The NFL desperately needs a streaming service
By Keith Myers
It is time for the NFL to join the internet age and create an online streaming service to watch live games.
Cord-cutting a real thing, and it isn’t something that is going away. Millions of Americans have already cut themselves loose from outrageous cable and satellite TV prices. The NFL is missing out on a great opportunity by not offering an option to stream games online.
The major issue right now is that DirectTV owns the rights to out-of-market games for their NFL Sunday Ticket package. CBS and Fox own the rights to the in-market games. The current broadcast agreements would require that those company independently offer online streaming, and they have little incentive to do so.
That isn’t necessarily a deal breaker though. The NFL can change those contracts, as long as both parties agree to the new terms. All the NFL has to do is lower the price the networks pay for those broadcast rights, and the new language would all set to be adopted.
Of course, the NFL isn’t going to do anything if they cannot make money from it. Lowering their revenue from the TV networks will only happen if they can make it up, and then some, elsewhere.
That is something that they should be able to manage if they handle their online streaming service correctly. First, they’ll be able to collect subscription fees from anyone who wants access. As the current NFL Game Pass system shows, couples people will be willing to pay subscription fees.
And then there is the commercial breaks. Just like the TV networks, the NFL could sell advertisement time and fill breaks. That would create another revenue stream.
It is frustrating the NFL is so far behind the other leagues in adapting to the digital age. MLB has a streaming service already, as does the NBA.
It is time for the NFL to fix this.