazon is that they really just care about Prime subscriptions so they might not gouge people for Sunday Ticket but do something like included for $59 if you pay for a year of Prime.

[Barry McCockinner]

1 minute ago, johnnysd said:

Agreed.  Another thing with Amazon is that they really just care about Prime subscriptions so they might not gouge people for Sunday Ticket but do something like included for $59 if you pay for a year of Prime.

I highly doubt that but it would be amazing.

[Ken Schroy]

15 minutes ago, Barry McCockinner said:

same. I've never been a fan of Apple products. Not one of those people who is border line religious about what device type I like, just - don't care for Apple stuff because I think it's over priced and I don't like their UI's.

Amazon is by far my preference. They're all sh*tty corporations at the end of the day.

Agreed and yes they are blood suckers who would sell their mother for a contract with the NFL.

[Bugg]

If you are an out of market fan, I get why Sunday Ticket works. Had it for a few years, but it's really too much, again, unless you have no alternative. But otherwise Red Zone is all you need. Find myself watching the Jets and then switching to RZ when that game is over or they      aren't playing. 

[Gen X Jet]

Google is the worst. 7-8 years ago they tried to shut down my google pay account bc I was collecting fantasy football entry fees from my friends with it. They flagged it as gambling and I then proceeded to attempt the explain the concept of fantasy football to 5-6 various south Asian call reps to no avail. Gave up. 

[Barry McCockinner]

9 minutes ago, Gen X Jet said:

Google is the worst. 7-8 years ago they tried to shut down my google pay account bc I was collecting fantasy football entry fees from my friends with it. They flagged it as gambling and I then proceeded to attempt the explain the concept of fantasy football to 5-6 various south Asian call reps to no avail. Gave up. 

Did they explain to you in Chinese that it is in fact gambling?

[jetstream23]

We're a complete Apple/iOS household at this point.  More by gravitational pull and the halo effect rather than choice.  To some degree I was hoping Apple would get Sunday Ticket because they've done a decent job with Apple TV+ so far, Ted Lasso, etc.  And the integration with Apple TV (devices) would likely be superb.  The Apple TV app for the current DirecTV Sunday Ticket is far superior to watching Sunday Ticket on DirecTV itself.  The ability to do a multi-view, choose which 2, 3, 4 games you want in blocks on a large TV is great IMO.

Google would probably bum me out as I think they've done a horrible job integrating some things that should be easy.  Their new Google Nest cameras only work with the Google Home app and don't even work with the Nest app.  The Nest app only works for legacy cameras even though it's the far superior app.

In any case, I wonder if Google would require you to have a YouTube TV subscription for Sunday Ticket.

We'll see what happens.

I'm somewhat surprised that Apple and Disney aren't in the running for this.

[MykePM]

3 hours ago, johnnysd said:

Agreed.  Another thing with Amazon is that they really just care about Prime subscriptions so they might not gouge people for Sunday Ticket but do something like included for $59 if you pay for a year of Prime.

That would be great, but I’d be happy if they offered a single-team plan where fans living outside their team’s local market (like me) could just pay for all of their team’s games instead of all the games, at a significantly lower rate.

It would be hard to find it now, but there was a story on Pro Football Talk a while back that cautioned against any hopes or expectations that there would be discounted plans from the new owners of Sunday Ticket.  I think the reasoning was that the price the NFL will be demanding would necessitate the high cost to continue to be passed on to the fans. 

[MykePM]

15 minutes ago, MykePM said:

That would be great, but I’d be happy if they offered a single-team plan where fans living outside their team’s local market (like me) could just pay for all of their team’s games instead of all the games, at a significantly lower rate.

It would be hard to find it now, but there was a story on Pro Football Talk a while back that cautioned against any hopes or expectations that there would be discounted plans from the new owners of Sunday Ticket.  I think the reasoning was that the price the NFL will be demanding would necessitate the high cost to continue to be passed on to the fans. 

Actually, it wasn’t as hard to find the article as I thought, and the reasoning had more to do with the CBS and FOX contracts:

https://profootballtalk.nbcsports.com/2022/06/25/cbs-fox-contracts-with-nfl-will-prevent-significant-reduction-in-price-of-sunday-ticket/

Many are excited about the inevitability of NFL Sunday Ticket landing with a new provider for various reasons, from the possibility of improved customer service over DirecTV’s current “please hold” approach to the potential for expanded functionality and more options for viewing out-of-market games. One important change won’t be made.
 

It won’t get a whole lot cheaper.
 

 

Alex Sherman of CNBC.com reports that language in the contracts between the NFL and CBS and Fox preclude a significant reduction in the price point for Sunday Ticket, which currently has a full-season price point in the range of $300. Likewise, an existing streaming service such as ESPN+ can’t simply add Sunday Ticket at no extra charge in order to boost subscribers.

It makes sense. CBS and Fox want people to watch the games offered in their local markets. If Sunday Ticket becomes too affordable, it’s see you later to normal Sunday viewing of the affiliates in a given area.

While I’ve got no reason to doubt the accuracy of Sherman’s report, I’d like to approach it from a different perspective. The NFL negotiated new contracts with CBS and Fox last year, knowing full well that the clock is ticking on Sunday Ticket. If the NFL wanted to create a pathway for cheaper access to Sunday Ticket, it could have changed the term in the CBS and Fox deals.

The NFL didn’t. Presumably, it didn’t want to. CBS and Fox likely would have offered much less to the NFL if it were indeed easier and cheaper for fans to get Sunday Ticket, even though the games available in the local market via CBS and Fox are blacked out. The NFL likewise positioned itself for a bigger payday for Sunday Ticket, given that anyone who wants it will be forking over significant money for the privilege of watching games other than those offered locally for free.

In other words, the NFL is using the full extent of its broadcast antitrust exemption to maximize revenue from CBS, Fox, and DirecTV by agreeing to and/or imposing terms that make it more expensive for fans who, for example, live in Jacksonville but root for the Steelers to see all Pittsburgh games.

There are inherent antitrust problems with telling fans their only way, if they live in Jacksonville, to see all Steelers games will be to buy the entirety of the Sunday Ticket package. Fans should be able to buy Sunday Ticket one game at a time, or one week at a time. Instead, it was — and will still be — a significant expenditure for any fans who don’t live in the market where their favorite team plays to follow the one team that drew them to the NFL in the first place.

Think about that one. The NFL wants you to have a favorite team. But the NFL subtly steers you toward the team where you live, by making it much more expensive to see the team you’d rather watch. There was a chance last year to make it cheaper by revising terms that protect the local CBS and Fox games, and the NFL didn’t do it.

Thus, while football is family, greed is good.

 

[SAM SAM HE'S OUR MAN]

8 hours ago, Gen X Jet said:

I then proceeded to attempt the explain the concept of fantasy football to 5-6 various south Asian call reps to no avail. Gave up. 

[Matt39]

Streaming sucks for live sports.

[Matt39]

Also @Elon

[Integrity28]

Amazon winning it would suck. Direct TV is awful as the current carrier, mostly because getting it without their normal service is wonky. I did it thru my PlayStation.
 

It jumping to Amazon would theoretically improve access to it, but Amazon Video is hands down the worst performing app in the Firestick. It almost always  crashes while trying to browse. I buy stuff on Amazon, then sync it to Mivies Anywhere to watch it. I gave up on all of their streaming shows. Too frustrating.

Probably switching to Roku after Christmas. So… At least it’d work with Google.

[Integrity28]

3 minutes ago, Matt39 said:

Streaming sucks for live sports.

I love being able to pause local games with YouTube tv.

[Matt39]

1 minute ago, Integrity28 said:

I love being able to pause local games with YouTube tv.

I love YouTube TV. But with live sports the fantasy notifications buzzing on the phone before the play happening on the tv is annoying. First world problems, but the Sunday ticket app and the Amazon games are even further behind.

[Matt39]

?

[Hal N of Provo]

300 is too much when you also need to buy service you don’t already have or need.  We already have Prime so I’m rooting for them.

[Hal N of Provo]

5 minutes ago, Matt39 said:

?

The game thread was awesome a couple of weeks ago. Streams were running really late so there were lots of  very delayed reactions including mine lol. 

[Barry McCockinner]

13 minutes ago, Integrity28 said:

Amazon winning it would suck. Direct TV is awful as the current carrier, mostly because getting it without their normal service is wonky. I did it thru my PlayStation.
 

It jumping to Amazon would theoretically improve access to it, but Amazon Video is hands down the worst performing app in the Firestick. It almost always  crashes while trying to browse. I buy stuff on Amazon, then sync it to Mivies Anywhere to watch it. I gave up on all of their streaming shows. Too frustrating.

Probably switching to Roku after Christmas. So… At least it’d work with Google.

The Amazon app on xbox works great. Never had a problem with it and TNF is the best streaming sport experience I've seen. Maybe it's just the firestick amazon app that sucks? Or the firestick?

[JTJet]

17 minutes ago, Integrity28 said:

but Amazon Video is hands down the worst performing app in the Firestick

Amazon Video works perfectly fine on anything I use it on, integrated through my tv or my phone. 

Probably just a fire stick issue. 

[Integrity28]

36 minutes ago, Matt39 said:

I love YouTube TV. But with live sports the fantasy notifications buzzing on the phone before the play happening on the tv is annoying. First world problems, but the Sunday ticket app and the Amazon games are even further behind.

Oh, yes. This is fact. I just turn off notifications during a game I actually care about. Or leave my phone in another room.

[Integrity28]

20 minutes ago, JTJet said:

Amazon Video works perfectly fine on anything I use it on, integrated through my tv or my phone. 

Probably just a fire stick issue. 

This is my hypothesis. You’d think they optimize for their own hardware, no?

I have 3. It’s a consistent problem.

[Ken Schroy]

I wouldn't pay for it. No way. I get the games my own way.

[JohnnyLV]

7 hours ago, MykePM said:

Actually, it wasn’t as hard to find the article as I thought, and the reasoning had more to do with the CBS and FOX contracts:

https://profootballtalk.nbcsports.com/2022/06/25/cbs-fox-contracts-with-nfl-will-prevent-significant-reduction-in-price-of-sunday-ticket/

Many are excited about the inevitability of NFL Sunday Ticket landing with a new provider for various reasons, from the possibility of improved customer service over DirecTV’s current “please hold” approach to the potential for expanded functionality and more options for viewing out-of-market games. One important change won’t be made.
 

It won’t get a whole lot cheaper.
 

 

Alex Sherman of CNBC.com reports that language in the contracts between the NFL and CBS and Fox preclude a significant reduction in the price point for Sunday Ticket, which currently has a full-season price point in the range of $300. Likewise, an existing streaming service such as ESPN+ can’t simply add Sunday Ticket at no extra charge in order to boost subscribers.

It makes sense. CBS and Fox want people to watch the games offered in their local markets. If Sunday Ticket becomes too affordable, it’s see you later to normal Sunday viewing of the affiliates in a given area.

While I’ve got no reason to doubt the accuracy of Sherman’s report, I’d like to approach it from a different perspective. The NFL negotiated new contracts with CBS and Fox last year, knowing full well that the clock is ticking on Sunday Ticket. If the NFL wanted to create a pathway for cheaper access to Sunday Ticket, it could have changed the term in the CBS and Fox deals.

The NFL didn’t. Presumably, it didn’t want to. CBS and Fox likely would have offered much less to the NFL if it were indeed easier and cheaper for fans to get Sunday Ticket, even though the games available in the local market via CBS and Fox are blacked out. The NFL likewise positioned itself for a bigger payday for Sunday Ticket, given that anyone who wants it will be forking over significant money for the privilege of watching games other than those offered locally for free.

In other words, the NFL is using the full extent of its broadcast antitrust exemption to maximize revenue from CBS, Fox, and DirecTV by agreeing to and/or imposing terms that make it more expensive for fans who, for example, live in Jacksonville but root for the Steelers to see all Pittsburgh games.

There are inherent antitrust problems with telling fans their only way, if they live in Jacksonville, to see all Steelers games will be to buy the entirety of the Sunday Ticket package. Fans should be able to buy Sunday Ticket one game at a time, or one week at a time. Instead, it was — and will still be — a significant expenditure for any fans who don’t live in the market where their favorite team plays to follow the one team that drew them to the NFL in the first place.

Think about that one. The NFL wants you to have a favorite team. But the NFL subtly steers you toward the team where you live, by making it much more expensive to see the team you’d rather watch. There was a chance last year to make it cheaper by revising terms that protect the local CBS and Fox games, and the NFL didn’t do it.

Thus, while football is family, greed is good.

 

Interesting but there are still ways around that for Amazon. Amazon's model is just different than any other streaming service. They stream to just get people on Prime as each prime member they get spends a ton of money on the sight. But in thinking about it I think Google might overpay to be able to push YouTube TV more.

[Barry McCockinner]

9 hours ago, MykePM said:

Actually, it wasn’t as hard to find the article as I thought, and the reasoning had more to do with the CBS and FOX contracts:

https://profootballtalk.nbcsports.com/2022/06/25/cbs-fox-contracts-with-nfl-will-prevent-significant-reduction-in-price-of-sunday-ticket/

Many are excited about the inevitability of NFL Sunday Ticket landing with a new provider for various reasons, from the possibility of improved customer service over DirecTV’s current “please hold” approach to the potential for expanded functionality and more options for viewing out-of-market games. One important change won’t be made.
 

It won’t get a whole lot cheaper.
 

 

Alex Sherman of CNBC.com reports that language in the contracts between the NFL and CBS and Fox preclude a significant reduction in the price point for Sunday Ticket, which currently has a full-season price point in the range of $300. Likewise, an existing streaming service such as ESPN+ can’t simply add Sunday Ticket at no extra charge in order to boost subscribers.

It makes sense. CBS and Fox want people to watch the games offered in their local markets. If Sunday Ticket becomes too affordable, it’s see you later to normal Sunday viewing of the affiliates in a given area.

While I’ve got no reason to doubt the accuracy of Sherman’s report, I’d like to approach it from a different perspective. The NFL negotiated new contracts with CBS and Fox last year, knowing full well that the clock is ticking on Sunday Ticket. If the NFL wanted to create a pathway for cheaper access to Sunday Ticket, it could have changed the term in the CBS and Fox deals.

The NFL didn’t. Presumably, it didn’t want to. CBS and Fox likely would have offered much less to the NFL if it were indeed easier and cheaper for fans to get Sunday Ticket, even though the games available in the local market via CBS and Fox are blacked out. The NFL likewise positioned itself for a bigger payday for Sunday Ticket, given that anyone who wants it will be forking over significant money for the privilege of watching games other than those offered locally for free.

In other words, the NFL is using the full extent of its broadcast antitrust exemption to maximize revenue from CBS, Fox, and DirecTV by agreeing to and/or imposing terms that make it more expensive for fans who, for example, live in Jacksonville but root for the Steelers to see all Pittsburgh games.

There are inherent antitrust problems with telling fans their only way, if they live in Jacksonville, to see all Steelers games will be to buy the entirety of the Sunday Ticket package. Fans should be able to buy Sunday Ticket one game at a time, or one week at a time. Instead, it was — and will still be — a significant expenditure for any fans who don’t live in the market where their favorite team plays to follow the one team that drew them to the NFL in the first place.

Think about that one. The NFL wants you to have a favorite team. But the NFL subtly steers you toward the team where you live, by making it much more expensive to see the team you’d rather watch. There was a chance last year to make it cheaper by revising terms that protect the local CBS and Fox games, and the NFL didn’t do it.

Thus, while football is family, greed is good.

 

It's impressive how badly Direct TV screwed the pooch. They had the exclusive Sunday Ticket license or DECADES and failed miserably at providing a streaming option to the masses as the world was clearly moving that direction. Was it incompetence or arrogance? There is no way that garbage company survives losing Sunday Ticket. They will still have a small niche market in providing satellite tv but as 5g and high speed satellite internet becomes more widely available people will just use that instead.

[Integrity28]

1 hour ago, Ken Schroy said:

I wouldn't pay for it. No way. I get the games my own way.

Yea, I’ve finally gotten in that bandwagon. 

[IndianaJet]

I moved from Brooklyn to Indiana in 1996.

I became a Direct TV subscriber strictly for the Sunday Ticket in 1997.

It's cost me a lot of money to watch a lot of sh*tty Jets football.

Just make a decision soon so I can figure out who to cancel Direct TV for.

[Greensleeves]

Google seems like the best choice. More people watch YouTube than TV I would guess at this point and they also have a great streaming TV service in YouTube TV. They would be better for the consumer if YouTube TV is any indication, especially if you compare it to the way Amazon handles Thursday night football. The user experience is more seamless on YouTube TV by a mile.

[Gen X Jet]

21 hours ago, Barry McCockinner said:

Did they explain to you in Chinese that it is in fact gambling?

It's a skill game in pretty much every jurisdiction in the USA.  Not gambling, Barry.

[greenwave81]

8 hours ago, IndianaJet said:

I moved from Brooklyn to Indiana in 1996.

I became a Direct TV subscriber strictly for the Sunday Ticket in 1997.

It's cost me a lot of money to watch a lot of sh*tty Jets football.

Just make a decision soon so I can figure out who to cancel Direct TV for.

Exactly…me too, but I go back to 1994. 
 

not sure why the NFL is looking for an exclusive deal here. Figure out your price point for any provider that wants to offer it to their subscribers…say $1 bill/yr. Then let the companies figure out how to make money on the product they buy from the NFL. But make it ONE product. Don’t want to have Amazon to watch on Thursday for example.  When companies get exclusive deals, customers usually get screwed. I’m paying for DirecTV for the NFL package and paying a lot more for regular service just for the privilege. Perhaps ESPN/Disney, Google, Apple and even DirecTV could continue to make money if they each paid the NFL $1 Bill/yr  based on what their individual subscribers want.