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Google, NFL meeting reportedly includes Sunday Ticket discussions

Discussion in 'DIRECTV Programming' started by Athlon646464, Aug 21, 2013.

  1. Aug 22, 2013 #61 of 133
    Bambler

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    The more I think about this, the more sense it makes.

    However, I think ideally the NFL would want multiple partners: one traditional (like DirecTV) and one non-traditional (like Google), at least for now.

    I think under those circumstances, everyone would be happy and the NFL could still charge each a billion or more, thereby falling inline with their increases charged to the networks a few years ago. Unless, of course, one provider (traditional or not) comes in and plants up to $2 billion for the exclusive privilege similar to what DirecTV did years ago.

    Google has the muscle and they might not want to share if you think about it, so who knows what may happen. Dish may even come in and surprise people.
     
  2. Aug 22, 2013 #62 of 133
    joshjr

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    I will believe that when I see it. I don't see that happening anytime soon.
     
  3. Aug 22, 2013 #63 of 133
    Bambler

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    Well, if there's one thing I've learned: never say never. Yes, it's a cliche'.
     
  4. Aug 22, 2013 #64 of 133
    joed32

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    You're right, it would have to be one or the other. See the games on TV or have the whole country trying to stream the games. For computer nuts like us it would work but not for the general population.
     
  5. Aug 22, 2013 #65 of 133
    oldschoolecw

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    There would be apps for all sorts of devices, it really wouldn't be a big deal for it to happen
     
  6. Aug 23, 2013 #66 of 133
    joed32

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    This may seem strange to some here but some of us don't use any devises that have apps. Guys want to turn the TV open a beer and watch the game, not D/L or open apps to get a jumpy stream that they have to run on a computer and transfer it to the TV.
     
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  7. Aug 23, 2013 #67 of 133
    Laxguy

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    There are some of us who have and use apps on iDevices all the time, but will not watch anything on them unless it's the only game in town. (the only way to see something we think important.) I can count on one hand those times, Louis Vuitton Cup being one of them.
     
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  8. Aug 24, 2013 #68 of 133
    sregener

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    I don't see a Roku as a difficult device to use. I'm sure most Americans could figure out how to make one work. In many ways, they're easier than DVD players.
     
  9. Aug 24, 2013 #69 of 133
    Laxguy

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    Don't disagree, but can't see what this pertains to.
     
  10. Aug 25, 2013 #70 of 133
    sregener

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    The assumption seems to be that if Google were to offer the NFL games in streaming, the average American wouldn't be able to figure out how to do this because they aren't computer savvy. The days where you needed an HTPC to stream video are in the distant past.
     
  11. Aug 25, 2013 #71 of 133
    JohnBoy

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    So does google want Sunday Ticket rights to make it a pc,roku,gaming syst. and mobile apps version like MLBTV?

    Or do they want the whole shabang with Tv rights like the way Directv has it now?

    Best case scenerio Directv and NFL make a deal for a reasonable rate for TV rights and have ST max for their customers only.

    And Google and the NFL do their Apps thing (MLBTV like) for the General puplic "Game Pass USA".

    But this can be a tricky thing if it were to happen.A deal like this will surely cannibalize Directv profits.Especially if they price it at a good rate at around $179 - $249.
     
  12. Aug 25, 2013 #72 of 133
    jdskycaster

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    Get rid of exclusivity and offer it as an option to multiple outlets at a small discount from what they are charging a single provider today. The NFL could easily double the revenue they currently generate while reaching a much broader audience. Why would that not be their primary goal?

    The current contract worked for yesterdays provider landscape. That landscape has changed significantly and will continue to evolve dramatically in the near term. Ignoring this fact and staying with the status quo would be a very poor business decision on the part of the NFL.
     
  13. Aug 25, 2013 #73 of 133
    Laxguy

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    Mr. Skycaster, on what do you base your predictions about doubling the NFL's income?

    Do you think there might be some downside to making it cheap and available to everyone?
     
  14. Aug 25, 2013 #74 of 133
    Bambler

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    I kind of thought about this a bit more and three things could happen:

    1. DirecTV keeps exclusive rights.
    2. Google or someone else wins exclusive rights.
    3. Sunday Ticket goes non-exclusive and is shared by DirecTV and another provider, be it Google or someone else (although a non-traditional partner might make the most sense in this case).

    From DirecTV's perspective, I think only the first two options would make sense for them: they either maintain the status quo or lose it completely.

    Sharing it probably wouldn't make much financial sense from their perspective, especially if that shared price still costs DirecTV more than a billion per year. They will burden the costs, but this time without any leverage and considering they are losing money now on it, the third option might cost them even more than getting rid of it completely.

    Losing it completely might in fact be a wash for DirecTV, as in they lose maybe a million or more customers, but they free themselves of a billion dollar a year outlay. They would gain bandwidth as well, for other programming.

    I bet the NFL will seek almost $2 billion for the rights this time around, be it through one provider or more and they will probably get it.
     
  15. Aug 25, 2013 #75 of 133
    Laxguy

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    How do you know DIRECTV® is losing money currently on Sunday Ticket?
     
  16. Aug 25, 2013 #76 of 133
    Bambler

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    I don't.

    I think someone else did the math based on assumed Sunday Ticket sales vs. assumed cost and it came out negative. No idea how legitimate it is, though.

    Regardless, even though it might be a discrete "loss leader" if you look at it purely from cost vs. sales (assuming it is true), the value of having exclusive rights probably compensates DirecTV in other ways I'm sure and more than makes up for any of the losses in regards to impacting the bottom line.
     
  17. Aug 25, 2013 #77 of 133
    KyL416

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    Not really, Sunday Ticket uses part time bandwidth, when it's not used by Sunday Ticket it's used for things like RSN Alternates, bonus feeds like Rogers SportsNet and CSN Philly for Extra Innings, Center Ice and League Pass, EPL Extra time, live Rugby, UEFA, seasonal Tennis and Golf coverage, etc.
     
  18. Aug 25, 2013 #78 of 133
    Bambler

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    That's true, so I guess bandwidth wouldn't be much of a hurdle if a cable company came in and carried it.
     
  19. Aug 25, 2013 #79 of 133
    JohnBoy

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    As much as I love my Directv my contract with them is up in 2015, if they want to keep me they would have to have the NFL ST as an option for me to stay.

    Otherwise, I will take my Talents along with my wallet to whomever has the NFL ST.
     
  20. Aug 25, 2013 #80 of 133
    KyL416

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    Actually for the cable company it would be a huge hurdle bandwidth wise as unlike DirecTV with a national footprint, on cable you have to deal with thousands of individual systems all at a different place when it comes to bandwidth and capacity. DirecTV also has the benefit of only needing part time bandwidth for specific packages and events. Outside of Sunday Ticket most of the out of market sports packages are just remaps of the RSNs in the 600s while feeds like CSN Philly, Rogers Sportsnet, CSN Houston, etc are only available if the bandwidth isn't already in use for things like the RSN overflow and alternate feeds (which are also remapped for the sports packages) or bonus sports coverage for things like EPL, UEFA, Rugby, Golf, Tennis, ESPN Game Plan/Full Court, etc. Digital Cable does not carry every RSN, so they have to get ALL of their feeds for out of market sports packages from iNDemand.

    Just look at Digital Cable's versions of Extra Innings, Center Ice, League Pass and Direct Kick. Extra Innings and Center Ice share 14 SD channels and 9 HD channels, League Pass and Direct Kick share 10 SD channels and 9 HD channels. All 24 SD feeds are overly compressed by iNDemand and shoved onto the same transponder so most providers have them, however only a few providers actually have enough bandwidth to carry all 18 HD feeds. This system works since the seasons shared by the channels only overlap for less than a month.

    Throw NFL into the mix now you have a sport that overlaps the seasons of the 4 other sports. They would need to find bandwidth for 10+ more channels along with the 10+ HD feeds, unless they go the route they do with their existing packages when seasons overlap and have early and late games share the same channel, resulting in many late games being joined in progress as well as having some games only available in SD.
     
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