Media rights fees paid in the US to broadcast sporting events
As a country, we love sports, especially regional sports and live sports, which are considered must-have TV programming. Unfortunately, fees for this type of programming is expensive and the costs keep rising, and TV networks know they can pass those costs back to cable companies like us and ultimately to you, our customers.
When we don’t agree to the fee increases, the TV networks won’t give us access to air your favorite sports. We don’t think that’s fair, and we hope you agree that negotiating to keep your costs at a reasonable price is worth the effort.
Regional sports networks, or RSNs, are among the most expensive channels on your lineup. Originally RSNs carried all the regional, professional and collegiate teams on one channel, with one fee. Today, sports programmers spin off teams to their own separate channels, each with their own fee, so that they can get more money for the same games.
RSNs also require all TV providers to offer their Networks on the most basic packages to reach the most homes. This way, they can charge everyone for their Networks – even those that don’t want it.
Growth in number of sports networks and
cost per network impacts your bill every month
Charter Communications has confirmed that its exclusive regional sports network home for the Los Angeles Dodgers will likely remain blacked out for most of the Southern California region for a fifth consecutive Major League Baseball season.
The Dodgers own SportsNet LA. In exchange for a guaranteed $8.35 billion over 25 years, they granted Time Warner Cable exclusive marketing rights for the channel. Neither TWC nor Charter Communications, which bought TWC two years ago, has been able to reach agreement with DirecTV or other local cable and satellite providers to air SportsNet LA.
Sports programming now costs pay-TV consumers an average of $18.37 a month and accounts for 40% of programming costs for cable, satellite and telco video providers, according to SNL Kagan stats published by the Los Angeles Times Monday. newfound bounty, those with cable and satellite subscriptions bore the brunt of the cost.