Media Rights Are Set to Surpass the Gate

Media Rights Are Set to Surpass the Gate: Matthew Futterman:

Sports executives have long focused on media rights as the industry’s main driver of growth for the $64 billion spectator sports industry in North America. For the first time in 2018, media rights fees will surpass gate revenues as the leading source of revenue. An industry once built on ticket sales will empirically become about eyeballs watching the action on television or a mobile device, as leagues and sports federations collect $19.9 billion from media rights fees compared with $19.7 billion from gate revenues.

Part of me thinks this is incredible, the other part of me is surprised it has taken this long. I also wonder if this is peak media rights fees. Part of the predicament in which ESPN currently finds itself in is without question because they bid insane amounts of money for these rights. their model gets altered… 

Then again, there are about to be more entities bidding than ever before…