ESPN and Broadcasting Rights for the English Premier League by Mohammed Imran Chandoo
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ESPN and Broadcasting Rights for the English Premier League by Mohammed Imran Chandoo On behalf of ESPN, I assert the following position concerning the broadcasting rights of the English Premier League (EPL). This issue is of importance to ESPN since NBC won the bid to broadcast the EPL in the United States in 2012. ESPN is the worldwide leader in sports, therefore, it should be the worldwide leader in soccer coverage. The organization has a unique and unparalleled interface with its fans. Since its inception in September of 1979, every American has come to recognize the media company as THE authority in sports media journalism. Legendary broadcasters, such as Stuart Scott and Scott Van Pelt, have illuminated house hold TV sets with style and aplomb for decades. They brought sports news to children and adults alike with an intellectual disposition combined with panache. Their passion had a profound influence on millions including myself. To support this positon, I would like to convey a rationale for this belief. The world’s biggest sport does not have a unified home and ESPN provides the best service for sports fandom. Soccer inspires a frenzy amongst its supporters. For them it is a religion, however broadcasters and streaming services are put together in order to wring every last dollar out of its consumer. Which is understandable considering the lucrative bidding process for these distribution rights. For example, in the United States, NBC holds the rights for EPL broadcasting. In the beginning, 2012/2013 season, they made every game available for streaming on their mobile application, NBCSN. This was the golden age of EPL broadcasting in the United States. The levels of accessibility were unprecedented for a hungry American soccer fan. Before, people like myself, would read play by plays on line at 8 am. Soccer fans level of commitment is arguably the most intense relationship between an organization and its fans in all of sport. After a few years of amazing service, NBCSN looked for a cash grab and established NBC gold. In doing so they split their services. NBCSN would only offer online streams for matches that were being broadcasted on TV. Eventually fans revert to old practices of searching out illegal streams and watching matches on tape delay. Or they cave and subscribe to the ‘gold’ package. I will not deny that the programing is good. It is better than BT sports and SKY, the UK distributors of the EPL. Also, and this is an indication of the direction telecommunications is going, I as a fan of the ENGLISH Premier League, have more access to the matches than that of fans in the actual UK. Could you imagine a situation where a sport is more popular outside of the nation which actually host the league, well imagine no more because the American soccer fandom is paving the way for such a scenario. ESPN is in a unique position to deliver what fans are craving. At the same time, it is easy to see the conflicting interests and opposition to this position. NBC spent 250 million dollars on the EPL broadcasting rights, for an audience of approximately 400,00 thousand consumers. (NBC PRESS RELEASE) That is a rate of about 625 dollars per consumer. The return on investment seems unsustainable. Furthermore, the distribution rights are becoming increasingly more expensive: “In the U.S., TV and streaming rights for the most popular leagues are (mostly) locked up until 2021. But digital platforms may strike sooner on foreign shores: In the U.K., for example, bids for English Premier League soccer rights are on the table this year — and Amazon has been rumored to be a serious contender to vie against current rights holders BT and Sky. The crown jewel of European sports rights, EPL cost the two companies roughly $7 billion in 2015.” (Variety Article) Broadcasters and Tech companies are set against one another in this lucrative battle. As the US soccer fandom increases so too does interest across platforms both in new and traditional media. TNT acquired the rights to broad cast Europe’s premier club completion, the UEFA Champions League. Beginning this season, they usurped FOX Sports 8-year-old broadcasting monopoly. However, the quality and accessibility of TNT’s streaming service pales in comparison to that of Fox Sports. A battle for the EPL’s broadcasting rights in the US is brewing. But traditional tv stations are not the only ones to be worried about. Tech giants like Amazon and Facebook have been developing infrastructure to cut into the sports broadcasting market. They would have a distinct advantage at providing accessible and quality streams as well as an unmatchable interface within the fandom. “Through a certain lens, the stage looks set for serious drama. There’s an epic clash looming between upstart digital players and TV networks for the future of sports broadcasting. It would be a category-altering move if one of the insurgents forced a turnover of, say, “Monday Night Football,” which has been a television staple for nearly five decades” (Variety Article) ESPN is in a unique position that is both fair and reasonable. There is an opportunity for the worldwide leader in sports to bridge the gap between new and traditional broadcasting platforms. BAM Tech has helped birth ESPN+, a streaming service developed to broadcast exclusive ESPN programing. The service itself is rich with soccer content such as ESPN FC and the broadcasting rights for the FA and League cup. The two English domestic tournaments are coated with prestige, and ESPN has provided an affordable service to make these matches, both marquee and non-league, accessible to a wide breath of consumers. Despite the aforementioned oppositional perspectives, it is clear that ESPN will not short change and exploit their consumers love for the sport, unlike NBCSN and TNT. In conclusion 2021 provides an opportunity for ESPN to cement itself as the leading agent of soccer fandom in the United States. Both NBCSN and TNT’s contracts are up in that year. ESPN + has provided enough of a foundation for further growth within the soccer fandom market. With one massive bid ESPN + can change the game for millions of American soccer fans as well as the billions of worldwide fans. But the benefits would be symbiotic as it would help keep ESPN on the cutting edge of sports broadcasting. Buying the broadcasting rights for the English Premier League in the United States would cement their position as an industry innovator by bolstering their streaming credentials. In doing so ESPN, would fend off competition from hungry tech giants who are well positioned to obtain the lucrative broadcasting rights of the world’s most popular league in the world’s most popular sport. SOURCES Spangler, T., & Spangler, T. (2018, February 08). Big Media, Silicon Valley Battle for Multibillion-Dollar Sports TV Rights. Retrieved from https://variety.com/2018/digital/features/olympics-rights-streaming- nbc-winter-games-1202680323/ Santaromita, D., & Bokun, B. (2015, August 11). NBC Sports retains rights to Premier League through 2021-22. Retrieved from https://www.nbcsports.com/chicago/chicago-fire/nbc-sports-retains-rights- premier-league-through-2021-22 .