Spectrum and ESPN fail to agree

[L41k18]

Right. So another media company - with its biggest & main competitor out of the market - is going to pay us more than Espn is?? In what world does that kind of stuff happen?

 

[Techster]

 

[Jerry the Jacket]

No one is going to come along and offer more than ESPN or Fox. Their problem is they are on the hook to pay out more for content than it can possibly generate without a significant increase in their revenue streams. I think they bet on the come and reality is it is not coming. It's nice for these conferences to sit back and project a windfall in growing revenues but I don't think ESPN and Fox will be able to deliver the goods. They will still make a good living but just not at the astronomical levels forecast.

 

[L41k18]

It's nice for these conferences to sit back and project a windfall in growing revenues but I don't think ESPN and Fox will be able to deliver the goods. They will still make a good living but just not at the astronomical levels forecast.

In the long run a massive re-set and forced downsizing might be just what the sport needs.

 

[UgaBlows]

Why are some Tech fans hoping Espn fails? If they do, we & the ACC are screwed.

Because they hate Disney

 

[g0lftime]

Because they hate Disney

I agree. I am more furious with Disney than Spectrum. I called and complained to Spectrum but they didn't offer any deal which hacked me off. I plan on loading FUBO to watch this weekend. If I like it then bye, bye Spectrum tv. I will have to keep internet from them where I live.

 

[ThatGuy]

Maybe, maybe not. There’s a lot more competition due to Streaming services. 10 year ago, you only had 1 or 2 choices for cable and 1 or 2 choices for satellite - customers were captive to price increases. Today, there are many streaming services and they are not geographically bound. This will help keep prices somewhat in check. I'm not saying prices won't go up, but there are many more choices if they do.

Eh. When I moved to Youtube TV, it was $35 per month.

Since then (3-4 years ago), they've been through multiple negotiations with content providers to get certain stations, and been forced to pay more to "bundle in" stations that we don't want. My monthly base Youtube TV bill is now ~$74.

Having Comedy Central is nice, but having to have 12 other channels including 6 in Spanish and pay for them all isn't worth it for me. But such is how it goes, and how the content providers are invested in doings business.

There are really only 3-4 viable streaming services to get the live sports I want - Fubo, Hulu TV, and Youtube TV. I expect the price increases and bundling of unwanted channels will continue to happen as more people cut the cord. Hopefully some of these streaming providers will step up and say "No one wants the Basket Weaving Channel - you can include it, but we're not paying you more for it." But I have yet to see that.

 

[UgaBlows]

Eh. When I moved to Youtube TV, it was $35 per month.

Since then (3-4 years ago), they've been through multiple negotiations with content providers to get certain stations, and been forced to pay more to "bundle in" stations that we don't want. My monthly base Youtube TV bill is now ~$74.

Having Comedy Central is nice, but having to have 12 other channels including 6 in Spanish and pay for them all isn't worth it for me. But such is how it goes, and how the content providers are invested in doings business.

There are really only 3-4 viable streaming services to get the live sports I want - Fubo, Hulu TV, and Youtube TV. I expect the price increases and bundling of unwanted channels will continue to happen as more people cut the cord. Hopefully some of these streaming providers will step up and say "No one wants the Basket Weaving Channel - you can include it, but we're not paying you more for it." But I have yet to see that.

I believe that legislation would have to be passed for tv providers to allow (or be forced to allow) consumers to pick and choose the channels they want. You better believe they are lobbying to ensure that probably never happens

 

[roadkill]

I believe that legislation would have to be passed for tv providers to allow (or be forced to allow) consumers to pick and choose the channels they want. You better believe they are lobbying to ensure that probably never happens

There has been a consumer movement over the last several years to force cable companies to unbundle channels and allow a la carte selection. Maine actually passed a law requiring unbundling, but it was struck down in Federal court due to First Amendment concerns as the law didn’t apply to alternate providers such as satellite or streaming services.
I expect that the transition to the on-demand model will tend to render the unbundling argument moot.

 

[RamblinRed]

No one is going to come along and offer more than ESPN or Fox. Their problem is they are on the hook to pay out more for content than it can possibly generate without a significant increase in their revenue streams. I think they bet on the come and reality is it is not coming. It's nice for these conferences to sit back and project a windfall in growing revenues but I don't think ESPN and Fox will be able to deliver the goods. They will still make a good living but just not at the astronomical levels forecast.

This is sort of where my head is at.
They made these huge deals, but their revenue streams are not increasing at the same rate as some of those contracts.

As contracts for various sports come up it is going to be interesting to see what happens. I believe the NBA comes up next year and they are expecting large increases from both Disney and Warner Brothers (who share the rights).

If the money situation doesn't improve then the leagues with contracts coming up first get hit harder as they have to renegotiate in a tighter environment and may not get the increases they are expecting.
If it does improve then having an earlier contract is a benefit as you get to negotiate in a more free money environment.

 

[cpf2001]

Disney Launches Discounted Hulu + Live TV Plan As Spectrum Blackout Continues | Cord Cutters News

Disney launched a new limited discount for its Hulu + Live TV in hopes that Spectrum customers affected by the blackout see it as a bandage while negotiations between the companies stall. New and eligible returning customers (who haven’t been with Hulu for the past month) can sign up for Hulu +...

cordcuttersnews.com

Disney trying to get Spectrum customers to switch to another Disney-owned service. Nice discount. But in the long run Hulu is probably gonna be the quickest to pass on Disney price hikes, so... I wouldn't get too comfy with this offer.

 

[L41k18]

Disney Launches Discounted Hulu + Live TV Plan As Spectrum Blackout Continues | Cord Cutters News

Disney launched a new limited discount for its Hulu + Live TV in hopes that Spectrum customers affected by the blackout see it as a bandage while negotiations between the companies stall. New and eligible returning customers (who haven’t been with Hulu for the past month) can sign up for Hulu +...

cordcuttersnews.com

Disney trying to get Spectrum customers to switch to another Disney-owned service. Nice discount. But in the long run Hulu is probably gonna be the quickest to pass on Disney price hikes, so... I wouldn't get too comfy with this offer.

I've had Hulu Live TV for several years. They just announced an increase to $81/mth. Included in that is Espn+ and Disney+. I pay $89/mth for high speed internet. So it will be $170/mth total now.

I'm perfectly fine with that.

 

[Oldgoldandwhite]

In the long run a massive re-set and forced downsizing might be just what the sport needs.

Amen!

 

[g0lftime]

Amen!

It's gotten ridiculous when college coaches are making more than CEO's of major corporations. I realize it's a free market but we have a skewed system now with entertainers which includes pro sports making absurd amounts of money while providing nothing but entertainment. The players are making enough money to buy teams after they retire. It would be like an engineer retiring and being able to buy IBM. I am not sure it's sustainable and it's all about TV revenue.

 

[UgaBlows]

Disney owns Hulu right? They probably figure they can push more people to stream if they play hardball with all the other competition. They eventually win either way- whether the cable company's cave to their money demands or they cut the cord and get the espn app or hulu.

 

[Jacket0323]

Why are some Tech fans hoping Espn fails? If they do, we & the ACC are screwed.

The SEC would be really screwed

 

[Papa Foxtrot]

Disney owns Hulu right?

It's actually a joint venture where Comcast has a 33% stake. Originally, IIRC there were four companies involved, but consolidation has reduced that to two. Disney is currently in negotiations to buy Comcast's stake, but with their financial troubles, it's not clear where the money will come from. There is speculation that they will sell all or part of ESPN to finance the deal.

 

[Techster]

 

[Papa Foxtrot]

Hard to figure out who the winner was without knowing the $$$. If Charter got DIS to throw in DIS+ and ESPN+ without a significant bump in the subscriber fee, I'd be surprised. It does sound like Charter had the better hand tho'...

 

[kg01]

...
What many (including the Pac-12 school presidents) didn't/don't see is that the sports broadcast rights rates don't keep going up just because they keep going up. ...

Just snipping this bit because I've been saying it for a couple years now, particularly w.r.t. my NBA fanhood. The TV money can't just keep going up. Folks need to realize this and be proactive.