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MLBAM Taking Over NHL Digital Operations, League Website As Part Of Six-Year Deal

The NHL has signed a six-year partnership with MLBAM in which MLBAM and baseball’s overall media division will operate the NHL’s digital operations, streaming services and NHL Network, according to multiple sources. The deal, valued at approximately $1.2B to the NHL over the course of the contract, will give the league a 7-10% equity stake in BAM Tech, a third-party business. MLBAM will take over operations of the websites of the league and its 30 clubs, all mobile applications, and its GameCenter Live streaming video service. MLB also is in the process of securing strategic investors to help accelerate the growth of BAM Tech, and the NHL will be now be part of that effort. The NHL had previously used NeuLion as its digital vendor for the past seven years. MLBAM will also oversee NHL Network, moving the channel's headquarters to MLB Network’s existing location in Secaucus, N.J. With the new deal, MLBAM will work with the NHL on programming and production, and pay the league approximately $100M a year in rights fees. MLBAM had already been on a tear acquiring significant new business for its third-party operations supporting digital video and content businesses for other programmers, including a high-profile pact with HBO. But the NHL deal is believed to be the most far-reaching of its outside contracts, and includes the additional TV component. Multiple baseball insiders described the NHL deal as “huge.” The NHL and MLBAM previously have done business together on multiple occasions, including their shared status as partners in 120 Sports. In ’09, the two also paired up on a shared digital streaming package offering NHL GameCenter Live and MLB.TV as a joint package. The partnership will be formally announced during a conference call this afternoon hosted by NHL Commissioner Gary Bettman, NHL COO John Collins, MLB Commissioner Rob Manfred and MLB President of Business & Media Bob Bowman.

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