Coming dissolution of NBCSN is viewed as having little to no downside for the NHLNBCSN
By shuttering NBCSN and shifting live sports to USA Network, NBCUniversal is hoping to "solve two problems with one move: Get rid of an underperforming asset and boost an already powerful one," according to Flint & Rizzo of the WALL STREET JOURNAL. NBCSN has "struggled to compete against bigger rivals." NBCUniversal is hoping it can "increase its value of USA Network to distributors," and having more sports on USA also will make it a "more viable competitor" to WarnerMedia’s TBS and TNT, which also carry a mix of entertainment and sports (WALL STREET JOURNAL, 1/23). Industry consultant Pat Crakes, a former Fox Sports exec, said, "You can have NHL nights on USA, more hockey on NBC and a streaming exclusive night on Peacock now. That’s part of the evolution of media -- to leverage broadcast, streaming and pay TV together" (WASHINGTON POST, 1/23). In N.Y., Kevin Draper noted the move will "shutter a reliable stream of revenue for the company -- NBCSN brings in hundreds of millions of dollars annually -- in order to help build Peacock into a bona fide competitor to other streaming services, like Netflix and Disney+, and to shore up" USA. Still, NBCSN is "quite popular," as it was the second-most-viewed cable sports channel in '20. The decision will have "major ramifications for a number of upcoming rights negotiations" (N.Y. TIMES, 1/23).
IMPACT ON AUTOSPORTS: THE ATHLETIC's Jordan Bianchi noted NBCSN has "used motorsports as benchmark programming," but NASCAR races will "shift to USA Network later this year." Sources indicated that races will "not be switched" to Peacock because the "terms of NASCAR’s contract with NBC preclude races from being broadcast on a streaming service." Bianchi noted NBCSN’s shutdown "could be considered a boon to NASCAR." Meanwhile, IndyCar, whose rights deal with NBC is set to expire at the conclusion of the '21 season, "should still be able to find a new television home outside of NBCSN and not have to consider a shift to a streaming service." IMSA "may be most impacted by Friday’s announcement," as a "distinct possibility exists that the majority of IMSA races outside of the Rolex 24, 12 Hours of Sebring and, possibly, the Petit Le Mans championship finale could transition to Peacock" as IMSA’s six-year contract with NBC Sports expires after the '24 season (THEATHLETIC.com, 1/22). IndyCar in the final year of its three-year pact with NBC Sports is set to have nine races on the NBC broadcast channel. It was unclear if there will be any changes to what OTT programming will be offered this year. But sources said that the IndyCar plan now will be stationed on Peacock Premium (Adam Stern, Staff Writer). IndyCar on Friday indicated that its eight NBCSN races will "remain on the channel this year" (INDIANAPOLIS STAR, 1/23).
JUST FINE FOR NHL: Crakes said, "It’s all good for the NHL. There is no bad here." He also said that it is "possible that NBC could use the NHL to put exclusive games within its Peacock streaming platform, which NBC has been working to bolster, but the NHL likely wouldn’t allow that to happen without at least keeping a similar number of games broadcast on USA or NBC, if not more." Crakes: "The NHL can now make more money with another high-quality partner in addition to NBC at the end of this deal. If that’s the case, where is the bad?" (THEATHLETIC.com, 1/22).
