MLBAM is "quickly becoming the go-to vendor for companies looking to stream TV over the Web," according to Shalini Ramachandran of the WALL STREET JOURNAL. MLBAM has "become an expert in online video by powering baseball’s digital products," and now is "putting that know-how to work for other media companies." In addition to HBO, MLBAM is "helping deliver" Sony's online pay-TV service, an app from ESPN, Glenn Beck’s Internet TV net and the WWE OTT offering. MLBAM said that it is "in talks with some 40 potential clients, including many traditional TV networks, up from about six last fall." The interest is causing MLB "to consider spinning off part of MLBAM into a separate company so it can focus on the new clients and attract investment." MLB execs said that under the "primary scenario being weighed, the technology unit that serves streaming-video clients would be hived off, while baseball-specific properties like MLB.com and the online ticketing division would remain inside" the league office. MLB Commissioner Rob Manfred said MLBAM’s tech unit "has the capacity to become a real leader in the technology space generally -- not just in the video streaming business." Sources said that media companies including Time Warner and Sony "have held talks with the league about coming on board as strategic investors." Sources also said that the MLBAM tech unit "could be valued" at more than $5B. Ramachandran reports one option being evaluated "is for several media companies to invest in MLBAM’s tech division together." Manfred said that MLB "would maintain control of the MLBAM tech unit, even if other strategic partners come on board." An all-out sale and IPO "aren’t off the table." However, Manfred said that the league’s focus today is on "bringing in minority investors" (WALL STREET JOURNAL, 2/24).
WHAT ABOUT BOB? MLB President of Business & Media Bob Bowman was named one of BROADCASTING & CABLE's Digital All-Stars for '15, as MLB has "grown from what Bowman recalls as a 'so-so' streaming service into a digital powerhouse." MLBAM under Bowman "has become synonymous with streaming" (BROADCASTING & CABLE, 2/23 issue).
