Tuesday, March 15, 2016

What is the future of the ACC Network?

As Chad Scott pointed out (HT EO) ESPN owes the ACC $45 million dollars this year if they do not launch the ACC Network by July 1, 2016. July is still far away, but I don't think the ACC and ESPN are going to rally and launch a network in three months. It looks like the ACC is going to get the money from the network without having an actual network.

The change in plans is very much due to the cord cutting phenomenon. And while the conference will lack the cache of having its own network, this is probably a better deal. In this set up, there is no financial downside. ESPN remains very much in bed with the ACC, plus this sort of deal incents ESPN to put ACC content on its own channels and in key slots. I've joked, but ESPN U will be the default ACC Network.

The extra money would move the ACC TV deal closer to the SEC's and the Big Ten's. Plus there is still a chance to have a true network in 2017 and beyond if the economics or marketplace change.

7 comments:

CT said...

You mean "incentivizes?"

How is this good? ESPN has lost millions of subscribers due to the availability of streaming services. It's why they canned Grantland and have been downsizing. There is a market for the SEC network because people down here care about college sports. I would be surprised, given the small schools in the ACC, if the new network made money.

Unknown said...

An Over the Top network, which this article alludes to, is the way to go. With young consumers changing habits, it is better for the ACC to be ahead of the curb on this one than fall into line with other leagues making less than SEC or Big Ten. Additionally, given what is going with ESPN, it is likely they will lose some of the big ten rights to likely FOX. Big Ten is going to need to split the rights multiple ways to maximize revenues. This means more slots on ESPN nets for the ACC.

Tim said...

Just put the games online on a pay-per-view basis. I cancelled my cable subscription more than a year ago. I do not miss paying over $100 a month for a bunch of garbage I never watched. Good riddance to cable.

Napolean Bonaparte said...

Don't worry CT - some BCI writer recently wrote that BC has a pension for firing coaches too quickly. Nobody noticed.

Hoib said...

ATL/Bill

How does the ESPN/ ACC relationship work re:BC? Is there a geographic component that allows. ACC games to be shown in Boston because BC is there? If that is true, is ESPN then allowed to change an increased amount to the cable provider because those games are being offered in Boston? My cable package comes through NYC, and I noticed once Cuse came into the league I was able to watch many more BC games. That's why I assumed there was a regional aspect to this.

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