Collapse of Regional Sports Networks (Diamond Sports Group files bankruptcy, Warner-Discovery looking to leave business, Xfinity drops Bally)

[KevFu]

The NHL should piggy back on what the MLB does and have the MLB help stream their product
Their seasons are opposite, they aren't really competing sportsl ike the NHL and NBA

It's entirely possible that the NHL and MLB can't do that. Because MLBAM made MLBtv, and NHLtv with the NHL partnership as MLBAM split off non-baseball into BAMTech, which they sold to Disney.

One has to assume that the split of MLBAM/BAMTech means that MLBAM retains the rights to use the tech they created (and sold to DSS) FOR BASEBALL, but nothing else. There's gotta be some kind of non-compete clause that states MLB can't just go all BAMtech again and compete for properties with DSS.

In theory ESPN/Disney could scoop up the in market NHL games that are now on Bally's but that require Ballys coming to a agreement with NHL/Disney and would effectively end Bally's which Diamond Sports is just trying to restructure debt through bankruptcy.

There's also no way Disney is going to pay as much as Bally's was paying NHL teams(which Bally's cant even afford) to get just 12 teams. So it doesn't really work

Yup, and the other issue is that Bally's exists as Bally's because the FCC said ESPN/Disney couldn't own all the former Fox Sports RSNs as part of the merger.

 

[powerstuck]

I remember hearing how Roger's was bleeding money on the Canadian Deal. Had no clue TVA was as well. So who gets the NHL Canadian deal in after 2025? How much will it be for are you saying you're thinking there might be a rights reduction? With half the US teams possibly having their local deals rights fee reduced under new bankruptcy court judgments having a reduction in rights in Canada would be a blow.

That scenario would sort of put us right back to square one. We got a extra $325 my yr in the US deal only to have Bally's sh!+ the bed and then having Canada National TV rights have issues.
Gary's gonna earn that pay check Jesus.

Agree it's not going be nice. As for Canada, before Rogers/TVA Sports, it was Bell thru TSN/RDS. I don't see any other player in Canada taking that contract. If it's not Rogers it's Bell, if it's not Bell it's Rogers.

Article is in french from LaPresse but there are citations from a radio interview by Peladeau (owner of Quebecor/TVASports) : Restructuration chez Québecor | Fin de match pour TVA Sports ?

He says the network hasn't been profitable since it began operating in 2011 despite having 103 millions in revenue in 2021.

 

[Lt Dan]

In theory ESPN/Disney could scoop up the in market NHL games that are now on Bally's but that require Ballys coming to a agreement with NHL/Disney and would effectively end Bally's which Diamond Sports is just trying to restructure debt through bankruptcy.

There's also no way Disney is going to pay as much as Bally's was paying NHL teams(which Bally's cant even afford) to get just 12 teams. So it doesn't really work.

Maybe if it was possible that to get rights of 18-20 of the US teams maybe they throw NHL a amount they'd be willing to pay. But it won't be the $20m on avg payment for those teams that they were receiving from RSNs

Disney was forced to sell them in the first place

Sinclair Closes Purchase of Fox Regional Sports Networks From Disney

Sinclair Broadcast Group and Walt Disney Company have closed their $9.6 billion deal for Sinclair to buy 21 Fox Regional Sports Networks.

variety.com

 

[varsaku]

MLB's role in this has a huge factor on how it plays out for the NHL and NBA.

MLB is in a position where they COULD take their rights back, produce themselves, distribute themselves because they already have a platform in place for in-market streaming that they own/operate. The in-market streamers would just buy MLBtv, geo-blocking for those markets would be turned off, and MLB collects consumer's money. They'd sell produced games to cable providers directly, for $$. Just probably not the amount Bally's owes them. (They can ask the bankruptcy court for Bally's to pay them the difference to make them whole at a later date).

IF MLB were to actually go though with that, that would lower the burden of what Bally's owes, which could allow Bally's to pay the NHL/NBA teams on time.

The NHL doesn't have a system in place that they own/operate that could do that, I don't think. Maybe NHLtv that's still in Canada could. But it would depend on the NHL contract with ESPN/Disney Streaming Services.

If MLB goes the route of broadcasting their own games, that would be the end of Bally. That is a lot of air time to replace which would generate the the fraction the number of viewers. You will see even more people leaving cable resulting in NHL and NBA going the same route of broadcasting their own games.

 

[Masked]

Agree it's not going be nice. As for Canada, before Rogers/TVA Sports, it was Bell thru TSN/RDS. I don't see any other player in Canada taking that contract. If it's not Rogers it's Bell, if it's not Bell it's Rogers.

A streaming service like Prime or Apple could swoop in to take over the national rights in Canada. Cable tv is going the way of Blockbuster. It's going to be all about the streaming services and what is the best way to ensure Canadians subscribe to a streaming service? The NHL.

Assen na yo!

 

[CHRDANHUTCH]

A streaming service like Prime or Apple could swoop in to take over the national rights in Canada. Cable tv is going the way of Blockbuster. It's going to be all about the streaming services and what is the best way to ensure Canadians subscribe to a streaming service? The NHL.

Assen na yo!

Streaming services have to be approved and regulated by the CTRC.....

 

[Masked]

Streaming services have to be approved and regulated by the CTRC.....

No they don't. And if they were to be regulated, it would be to increase the amount of Canadian content which would be all the more reason to purchase the rights.

Assen na yo!

 

[CHRDANHUTCH]

No they don't. And if they were to be regulated, it would be to increase the amount of Canadian content which would be all the more reason to purchase the rights.

Assen na yo!

everything is Canada goes through the CTRC.... YOU CANNOT CHANGE A LICENSE without them approving it

 

[Masked]

everything is Canada goes through the CTRC.... YOU CANNOT CHANGE A LICENSE without them approving it

You don't even know how to spell the CRTC, much less their policies. In Canada, services that broadcast over the Internet don't need a licence from the CRTC.

Assen na yo!

 

[Golden_Jet]

A streaming service like Prime or Apple could swoop in to take over the national rights in Canada. Cable tv is going the way of Blockbuster. It's going to be all about the streaming services and what is the best way to ensure Canadians subscribe to a streaming service? The NHL.

Assen na yo!

Depends on the dollars offered probably, if TSN or Roger’s is much higher ,
Doesn’t Rogers already have the streaming service now.
Plus there is also Centre Ice on cable, satellite and fibre

 

[powerstuck]

A streaming service like Prime or Apple could swoop in to take over the national rights in Canada. Cable tv is going the way of Blockbuster. It's going to be all about the streaming services and what is the best way to ensure Canadians subscribe to a streaming service? The NHL.

Assen na yo!

Sure I guess they could. But no streaming service will pay 250 millions + a year to get those.

Besides, wonder how would they generate the revenue.

Subscription ? Sports tend to be very expensive and currently only Netflix offers a lower rate subscription to force feed you ads.

 

[Masked]

Sure I guess they could. But no streaming service will pay 250 millions + a year to get those.

Besides, wonder how would they generate the revenue.

Subscription ? Sports tend to be very expensive and currently only Netflix offers a lower rate subscription to force feed you ads.

Prime Video has an NFL package that costs them $1B per year for just 15 games. They've already started to invest in sports. Their NFL broadcasts have ads.

If they got the NHL national broadcast rights they could just include it and use advertising to pay for it or they could include it as an add-on channel like they do with many offerings.

Assen na yo!

 

[Golden_Jet]

Prime Video has an NFL package that costs them $1B per year for just 15 games. They've already started to invest in sports. Their NFL broadcasts have ads.

If they got the NHL national broadcast rights they could just include it and use advertising to pay for it or they could include it as an add-on channel like they do with many offerings.

Assen na yo!

That costs $139 US or $190 cdn a year for Thursday night games.
Or $15 US a month
In Canada you need TSN.

 

[Lt Dan]

If MLB goes the route of broadcasting their own games, that would be the end of Bally. That is a lot of air time to replace which would generate the the fraction the number of viewers. You will see even more people leaving cable resulting in NHL and NBA going the same route of broadcasting their own games.

I really think that it is going to go this way. Cable s dying. Its all going to be direct to consumer soon

 

[Golden_Jet]

I really think that it is going to go this way. Cable s dying. Its all going to be direct to consumer soon

Cable maybe dying but likely has more viewers than streaming still.

Younger viewers seem to just pirate what they want.

It will take many years for direct to consumer only, especially at the cost to recoup money paid.

 

[Yukon Joe]

You don't even know how to spell the CRTC, much less their policies. In Canada, services that broadcast over the Internet don't need a licence from the CRTC.

Assen na yo!

So not to get into the politics of it, but Bill C-11, which has passed the House of Commons and is being debated in the Senate, would give the CRTC the power to regulate streaming services.

 

[Masked]

So not to get into the politics of it, but Bill C-11, which has passed the House of Commons and is being debated in the Senate, would give the CRTC the power to regulate streaming services.

It's not in effect yet and even if it was in effect it would put conditions upon streaming services, not deny them the ability to stream in Canada (which is a ridiculous idea). If it were to go into effect, it might make the NHL rights even more valuable for them if it counts as Canadian content.

Assen na yo!

 

[Yukon Joe]

It's not in effect yet and even if it was in effect it would put conditions upon streaming services, not deny them the ability to stream in Canada (which is a ridiculous idea). If it were to go into effect, it might make the NHL rights even more valuable for them if it counts as Canadian content.

Assen na yo!

Pretty much by definition if it is being debated in the Senate it isn't in effect yet. Given the Liberals have a majority it does seem likely to pass.

Ultimately I doubt very much it is the government's intent to block Netflix, Youtube, Disney+ or whomever from streaming in Canada - but that doesn't mean the streamers can just do what they want and ignore the CRTC either. And yes, the worst-case, nuclear option, would in fact be for the CRTC to block those companies if they refuse to comply with Canadian law.

Now look - this is all very fluid. I can't say how it will all turn out - nor can I even guarantee C-11 will pass.

But the CRTC does seem like it will be very relevant to streaming services in Canada, contrary to your earlier post.

 

[Masked]

But the CRTC does seem like it will be very relevant to streaming services in Canada, contrary to your earlier post.

My posts have talked about the present not what could happen in the future. Yes, there is the potential that the CRTC could put conditions on the streaming services but would that prevent them from bidding on the NHL rights? Highly doubtful although with the way the CRTC kneels before Bell/Rogers who knows?

Assen na yo!

 

[Golden_Jet]

My posts have talked about the present not what could happen in the future. Yes, there is the potential that the CRTC could put conditions on the streaming services but would that prevent them from bidding on the NHL rights? Highly doubtful although with the way the CRTC kneels before Bell/Rogers who knows?

Assen na yo!

Nothing prevents them bidding, but the NHL chooses who it partners with.

Current National CDN deal expires in 2026
Regional deals depends on which team, they different time frames.

 

[jkrdevil]

So now up to 15 teams (and the rest indirectly) impacted by the RSN collapse.

And this is chapter 7 so WBD is liquidating the channels.

 

[Golden_Jet]

So now up to 15 teams (and the rest indirectly) impacted by the RSN collapse.

And this is chapter 7 so WBD is liquidating the channels.

So that’s 15 of 25 American teams.
What are the 10 teams that have deals, and with which company.

 

[eddygee]

So now up to 15 teams (and the rest indirectly) impacted by the RSN collapse.

And this is chapter 7 so WBD is liquidating the channels.

Damn more than half of the US teams 15 of 25.
Doesn't sound like much of a deal for these teams. Take whatever we can afford to pay you or you take back your games and do your own productions we liquidate and you get nothing.

So that’s 15 of 25 American teams.
What are the 10 teams that have deals, and with which company.

Yeah the cap is f@cked. It's like the dominoes are starting to fall right now.

 

[frozenrubber]

Warner Bros. Discovery Inc. is informing the professional-sports teams whose games are carried on three of its regional sports networks that it wishes to cease operating the channels and exit the business, according to people familiar with the matter.

In a letter sent Friday from the unit’s president Patrick Crumb—a copy of which was reviewed by The Wall Street Journal—teams were warned that “the business will not have sufficient cash to pay the upcoming rights fees,” people familiar with the letter said. The teams were also told that Warner Bros. Discovery “will not fund our shortfalls,” they said.

The letter proposes that AT&T SportsNet transfer ownership of the networks and programming rights to the teams for no purchase price consideration beyond a release by the teams of any future claims against the networks.

Bankruptcy is also on the table, the letter said. “Unless we can reach a deal to transfer ownership of the network (and the attendant rights)” by March 31, “our only realistic option is to file for chapter 7 liquidation,” the letter to the respective teams said.

The affected teams include the National Basketball Association’s Houston Rockets and Utah Jazz; Major League Baseball’s Pittsburgh Pirates, Houston Astros and Colorado Rockies; and the National Hockey League’s Pittsburgh Penguins, the people familiar with the matter said.

WSJ News Exclusive | Warner Bros. Discovery Looks to Get Out of Regional Sports TV Business

 

[jkrdevil]

So that’s 15 of 25 American teams.
What are the 10 teams that have deals, and with which company.

Of the other 10 teams:

Boston - NESN (which the team partly owns)
NY Rangers - MSG (common ownership)
NY Islanders - MSG
NJ Devils - MSG
Buffalo - MSG
Flyers - NBC Sports Philly (common ownership)
Washington - NBC Sports Washington (team ownership just purchased RSN)
Chicago Blackhawks - NBC Sports Chicago (believe team has ownership stake)
Colorado Avalanche - Altitude (team has common ownership)
San Jose Sharks - NBC Sports Bay Area