Voodoo economics. $15 per willing sub does not cover the costs of ESPN programming. And, if ESPN were available a la carte, why would ANYONE keep paying for a full linear package?
Never said it was a replacement for those with a Traditional Provider, just for those who have left and for those that will leave in the future, need to make up some of that per sub fees they have lost ( over 30 million subscribers have left).
The math has been done. If you take every single household in the USA that has a sports fan in it, the cost of a la carte ESPN would need to be about 50 to 60 $$ a month. Add in the Fox imitators and the channels with some major sports like TBS/TNT and USA, and you are nearing $100. Just for sports.
The channels are done for, as time goes on the Sports Leagues will try to get their overpriced rights fees from Streaming Services, or a mixture like the Big Ten and NFL are getting from Traditional and Streaming.
If I remember correctly, the NBA Contract is coming up, curious how that is going to go, doubt Warner is going to overbid on it based on their own money issues, rumour is Apple wants it.
Which is why the profitable ESPN channels will NEVER be sold by the, it lost a billion and a half last quarter, Disney streaming side.
And Warner lost 2.3 Billion in the same quarter, over 3 Billion in the Quarter before that, profits are getting less and less for Traditional Providers/Broadcastors.
And while Streaming for some Services has not made profits yet, it will happen, both Netflix and Amazon used to lose tons of money, now look at them.
And Disney does not seem like they are giving up on streaming, they just paid $900 Million on the rest of BamTech.
Walt Disney Co disclosed on Tuesday that it has taken full control of BAMTech, a video-streaming firm spun off from Major League Baseball's digital media company MLB Advanced Media.
www.reuters.com