Is a streaming revolution or evolution coming?

Is a streaming revolution or evolution coming?
Reading time: 5 min

Summary

  • Streaming services are revolutionizing NFL broadcasts, Netflix is ​​broadcasting games for the first time.
  • The internationalization of the NFL creates new global marketing opportunities.
  • Classic television remains dominant, streaming complements existing structures.
  • Media talent development is becoming increasingly important to the NFL.

The National Football League (NFL) is at a crossroads in its television broadcasting. While the current TV contracts with the major broadcasters run until the end of the decade, exciting developments are already emerging that will shape the future of the NFL television could shape. In particular, the penetration of streaming services into the lucrative NFL market raises questions: Are we currently experiencing a revolution or rather an evolution in NFL broadcasts?

Netflix enters the field.

A big bang was the announcement that the streaming giant Netflix will broadcast two NFL games on Christmas Day for the first time this year. Netflix secured the rights for $75 million per game – a clear signal that the service wants to enter the highly competitive live sports market.

The deal is attractive for the NFL in several ways: On the one hand, the league generates additional revenue for games that were not previously included in the TV package. On the other hand, the NFL is potentially tapping into a younger, international audience with Netflix. Netflix has an enormous global reach without the restrictions of traditional TV networks.

“The NFL wants to make Netflix addicted to football, just like the TV channels already are,” analyzes an industry expert. In fact, the streaming service could become an important long-term partner for the NFL in opening up new markets.

NFL television: internationalization as a growth driver.

Internationalization is already a central issue for the NFL. By expanding the International Series to up to 17 games per season, the league is creating new marketing opportunities. The experts at The Athletic see enormous potential here: “You could put together a new TV package with 17 international games and sell it to a global streaming provider.”

However, there are also doubts as to whether American football can really become a mass phenomenon outside the USA. Inconvenient kick-off times and a lack of familiarity with the rules could pose hurdles. “It will be a long time before the NFL is as popular in Europe as it is in the USA.”

Streaming services on the rise.

In addition to Netflix, other streaming providers are also pushing into the NFL market. Amazon has been broadcasting the Thursday Night Game exclusively since 2022. This year the group will also show a playoff game for the first time. Apple TV+ is also considered a potential partner for the future.

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The NFL sees the financially strong tech giants as attractive new buyers for its broadcast rights. As is well known, the NFL is a master at always finding new ways to get parts of the pizza back and then resell them.

However, it is questionable whether the streaming services are really interested in the large rights packages. Their business model is based on exclusive individual games rather than the mass of broadcasts that the NFL has to offer.

Classic television remains dominant for the time being.

Despite the advance of streaming providers, traditional television will remain the dominant platform for NFL broadcasts for the foreseeable future. The current contracts with CBS, Fox, NBC and ESPN run until at least 2030. Only then could major upheavals occur.

What is more likely, however, is a gradual integration of streaming elements without endangering the core business.

The streaming services themselves also seem to have no interest in taking over the NFL rights completely. Their focus is more on selected premium games to attract customers.

Talent development as a challenge.

Another challenge for the future of NFL television is developing top commentators and analysts. Football legend Tom Brady’s move to Fox for $375 million over 10 years shows how competitive the best names and talent are.

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However, it is questionable whether such mega deals are sustainable in the long term. At the moment it is more about retaining big names.

At the same time, more and more former players and coaches are entering the media sector. Names like Mike Tomlin, Sean McVay and Matt Ryan are considered potential stars of the future. The challenge will be to identify and develop real talent.

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