stinger78
Helluva Engineer
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Nah. Never.
Conference Realignment
- Thread starter orientalnc
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Good article on the ACC-ESPN relationship and the upcoming 'look-in' and how it has been misinterpreted by many. Basically, the ACC has a contract with ESPN that runs through 2036 and is tied in with the GoR (part of getting the ACC Network was having a GoR), and the 'look-in' is less about whether to end the relationship and more about revenue and how to modify it based on metrics and discussions. Also mentions that the industry expects the extension of the base deal to happen - which would make sense given that based on financial documents ESPN is making at least $150M a year in profit off the ACC Network.
To date, that “look-in” period has been viewed nationally as something of an inflection point for the ACC. Were ESPN to not pick up the option on its deal with the ACC, in theory, the league would be back on the media rights market in 2027 … or, much more likely, susceptible to a new wave of conference realignment ...that entire notion appears to be based on a misconception, or at least a misunderstanding of what February’s “look-in” period actually entails.
That’s because the ACC actually has two media rights deals with ESPN: ..its “base” deal, ...and another, signed in 2016, which deals specifically with the ACC Network.
only the “base” deal is part of February’s look-in period; the second, ACC Network-specific deal already runs through 2036 — which has not previously been reported — and overlaps with the ACC’s larger grant of rights.
Even if ESPN, for some unknown reason, opted not to finalize an extension of the “base” deal through 2036 ...then the ACC would still have a media rights deal with ESPN that runs through 2036.
Phillips and the ACC are approaching the “look-in” as a way to negotiate in the margins of its base deal and maximize value for both the league and ESPN. Phillips said that could include negotiating for (among other things) better time slots for ACC games; putting more ACC games on the network’s top channels, instead of the ACC Network; and discussing “ancillary” revenue splits regarding areas like advertising and carriage fees.
“We have had very, very, very good conversations with them,” Phillips said,
The article also talks about the lawsuits.
“There’s three paths to this,” Phillips said earlier this week. “One is, you litigate and win. One is, you litigate and lose. And the other is, you have some type of reconciliation. And so you have to continue to think about all of those avenues.”
“I expect a long-term kind of litigated battle, and so it has ebbs and turns to it,” he said, “but I’m confident in our position legally.”
To date, that “look-in” period has been viewed nationally as something of an inflection point for the ACC. Were ESPN to not pick up the option on its deal with the ACC, in theory, the league would be back on the media rights market in 2027 … or, much more likely, susceptible to a new wave of conference realignment ...that entire notion appears to be based on a misconception, or at least a misunderstanding of what February’s “look-in” period actually entails.
That’s because the ACC actually has two media rights deals with ESPN: ..its “base” deal, ...and another, signed in 2016, which deals specifically with the ACC Network.
only the “base” deal is part of February’s look-in period; the second, ACC Network-specific deal already runs through 2036 — which has not previously been reported — and overlaps with the ACC’s larger grant of rights.
Even if ESPN, for some unknown reason, opted not to finalize an extension of the “base” deal through 2036 ...then the ACC would still have a media rights deal with ESPN that runs through 2036.
Phillips and the ACC are approaching the “look-in” as a way to negotiate in the margins of its base deal and maximize value for both the league and ESPN. Phillips said that could include negotiating for (among other things) better time slots for ACC games; putting more ACC games on the network’s top channels, instead of the ACC Network; and discussing “ancillary” revenue splits regarding areas like advertising and carriage fees.
“We have had very, very, very good conversations with them,” Phillips said,
The article also talks about the lawsuits.
“There’s three paths to this,” Phillips said earlier this week. “One is, you litigate and win. One is, you litigate and lose. And the other is, you have some type of reconciliation. And so you have to continue to think about all of those avenues.”
“I expect a long-term kind of litigated battle, and so it has ebbs and turns to it,” he said, “but I’m confident in our position legally.”
LT 1967
Jolly Good Fellow
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Interesting USA Today article on possible scheduling arrangement between B1G and SEC. Author claims to have anonymous sources for his analysis. Interesting to note that the sources claim that one of the goals is to preserve the In State ACC-SEC games. Obviously, the main goal is to make more money!
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