The days of the Tigers "signing gargantuan player contracts could be in jeopardy if subscriber and revenue declines for sports networks continues," according to Bill Shea of CRAIN'S DETROIT BUSINESS. The trend of cord-cutting is "translating into lost dollars," and if networks are "forced to cut back, leagues and teams may not have as much cash in the future to spend on enormous contracts." The Tigers have "developed a reputation for over-spending for their market size, topping out" with last season's $200M plus payroll, fourth-highest in MLB. They are now "starting to scale back that spending." FS Detroit, which carries Tigers games, has a 10-year, $500M contract that runs through '18. That sort of money has "allowed the team to do such things" as give 1B Miguel Cabrera an eight-year, $248M contract. The RSN also has deals with the Red Wings and Pistons. Those three local team deals are "said to be up" in '21, and the RSN is expected to "pay substantially more for the right to carry games." The cord-cutting trend "could affect how much the network is willing to pay." What may "help stave off problems locally is that the Tigers remain a ratings powerhouse." Last year's viewership was "third-best in baseball," and a 13% improvement from '15. The "sustained local ratings success has been lucrative for the network." The RSN has "reported steady year-over-year gains in advertising revenue for Tigers broadcasts" (CRAIN'S DETROIT BUSINESS, 11/21 issue).
