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The $7 Billion Battle for the NBA’s Media Rights
Investor and sports business analyst Joe Pompliano discusses the latest rumors surrounding the NBA’s new media rights deals with ESPN, NBC and Amazon Prime. Joe also breaks down how TNT playing hardball in negotiations with the NBA could cost the network billions
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OMG! The NBA accounts for 80% of TNT ad revenue. I had no idea. This was suicidal to not lock up the rights in the exclusive window.
@tonywong8134
2 ай бұрын
They pull in 1 billion in revenue but has to pay 2 billion in fees and have to pay for inside the nba and the show salaries. It would be suicidal to take the deal.
@kimoc.4163
2 ай бұрын
@tonywong8134 yea but they make it back in subscriptions and the carriage fees. Good luck selling g that BR sports $10 add on without NBA. Lol
@tonywong8134
2 ай бұрын
@@kimoc.4163 of course they would not have that negotiating power losing the nba but they will win out. Nbc hasn't had the nba in 23 years by the time they pick up the nba again and they sure aren't suffering. The nba has been abysmal in ratings these last 5 years with no signs of getting better. Tnt will win out since they'll hace a net positive as their bottom line.
I love how Zaslav is killing everything about Warner Brothers, great guy, hope he gets another 40 million salary package this year
What WBD does not realize that cable tv is declining and too damn expensive nowadays. When 2030 hits they will be a non existing factor.
@wilsongaye2437
2 ай бұрын
Facts
@bubbam3596
2 ай бұрын
you do know they own like 40 other channels, HBO and many other big channels. Theyll be fine. Hard to be profitable when the nba keeps charging more and cutting into your profits
@jeruss00
2 ай бұрын
But having 3-4 streaming services are roughly the same as cable/satellite TV if not more. WBD might be looking for a buy out with all of the assets they have.
@bothpoint8667
Ай бұрын
That might be why they’re look at getting CBS from Paramount. If you get CBS you also get the NFL rights and that would offset the NBA. There’s also no “cable is too expensive” excuse for CBS or any other OTA network. Just buy an antenna. 🤷♂️
How many subscriptions do you need in the US to see every game?
@unlimitedpower4101
2 ай бұрын
It used to mostly be on free to air TV with the exception of a cable package subcription to TNT. Even with ESPN, that used to mainly just be a channel with highlights and scores while the actual live games aired on Disney's free to air channel ABC. Now all these broadcasting companies are switching to streaming due to popular demand.
But can somebody explain to me how it works with highlights and stuff? I always wondered why its allowed to upload highlights and stuff and use all old nba games on youtube and make money with it. Cant the company that owns the rights just forbid that?
@rubbishrabble
2 ай бұрын
The affiliates table has everywhere besides a third which is the top 3 markets of NYC, LA, Chicago. That means if they reject a rival highlight then they also reject the affiliates table. Also Disney with the NBA finals on the subsidiaries on ABC & ESPN wants to cover NFL playoff games on the rivals of CBS or NBC.
Great job 👏 love this video, genuinely enjoy talking about and learning about the business side of sports and entertainment
@joepomp
2 ай бұрын
Thank you!
@SullyAfgarshe
2 ай бұрын
@@joepomp do you have any insight into the timetable for the new CBA to be completed, will negotiations continue on into the summer and fall? Also do you think the Olympics / Team USA which are on NBC will affect the negotiations in any way?
Always love ur content. Great information as usual 👍🏾 🏀
@joepomp
2 ай бұрын
Appreciate you!
Could WBD have made a profit if they had paid enough to win the deal? If no, then they did the right thing.
@joepomp
2 ай бұрын
Nope, they would lose about $300 million annually...but the tough part is that if the company's affiliate fees drop they will end up losing billions annually. The important piece is here that Comcast-owned NBC is probably overpaying because Comcast knows that if they steal the rights away from TNT, then they can probably recoup the money by dropping the networks affiliate fee. Super smart IMO.
@Alex-pd7tb
2 ай бұрын
That makes no sense, sure they would “loose” revenue. But they would lose “profit” if they lock in super high expenses
@porkypine602
2 ай бұрын
@@Alex-pd7tbhard to say without the nba the amount of money the ISPs will lower the amount of they pay to WB and just less traction on the channel for in general will hurt their other programs as well. This could snowball into a bigger problem for them trying to make short sighted decisions to save cost.
Can you do a video on the WNBA? I’m not sure if there’s enough info out there or not, but I know renegotiations are happening next year
@JoeMama-tl4tr
2 ай бұрын
Nobody cares about the WNBA they can barely fill their arenas except for the Indiana Fever
It's crazy how much Americans have to pay to enjoy NBA. Us Indians pay Rupees 1500 ($18) for the whole season of NBA league pass. We dont give af if its on TNT, ESPN or anywhere. League pass is there and we watch as many matches throughout the season for like 20 bucks lol
What's weird about bidding now is the top bidder isn't taking the smallest margin. Instead, they try to compensate with more content. Like Disney with too many star wars spin offs to justify to huge price to buy lucasfilms
Are you related to Anthony Pompliano
@xelaander8429
2 ай бұрын
They're brothers
I just watch the highlights on KZread. Gotta go to full screen quickly and have eye discipline to avoid comment spoilers.
I wanna know when it's over so we get our sonics back
They are wasting money, and the nba is not worth that.
@JoeMama-tl4tr
2 ай бұрын
They are not just paying for the actual games but the superstar quality of the top players like Jokic, Giannis, Luka, Lebron, Steph KD, Kyrie, etc they know what they are paying for and clearly it is worth it if they are spending that much money
@Torpid6441
2 ай бұрын
Yes, because Im sure a company spending 2 Billion dollars has absalutely zero plan for ROI. Surely you know more than everybody that works at those companies in management.
@DAV3RAG3
Ай бұрын
@@JoeMama-tl4tr still not worth it
@DAV3RAG3
Ай бұрын
@@Torpid6441 just like the government. Sometimes the experts are not always reliable .i don’t even know why you blind trust any expert after
@og3081
Ай бұрын
@@DAV3RAG3HATING 🦝BE QUIET ! SMDH
Zaslav is one of the worst CEOs I remember in recent history. Like every decision he’s made has been catastrophic
I don’t get TNT with xfinity sports package, so it’s a good thing for me if NBC gets the rights. Will miss inside the NBA content.
And if you don’t understand it this is why the NBA can pay players what they’re making and the WNBA can’t
Does UFC want to go to TNT
Paying 7 billion for the nba is a terrible investment
@youcantalwaysgetwhatyouwan6687
2 ай бұрын
it's not
You make no cents why can't turner go fir c package
What’s going to happen with the salary cap if all of these deals for the nba go through? $70 or $80 million per year players???
@sweepingdenver
2 ай бұрын
Yup. That’s why everyone is saying the Jaylen Brown contract will look like a good deal within a few years.
@snowman9642
2 ай бұрын
Unlikely, NBA is on its way down, it’s not a good investment. Mark Cubin got out for a reason.
@johanntan86
2 ай бұрын
@snowman9642 I think he sold his shares to increase his remaining shares value further down the line. I read somewhere the new majority owners will integrate the mavs new home within a casino. Might be wrong thou.
solution just buy the wbna to replace the revenue...
Sounds like a nba bubble
Hbomax airs nba games as well.
Im a cord cutter 😢😅😊 shit just getting to high
No nba tnt adam sliver is doing a great job destroying the NBA Something that david stern wouldn't do.
Amazon gonna win
Ppl have stop caring for Basketball. Boy n girl. Cant even rake up 1 Million views anymore on a playoff game 😂😂😂
@og3081
Ай бұрын
🧢🤡
There AEW lol
@josephedrictiamson
2 ай бұрын
But will it make up what they lose once the NBA leaves? I don’t think so.
Max is a 3rd-tier streamer, WB movies bombing, and their cable is dying. They're a dying company.
The NBA isn’t worth it and who better to know it than TNT. Declining viewership that is dwarfed by the NFL. Nobody watches regular season NBA. Too woke.
@MovieGeek34
Ай бұрын
All sports are in decline. Even nfl.
@og3081
Ай бұрын
MAGA 🤡 GET OUT YOUR BUTTHURT FEELINGS WEIRDO !
Nobody cares about amazon