NFL Preseason Games Could Stream Directly to You: What’s Changing and Why
For decades, NFL teams have traditionally sold the rights to broadcast their preseason games to local broadcast stations. That’s about to change. The NFL is considering allowing teams to sell these rights directly to streaming platforms, a move expected to be discussed at the upcoming league meeting.
The Shift to Streaming: A New Revenue Stream for NFL Teams
This potential shift represents a significant opportunity for NFL teams to tap into the growing streaming market. While details are still being worked out, the core idea is to give teams more control over how and where their preseason games are shown. This could mean substantial revenue increases, particularly for teams with large and engaged fan bases.
The current media landscape is rapidly evolving. The NFL’s existing 11-year, $110 billion broadcast deals are a testament to the league’s popularity, but the rise of streaming services is undeniable. Allowing teams to explore streaming options for preseason games is a logical step in adapting to this changing environment.
Revenue Sharing: A Key Point of Contention
One of the major issues to be resolved is revenue sharing. Teams like the Dallas Cowboys, with a massive national following, could potentially strike lucrative deals with streamers like Netflix and keep the majority of the profits. However, other teams, particularly those in smaller markets, will likely advocate for a revenue-sharing model to ensure a more equitable distribution of funds.
Jerry Jones, the owner of the Cowboys, would likely favor keeping all revenue from a streaming deal. However, a league-wide agreement will need to address the concerns of all 32 teams.
Local vs. National Streaming Rights: A Flexible Approach
The NFL is considering a flexible approach to streaming rights. Streamers could potentially secure deals to indicate games only to local viewers, similar to Amazon Prime Video’s current arrangement with the New York Yankees. Alternatively, teams could sell their preseason games to streamers that broadcast them nationwide, maximizing potential revenue.
This flexibility allows teams to tailor their streaming strategy to their specific market and fan base. It likewise opens up possibilities for innovative partnerships with streaming services.
The Broader Trend: NFL Owners Embracing Private Equity
This move towards streaming aligns with a broader trend of NFL owners exploring new revenue streams. Franchise values have skyrocketed in recent years – the Washington Commanders sold for a staggering $6.05 billion last year – and owners are increasingly turning to private equity to raise capital. The NFL recently allowed teams to pursue private equity funding, up to 10% of the franchise price.
The NFL’s willingness to embrace private equity and explore streaming options demonstrates a proactive approach to maximizing revenue and ensuring the long-term financial health of the league.
Did You Grasp?
The Denver Broncos sold for $4.65 billion just six years ago, doubling the price of the Carolina Panthers’ $2.275 billion sale from the same period.
FAQ
Will this affect regular season games? Currently, the discussion is focused solely on preseason games. No changes to the broadcasting of regular season or playoff games have been announced.
What streamers are likely to be interested? Major players like Amazon Prime Video, Netflix, Apple TV+, and YouTube TV could all be potential bidders for NFL preseason streaming rights.
How will this impact fans? Fans may have more options for watching preseason games, potentially at a lower cost than traditional cable or satellite subscriptions.
Will all teams participate? It’s likely that participation will be voluntary, allowing teams to choose whether or not to pursue streaming deals.
Pro Tip: Keep an eye on announcements from your favorite team regarding potential streaming options for preseason games. Follow NFL news sources for updates on the league’s decision.
Want to learn more about the business side of the NFL? Read more about NFL owners and private equity funding on Sports Illustrated.
What are your thoughts on the NFL potentially streaming preseason games? Share your opinions in the comments below!
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