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SBD/Issue 87/Sports Media
Ebersol's Admission Of Vancouver Losses Could Hurt His Legacy
Published January 19, 2010
|Ebersol's Tenure At NBC Has Largely Been
Defined By The Network's Olympics Coverage
PAYMENT PLAN: AD AGE's Jeremy Mullman writes there is "broad agreement that NBC overpaid" for the Vancouver Games, and that the "astronomic rise of rights fees for the games -- which rose 50% over the previous cycle -- is at an end." Ponturo Management Group CEO Tony Ponturo: "I think this is a franchise where rights fees have outpaced the sponsorship demand. The next several years, there will be extreme accountability for marketing dollars and their ROI. ... This should have some impact as a correction on rights fees that got out of whack, just like housing and other over-appreciated items." Some observers saw Ebersol's comments about losing money on Vancouver "as a negotiating ploy," but the IOC "has responded to that by indicating it may delay bidding on future games." Mullman writes, "Given the myriad signs that point to lackluster financial and ratings performances in Vancouver, it might be wise to wait until the 2012 London games to renew interest" (AD AGE, 1/18 issue).