Sinclair / Bally Sports looking for a buyer - Regional Sports Networks likely to die

Submitted by MGoArchive on August 31st, 2022 at 3:03 PM

tldr; the Regional Sports Network (RSN) business model is dying. Local teams could have a $20-30 / million a year revenue hole to fill very soon. Contractually, Sinclair could just stop the $20-30 million a year payments they send to Bally Sports Detroit (imminently) for up to 12-18 months.

Uncompetitive professional teams could be in a serious bind. Sports spending (contracts, stadiums, etc) has plateaued for the MLB/NHL/NBA has plateaued. 

The NFL/CFB seem to be the remaining exception to this, for now.

https://www.sportsbusinessjournal.com/en/SB-Blogs/Newsletter-Media/2022/08/29

rob f

August 31st, 2022 at 4:00 PM ^

No love lost for Sinclair here either.

Sinclair bought out two stations I used to frequently watch: one in South Bend (WSBT) that had been my go-to station when I lived for three decades in Berrien County; the other, WMET WWMT-3 in Kalamazoo, a station I've watched since childhood when they were called WKZO and were the only local channel carrying Tigers and Lions games.  WWMT is still available where I currently reside but ef them!

Sinclair dumped nearly all the long-term local News Weather & Sports staff members at each station (apparently their MO anywhere and everywhere they take over) and replaced them with a puppet staff.  With the exception of occasionally watching TV3's only purge "survivor", long-term weatherman Keith Thompson, I have forgotten where to find channel 3 on my dial.

(edit---I even initially forgot TV3's call letters and had to edit in the correct ones)

JMo

August 31st, 2022 at 4:32 PM ^

Shoutout to the Mizlou Sports News Network AM highlight show on PASS c 1994.

 

Oh and the original sports reporters show "Sports Writers on TV". Just four ancient white guys from Chicago smoking cigars and talking about how things were better when Ike was president.

 

mGrowOld

August 31st, 2022 at 3:21 PM ^

One huge reason the idiots at Sinclair/Bally are struggling is they have yet to acknowledge that cord-cutting is real so their local sports stations are only available via the traditional satellite and cable networks.  YouTube TV, Hulu, Sling and others are all locked out.  I wanted to see the Cavs/Indians.....errr.....GUARDIANS play so I ponied up and got DishTV stream for that purpose only (still have YouTube TV which is my go-to live network provider for everything else).

Bally was supposed to launch their own network for live local/regional sports but that hasnt materialized yet for some odd reason.   Everything has to go through one of the traditional providers.

Somebody will step in and fill the void, even if they do so for cheap.  No way is local baseball, basketball and hockey just going to vanish from the airways.

tnixon16

August 31st, 2022 at 3:35 PM ^

Exactly.  They play hardball with the streaming services, and thereby obsolete themselves. They they think they can charge four times what Disney+ charges for a paltry library of live events and really no other compelling reason to pay (especially when your teams are trash) for the one-off streaming channel. Brilliant.

There's money to be made in local sports. They just need to update their thinking to reflect new realities. 

Quail2theVict0r

August 31st, 2022 at 3:40 PM ^

Oh, they launched the stand-alone service a few months ago. 

It's an outrageous price of $20/month, or if you pay $189 up front for the entire year...$15/month 

For the content you get on other streaming services for way less, it's just so over-priced. Even sports packages on streaming sites like YoutubeTV are like $10 a month. 

mGrowOld

August 31st, 2022 at 3:50 PM ^

I didnt know that - thanks.  Actually for me that's a good deal cause I'm currently paying $90/month for DirectTV stream just to watch the Cavs/Indians......sorry.....GUARDIANS play.

Thanks for the heads up.

Edit: NOPE.  The service is scheduled to launch on September 26th.  I just checked their website.

Edit II: It gets worse.  Not only is not available in Cleveland until September 26th, when it does become available baseball is NOT included.  Just basketball & hockey.   From their website:

Q: When can I purchase Bally Sports+?

Bally Sports+ is currently available for viewers in select regions: Bally Sports Detroit, Bally Sports Florida, Bally Sports Kansas City, Bally Sports Sun and Bally Sports Wisconsin. Bally Sports+ will become widely available to viewers in all Bally Sports regions beginning September 26, 2022.

Q: What programming can I watch?

When you subscribe to your local Bally Sports regional network on Bally Sports+, you will have direct access to your local teams and original programming at home and on the go, including regional NBA and NHL games.

**Note: currently only select regions offer their live MLB games on the Bally Sports+ app, including Bally Sports Detroit, Bally Sports Florida, Bally Sports Kansas City, Bally Sports Wisconsin and Bally Sports Sun.

BlueFish

August 31st, 2022 at 5:00 PM ^

**Note: currently only select regions offer their live MLB games on the Bally Sports+ app, including Bally Sports Detroit, Bally Sports Florida, Bally Sports Kansas City, Bally Sports Wisconsin and Bally Sports Sun.

I feel like this is an unmistakable sign that you shouldn't waste your time watching the Guardians.

Vasav

August 31st, 2022 at 5:48 PM ^

My understanding was that it's so expensive because they didn't want to piss off/undercut cable compaines.

We're in a weird place where standalone streaming services are growing and therefore seen as the future but don't make money, whereas the bundle makes money but is losing subscribers - and one of the reasons subscribers don't want to pay is because the RSNs are expensive.

I imagine the long term future looks more like Bally+, with maybe a handful more local games on OTA broadcast. The MLS has taken everything onto AppleTV, and the 3 major leagues (NFL signs only national deals) may follow suit to some extent. But if they want to attract new fans, you should have the local team available to watch sometimes without a paywall.

jmstranger

August 31st, 2022 at 5:04 PM ^

I've watched a couple of the Bally broadcasts of Pistons games last year and wow are they just simply awful. The broadcasters are way too biased (for whatever team they are calling) and the rest of the broadcast is equally awful, especially the cutaways to the hype team shooting out tshirts and the dj playing and the trivia. It's just an awful watch.

xgojim

August 31st, 2022 at 7:57 PM ^

The only reason that I even am slightly interested in Bally TV is because they broadcast the Tigers...  but that's been easy to not be disappointed about for quite a few years now.  I get my TV via Dish and Dish dropped Bally three or four years ago.  I've been using that as an excuse to get a break on my Dish charges!  Thank you, Bally.

Quail2theVict0r

August 31st, 2022 at 3:24 PM ^

Good. The first thing they did was piss off casual viewers by stripping the content from most major services. It was a really terrible model to pull yourself from all the modern streaming networks and cling to cable - or - a massively expensive monthly streaming stand-alone service. I'm sure some other entity will buy those rights and actually strike a deal with the streaming services. Too much money to just be sitting out there. 

The Deer Hunter

August 31st, 2022 at 4:36 PM ^

Thanks for the post MGoArchive. Things are radically changing in sports broadcasts and RSN's will likely be first up. I don't expect Amazon or Apple being a player here. The one thing that stood out to me and would go down at some point are  Fanatics or DraftKings.

Seems like one of these sports betting conglomerates would bet RSN's are right in their wheelhouse. Legalization is rapidly happening and they could pick & choose how to market a product out of it. 

 

stephenrjking

August 31st, 2022 at 5:11 PM ^

There's still a lot of money to be made in regional sports coverage. It might take a significant change in the marketplace to capitalize it, but it will happen one way or another.

That does not mean that whatever change might occur will be "good," just that there will be change. 

 

USMC 1371

August 31st, 2022 at 5:31 PM ^

I (YTTV) haven’t watched a tiger, redwing, or piston game since they took over. Of course they all stink so i don’t think I’m missing anything.

MGlobules

August 31st, 2022 at 6:22 PM ^

Big contraction underway; America is overbuilt. Probably oughta be out playing rather than watching anyway--and my daughter and I do have fun at semipro matches of the local soccer team--but I'm kinda hooked. 

Vasav

August 31st, 2022 at 6:32 PM ^

I wonder if fans would prefer a bevy of financially unstable but community run local team that may fold in 5 years to a financially stable but billionaire owned major league team that may leave in 20 years.

But then the successful community teams would build super leagues and turn themselves into CFB and it would be eerily similar so nevermind, it wouldn't be different. This is the way.

(Also, I find that the more I play a game in beer leagues, the more I watch the big leagues)

DMill2782

August 31st, 2022 at 6:41 PM ^

I love this. I'm so glad Sinclair/Diamond Sports Group looks to be on the path of filing for bankruptcy. They screwed over so many local fans when they pulled RSNs from all the major/best streaming options. They can eat the biggest bag of dicks. 

DMill2782

September 1st, 2022 at 9:27 AM ^

Because Sinclair/Bally tried to increase the cost to YTTV, Hulu+, Fubo, Sling, etc. by an exorbitant amount. It wasn't on the streaming services. 

Sinclair did that because they thought they could create their own DTC streaming option for $20 per month. $20 per month for one channel with no programming other than pre-game shows and live games of your regional team. Genius. They deserve to have this explode in their face.