The rise of multiple viewing platforms is increasing the price and potential benefits of media rights deals, said a group of panelists on the final day of the '11 Sports Media & Technology conference. A panel on “The Next Big Media Rights Deal” featured NBC Sports Group President Jon Litner, Turner Sports COO & Exec VP Lenny Daniels, O’Melveny & Myers Managing Partner Chris Brearton, DirecTV Exec VP/Content Strategy & Development Derek Chang and Spike TV Senior VP/Sports & Multi-Platform Programming Jon Slusser.
Brearton: “Why I think sports property rights are going up is two-fold: the multi-platform promise that’s starting to be delivered and also the dual revenue stream the cable networks are able to provide.” Daniels: “Technology is finally delivering on its promise to deliver content to people wherever and whenever.” He noted that live events constituted 99 of the top 100 rated programs last year. Slusser: “You either win or lose on the live number.”
On the subject of whether costly media rights deals are worth it, Daniels said, “In all of the analysis that we do looking at different rights fees and different sports, you can find a way to make them worth what people are paying.” Chang, however, cautioned the value of rights deals in the context of the slumping economy: “The big question is whether that market is getting propped up by artificial stimulus.”
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