The first MLB team attempts to pull away from Bally Sports. Plus; an NBA media rights update; YouTube TV’s monthly subscription just increased to $72.99 per month.
Texas Rangers attempts to terminate Bally Sports deal
The Texas Rangers are the first team to attempt to cut ties with Diamond Sports following their official filing for Chapter 11 bankruptcy, as reported by The Athletic. Diamond Sports is fighting the termination attempt, stating that it has not missed any payments to the team, which earns $111 million annually from their current deal. The report stated that it remained unclear if the Rangers were working independently or with MLB, which has been active in attempting to regain control over their team’s local media rights in recent months. The Rangers have stated that regardless of the outcome they do not foresee any disruption in their TV coverage. (The Athletic 3.15)
NBA media rights update
The NBA is seeking to triple its current TV revenue in its next round of media rights negotiations, but the league’s desired price tag is meeting pushback, per The Information. Amazon is said to be taking a wait and see approach as it evaluates the performance of its long-term NFL deal and has been characterized as hesitant to enter another long term rights agreement with a sports entity in the near future. Other streamers are in similar positions, as Google paid $2 billion a year to secure NFL Sunday Ticket and Apple in its first year of its deal with a ten-year deal with Major League Soccer worth $2.5 million over the life of the deal. (The Information 3.15)
YouTube TV price hike
Google announced that the price of a base subscription to YouTube TV will increase from $64.99 to $72.99 per month. However, Google will simultaneously lower the add-on higher resolution 4k streams from $19.99 to $9.99 a month. Google blamed a rise in content costs in its announcement, and the move follows similar price hikes by competitors HBO, Apple, and Disney in recent months. In December, Google announced the acquisition of NFL Sunday Ticket for $2 billion per year, but has not yet stated the price of the add-on package for consumers. (CNBC 3.16)
