MrRant 0 Report post Posted September 27, 2003 NEW YORK (Hollywood Reporter) - The NFL Network will have a tough time convincing cable operators to carry the channel before its Nov. 4 launch, sources said. But the NFL said it is confident that operators will come to recognize the value and strong brand of its network as well as the advantage of partnering with the league in advance of being able to bid on the long sought-after NFL Sunday Ticket subscription package of out-of-market games. With a DirecTV deal in hand, the NFL Network has been wooing operators to become charter members with such incentives as free video-on-demand content and a slew of high-definition TV programming. The league's formal proposal reached operators Sept. 19, days after network chieftains entertained cable executives at New York Giants and Jets games at the Meadowlands in New Jersey. Talks have stalled over the league's insistence that operators offer the network on digital basic tiers, which reach all digital customers at a cost of $10-$15. Cable executives want the NFL to follow NBA TV's model and let them offer the football network as part of a lineup of niche sports services that customers would have to pay yet another fee (about $5) to obtain. The NFL argues there is nothing "niche" about pro football. Preseason games are among the top-rated shows every summer, and "Monday Night Football" is a consistent top 15 show for 30-plus years on ABC. But the industry has balked at the estimated license fee of 10 cents a subscriber, partly over its relatively heavy cost and partly because of suspicions that the league will take a page from ESPN's playbook when it puts Sunday Ticket on the market following the expiration of the league's TV contract after the 2005 season. DirecTV has attracted about 1.5 million-1.6 million customers (who pay $179 or $209 a year) -- about 15% of its subscriber base -- with the exclusive property. That grosses the company roughly $300 million a year minus the NFL's split. Cable operators want that package badly but are wary of the NFL Network because of their experiences with ESPN, whose $2-plus license fees rise by 20% a year because the channel gets operators to kick in to help pay for its $4.8 billion NFL deal, sources said. While recognizing the value of the network's brand and being eager for the VOD content, operators want long-term protection against sharply rising costs and the league's ability to use Sunday Ticket as leverage to impose surcharges on its core license fee. The key question is: Who holds the high cards now -- operators who feel under no pressure to launch the NFL Network or the league with its Sunday Ticket package percolating? Will operators who don't launch the channel today be at a disadvantage in obtaining Sunday Ticket, or will all of that become irrelevant in 2005? "I would think operators would drive a very hard bargain," one source said, adding that in the short run, "The issue is going to be what kind of leverage the NFL has until such time that the (Sunday Ticket) deal gets opened up." Not coincidentally, Steve Bornstein, the man who was instrumental in shaping ESPN's aggressive sales strategy in the late 1980s and '90s, is running the NFL Network. Bornstein is counting on the cache and marketing power of the NFL, arguably the most popular sport in America, if not the most attractive television property around, inside or out of sports. "Cable operators are not wildly interested in carrying a high-priced sports channel without premium product," said one industry executive, who said that cable companies would love to get access to the NFL's extensive library to help jump-start its nascent VOD lineup. "The majority of large operators are trying to aggregate large packages of free VOD." The NFL Network will not offer regular-season games -- though it will show exhibition contests -- but executives believe they have prepared a slate of attractive programming that can help operators solve their problem of keeping digital customers. About 5% of them "churn" or disconnect the service after their initial purchases. "Nobody can go out and co-brand with the NFL," said Adam Shaw, senior vp distribution at the NFL Network and a former top executive at Fox Cable Networks. "We are going to allow bigger partners to have marketing opportunities where it could be 'the NFL and Charter bringing you X, Y and Z.' " Shaw said the network is willing to be flexible and allow operators to offer the network on sports tiers as long as the network is in front of a majority of operators' customers by 2006. "No one expects us to be a digital sports tier-only network," Shaw said, adding that a few operators in football-crazy towns have even expressed a desire to put the network on analog tiers that reach almost all of their customers. "At the end of the day, you have to make a certain penetration commitment." The network's primetime schedule is a mix of programming aimed at the hard-core fan and the casual viewer. At 8 p.m., the network will air "NFL Total Access," its flagship show with former ESPN "SportsCenter" anchor Rich Eisen that will go beyond the Xs and Os of the game and include a heavy celebrity quotient. The network also recently added former NFL players Sterling Sharpe and Glenn Parker to its on-air talent pool. "We think that this is going to appeal to women, going to appeal to all ethnic groups," Shaw said. "This goes to the idea that this is not a niche channel." A 10 p.m. show, "Playbook," is designed for the hard-core fan with segments on fantasy football and heavy "chalk talk." The NFL looks at its service as a "lifestyle channel," not a sports one. Off-season shows will include "NFL Cribs," a knock-off of the popular MTV show that peeks into stars' homes, and a behind-the-scenes look at how women become cheerleaders. But for now, operators believe they will never hold this much leverage over the league again. "In 2005, all bets are off," one source said. "Everything will be up for grabs at the time." Reuters/Hollywood Reporter Share this post Link to post Share on other sites
Guest Choken One Report post Posted September 27, 2003 Why? The Tennis Channel did shit, Golf is nothingness, Boxing Channel flopped... NFL NETWORK would just be ESPN4 with all NFL FILMS shows... Share this post Link to post Share on other sites
NoCalMike 0 Report post Posted September 27, 2003 Whatever happens, they better offer better programming than the borefest on NBA TV. Share this post Link to post Share on other sites
Guest Choken One Report post Posted September 27, 2003 Oh god I forgot NBATV. Share this post Link to post Share on other sites
MrRant 0 Report post Posted September 27, 2003 What? You mean you don't like watching NBA Inside Stuff 8 times a day? Share this post Link to post Share on other sites
Guest Choken One Report post Posted September 27, 2003 It annoyed me how it was more a WNBA show if anything. Share this post Link to post Share on other sites
Guest Salacious Crumb Report post Posted September 27, 2003 Hopefully the NFL network will show some classic games since ESPN Classics won't for some reason. But I'd consider selling my soul if Dish Network would get Sunday Ticket. Share this post Link to post Share on other sites
JHawk 0 Report post Posted September 27, 2003 I just wish my cable company would make up their mind whether or not they want to carry NBATV. Share this post Link to post Share on other sites
Guest Choken One Report post Posted September 27, 2003 Hopefully the NFL network will show some classic games since ESPN Classics won't for some reason. But I'd consider selling my soul if Dish Network would get Sunday Ticket. they don't own the rights to them I believe... Share this post Link to post Share on other sites
Dr. Tom 0 Report post Posted September 27, 2003 Damnit, I want NFL Sunday Ticket. It's asinine that the NFL would restrict it to DirecTV and cut off 90% of the country from being able to get the service. The cable companies should get on board. Share this post Link to post Share on other sites
Guest Choken One Report post Posted September 27, 2003 and why DirecTV? It's the only thing it's got...The NFL TICKET. Once NFL moves to TW or all others...DirecTV will dismantle. Share this post Link to post Share on other sites
The Czech Republic 0 Report post Posted September 27, 2003 So wait...who DOES own the rights to the NFL games, and why aren't they available? ESPN Classic can show NBA, MLB, and NHL games from a variety of networks: not only ESPN and ABC, but NBC, CBS, FOX, WGN, MSG, and even footage from the old regional SportsChannels. So I don't know what's so damn special about football. Share this post Link to post Share on other sites
HarleyQuinn 0 Report post Posted September 27, 2003 Doesn't NFL Films own the rights to all the football games? Share this post Link to post Share on other sites
MarvinisaLunatic 0 Report post Posted September 27, 2003 Well of all the sports, NFL has the most rabid fans who are dying for some football again after the draft, but I don't know if they'll wanna watch "NFL Cribs"..they want some FOOTBALL! Maybe they'll do NFL Europe (if it exists next year).. Share this post Link to post Share on other sites
Bored 0 Report post Posted September 27, 2003 So wait...who DOES own the rights to the NFL games, and why aren't they available? ESPN Classic can show NBA, MLB, and NHL games from a variety of networks: not only ESPN and ABC, but NBC, CBS, FOX, WGN, MSG, and even footage from the old regional SportsChannels. So I don't know what's so damn special about football. I have to assume the NFL owns the footage otherwise if the networks owned it you'd think ABC would let ESPN Classic show old MNF games but they don't. Of course it could be part of the deal with ESPN to show Sunday Night games that they aren't allowed to show old NFL games on ESPN Classsic except for the NFL Films versions of them which we've all seen a million times. I had always assumed the NFL was just holding on to those original broadcast games for their own channel but since they apparantly are not going to I'm starting to think it has something to do with NFL Films. I think they and they alone feel NFL Films should be the one to tell the history of the NFL and only their film should be shown. Its shuch a shame that those old CBS, NBC, and Monday Night games may never see the light of day again. How cool would it be to see the original broadcast of "The Immaculate Reception" game? Share this post Link to post Share on other sites
MrRant 0 Report post Posted September 27, 2003 NFL Films owns the rights to it I believe. Just like MLB owns all their stuff. Share this post Link to post Share on other sites
The Tino Standard 0 Report post Posted September 28, 2003 What percentage of the country actually gets NBA TV? I thought this channel was more of a myth than anything else right now. Share this post Link to post Share on other sites
