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Conferences are not looking to add schools to increase the number of schools in their conference or solidify geographies, but they are looking to brands that can help drive their conference network revenues when they become streaming services. There is a big difference in value creation to adding Texas and Oklahoma or Notre Dame to your conference than any other current or projected available school. You take Oklahoma and Texas out of the Big 12 and the value of the Big 12 media rights plummets to close to AAC levels. If you take Florida State and Clemson out of the ACC and the value of the ACC media rights plummet as well.If the ACC took UConn, Army and Navy they would solidify their presence in the metro NYC and metro Washington DC markets. Kansas and UConn would bring it basketball elite status.
Conferences are not looking to add schools to increase the number of schools in their conference or solidify geographies, but they are looking to brands that can help drive their conference network revenues when they become streaming services. There is a big difference in value creation to adding Texas and Oklahoma or Notre Dame to your conference than any other current or projected available school. You take Oklahoma and Texas out of the Big 12 and the value of the Big 12 media rights plummets to close to AAC levels. If you take Florida State and Clemson out of the ACC and the value of the ACC media rights plummet as well.
This may sound crazy, but if the ACC cut two of the lowest media value schools from their conference, their media rights value probably doesn't go down at all and they could increase payouts to the remaining schools by $5 to $6 million per year. Add in Notre Dame and maybe you can narrow the gap between the ACC and the Big 10 and SEC and keep Florida State and Clemson happy.
Conferences are not looking to add schools to increase the number of schools in their conference or solidify geographies, but they are looking to brands that can help drive their conference network revenues when they become streaming services. There is a big difference in value creation to adding Texas and Oklahoma or Notre Dame to your conference than any other current or projected available school. You take Oklahoma and Texas out of the Big 12 and the value of the Big 12 media rights plummets to close to AAC levels. If you take Florida State and Clemson out of the ACC and the value of the ACC media rights plummet as well.
This may sound crazy, but if the ACC cut two of the lowest media value schools from their conference, their media rights value probably doesn't go down at all and they could increase payouts to the remaining schools by $5 to $6 million per year. Add in Notre Dame and maybe you can narrow the gap between the ACC and the Big 10 and SEC and keep Florida State and Clemson happy.
The ACC under Swofford was still all about basketball....The ACC does need for FSU and Miami to continue with their rebuild....and join Clemson at the top.
They need more content.
I didn't say everything is going ala carte streaming, but I do believe you will see conference streaming networks for some content similar to how conference cable networks work now. You want your fans to buy the streaming conference network so they can see the 1 or 2 football games and 5 to 10 basketball games that are streamed. I believe we will have some big streaming services like Netflix, Hulu, Disney+, Amazon, Peacock,... and then some mid tier streaming services and some sport/team specific streaming services. I do think most big college football games in the future will be on some sort of bigger streaming service or on a major network although the delivery may be different than today.That is not exactly right. If everything was going a la carte for streaming, Netflix would be in big trouble. It's entire business model is predicated on being a single access point for customers to a load of content. Customers will sign up if there is enough content they want, but there needs to be a critical mass of content or customers will not sign up at all.
Conferences will be the same way. They need more content.
Nelson...
SEC fans are far more passionate about their football than most...
Folks watch games that interest them...and college football does....392 games in 2019 that averaged 1.8 million viewers.
33 regular season games in 2019 had more than 5 million viewers...
Folks tune in for the brand games.
Are they?? I wasn't sure how that worked RE ND and their "affiliation". Wouldn't surprise me if they had some language added RE them joining another non-ACC conf fully for football. Guess we'll see.Notre Dame is tied up in the same GOR for non-football that every other ACC school is.
Yes, but the financial obligation for non-football is not that high. The issue I see for ND is the agreement that if they joined a conference for football before 2036, it would be the ACC. Who knows what that contract actually looks like.Notre Dame is tied up in the same GOR for non-football that every other ACC school is.
causal fans yes but this is out of whack with everything i've read re where digital streaming is going. Eventually there will be ~30 schools that Amazon and Google and Facebook et al will divvy up among each other and carry on their respective streaming services, each requiring a subscription, and those fans will pony up. They aren't going to carry K state games for the extra content.Customers will sign up if there is enough content they want, but there needs to be a critical mass of content or customers will not sign up at all.
Conferences will be the same way. They need more content.
causal fans yes but this is out of whack with everything i've read re where digital streaming is going. Eventually there will be ~30 schools that Amazon and Google and Facebook et al will divvy up among each other and carry on their respective streaming services, each requiring a subscription, and those fans will pony up. They aren't going to carry K state games for the extra content.
“We’re still seven or eight years away,” he said, “but if we had to restructure the landscape today, we would not start by negotiating with a conference. We don’t care about the SEC, Big 12 of Big 10 as a whole. In our opinion, those entities are not our focus.
“Instead, we would want to identify 30 or 40 teams that command the biggest audience. That may be by reputation or location, but generally we all know that there are members in every one of these conferences that frankly don’t move the needle.
"We would not want to pay for broadcast rights for a team with a fraction of the audience when we could use most of our available cash to tie down high profile teams."
Conference re-alignment will come - shaped by tech, not TV
College football fans are likely to wake up to an entirely new world in the coming decade, perhaps with or without current conferences, as TV rights begin to expire in 2023.247sports.com
*Most likely to make the 'Big Dog' list, (according to Top Programs by Value - WSJ ):
In order: Ohio State; Texas; Oklahoma; Alabama; Michigan; Notre Dame; Georgia; Tennessee; Auburn; Florida; Penn State; Texas A&M; Nebraska; South Carolina; Iowa; Arkansas; Wisconsin; Washington; Florida State; Oregon; Michigan State; Mississippi; Clemson; Southern California; Arizona State; UCLA.