I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

(03-10-2024 05:32 PM)Garrettabc Wrote:  I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

(03-10-2024 06:28 PM)Hokie Mark Wrote:  

(03-10-2024 05:32 PM)Garrettabc Wrote:  I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

No FSU then it's not likely worth the current rate.

(03-10-2024 06:38 PM)Garrettabc Wrote:  

(03-10-2024 06:28 PM)Hokie Mark Wrote:  

(03-10-2024 05:32 PM)Garrettabc Wrote:  I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

No FSU then it's not likely worth the current rate.

Wait, I thought FSU claimed the ACC payout was below market rate? So even without FSU, it should still be a good deal for ESPN, right? I mean, FSU is only 17% of the value by their own estimate...

(03-10-2024 07:26 PM)Hokie Mark Wrote:  

(03-10-2024 06:38 PM)Garrettabc Wrote:  

(03-10-2024 06:28 PM)Hokie Mark Wrote:  

(03-10-2024 05:32 PM)Garrettabc Wrote:  I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

No FSU then it's not likely worth the current rate.

Wait, I thought FSU claimed the ACC payout was below market rate? So even without FSU, it should still be a good deal for ESPN, right? I mean, FSU is only 17% of the value by their own estimate...

The ACC is definitely below the market rate with the Raycom deal factored in. Each member has been stiffed at least $4.5m a year. Even if the ACC was getting that, they went first negotiating their contract before the other conferences and set the bar, as we know, a little too low to start. Perhaps just as importantly, the long term deal at 4.5% does not keep up with the current market rate.

The old estimate was FSU accounting for 25% of the ACC football ratings, perhaps 17% with the new members. Even if you take the conservative number, you better believe ESPN is going to try to renegotiate.

(03-10-2024 07:37 PM)Garrettabc Wrote:  

(03-10-2024 07:26 PM)Hokie Mark Wrote:  

(03-10-2024 06:38 PM)Garrettabc Wrote:  

(03-10-2024 06:28 PM)Hokie Mark Wrote:  

(03-10-2024 05:32 PM)Garrettabc Wrote:  I'm pretty sure the sweet heart Raycom deal expires in 2027 if I remember right. I was reminded of it reading FSU's amended lawsuit article from February, but this is not what this is all about, I draw your attention to this specific point: ESPN then sub-licensed those to Raycom Sports for $50 million a year that it did not have to share with the conference.

This was 3rd tier rights back in 2011, with 12 members. The ACC will have 18 members (if we can hold together) in 2027. That's a $4.5m revenue boost per year to all members on top of the 4.5% annual escalator.

That was 2011 money, before the ACC added SU, Pitt, UL, ND, Cal, Stan, SMU, what is that worth 16 years later? Can the ACC take it out to the free market? Worst case scenario it's still a $4.5m annual boost.

This sort of thing could be a game changer. Imagine a potential $10m annual revenue boost, why not? CFB is fetching for an insane amount of money now and the ACC's reach has more than doubled.

Would ESPN pull the rug out from under the ACC before this happens? Maybe, that's sort of the rub aint it?

ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

No FSU then it's not likely worth the current rate.

Wait, I thought FSU claimed the ACC payout was below market rate? So even without FSU, it should still be a good deal for ESPN, right? I mean, FSU is only 17% of the value by their own estimate...

The ACC is definitely below the market rate with the Raycom deal factored in. Each member has been stiffed at least $4.5m a year. Even if the ACC was getting that, they went first negotiating their contract before the other conferences and set the bar, as we know, a little too low to start. Perhaps just as importantly, the long term deal at 4.5% does not keep up with the current market rate.

The old estimate was FSU accounting for 25% of the ACC football ratings, perhaps 17% with the new members. Even if you take the conservative number, you better believe ESPN is going to try to renegotiate.

I call BS.

Football is the major sport but the ACCN was created because the conference offers more than just football. The ACCN is a moneymaker and you better believe it’s not because of FSU football lol

Meganolemaniacs at it again. I can’t wait until y’all leave and we can spend your money on basketball lol

What we already know is that ESPN sublicensed this content to the CW. So it appears this content reverts back to ACC control. How much is this content worth?

Let's go with the high end; $10m more per member per year. This might seem a little high for 3rd tier content, the ACCN gets (or will get) the members $10m per and this is all 3rd tier or even 4th tier content. But wait! There's more....the ACC just increased it's reach into California and Texas, rough guess at about 67% more population. I think most estimate that the ACCN will fetch around $15m per member. Since the CW is not 24 hrs of ACC all the time, let's give the CW tier 3 content estimate a conservative value of $7.5m per member.

Let's add these revenues all up:

2023 ACC will receive approximately $32m per in media revenues with an annual $2m escalator. With the extra $5m increase from the ACCN and the conservative $7.5m factored in with the new additions the ACC will get about $52.5m per member with an equal revenue sharing model.

Of course Stan, Cal and SMU agreed to a lesser payment, so let's figure out their shares and recalc the ACC14:

Take out the $15m for the ACCN and you get $37.5m, SMU gave up that share and Cal and Stan will only take 30% of it. Stan and Cal get $11.5+$15m = $26.5m. You have a difference of 37.5+26+26=$89.5m. ND takes about $10m so that leaves a balance of $79.5m to split with the other 14 and/or to put in the success incentive initiative. I'm guessing at least half of that is split evenly; $40m/14= $2.85m

My numbers give the ACC14 a total media payout of $55m per in 2027, which I think is on the conservative side and could be a little bit more depending on who they choose to extend that last pro rata to and what deal they take.

(03-10-2024 08:30 PM)esayem Wrote:  

(03-10-2024 07:37 PM)Garrettabc Wrote:  

(03-10-2024 07:26 PM)Hokie Mark Wrote:  

(03-10-2024 06:38 PM)Garrettabc Wrote:  

(03-10-2024 06:28 PM)Hokie Mark Wrote:  ESPN has hundreds of millions of reasons to renew the ACC contract... they just have no reason to do it before 2025.

No FSU then it's not likely worth the current rate.

Wait, I thought FSU claimed the ACC payout was below market rate? So even without FSU, it should still be a good deal for ESPN, right? I mean, FSU is only 17% of the value by their own estimate...

The ACC is definitely below the market rate with the Raycom deal factored in. Each member has been stiffed at least $4.5m a year. Even if the ACC was getting that, they went first negotiating their contract before the other conferences and set the bar, as we know, a little too low to start. Perhaps just as importantly, the long term deal at 4.5% does not keep up with the current market rate.

The old estimate was FSU accounting for 25% of the ACC football ratings, perhaps 17% with the new members. Even if you take the conservative number, you better believe ESPN is going to try to renegotiate.

I call BS.

Football is the major sport but the ACCN was created because the conference offers more than just football. The ACCN is a moneymaker and you better believe it’s not because of FSU football lol

Meganolemaniacs at it again. I can’t wait until y’all leave and we can spend your money on basketball lol

The ACCN is a money maker because ESPN was able to foist it on cable subscribers.