In its efforts to combat piracy, which it suspects is occurring, the company has released a statement. The identification of those violating the “Sunday Ticket” rules has been facilitated by the embedding of watermarks in broadcasts. This technology enables EverPass to employ advanced digital tracking tools and AI-based monitoring to detect unlicensed streams and trace their distribution sources. Additionally, according to a company spokesperson, EverPass conducts in-person inspections. Restaurateurs should take note! ”EverPass is dedicated to safeguarding the rights of our customers and maintaining the integrity of NFL Sunday Ticket in the commercial market,” the company stated in a message to CNBC. “Commercial entities must possess the appropriate licensing to showcase NFL Sunday Ticket, and non-compliance may lead to penalties, which could include fines and/or legal proceedings. EverPass remains proactive in monitoring and addressing piracy to preserve the value of our offerings and protect the interests of our customers and partners.”
The league is also addressing this issue. “The NFL has a strong tradition of vigorously defending our intellectual property across all areas of our business, including ‘NFL Sunday Ticket,'” a spokesperson for the league said in a statement to CNBC. “Enforcement of media delivered via streaming presents new challenges and requires innovative solutions, but we are committed to vigilance in this domain and will pursue those accessing ‘NFL Sunday Ticket’ without authorization.”
YouTube has indicated that it is working to prevent commercial venues from displaying its “Sunday Ticket” offering. “We acknowledge that piracy is a pressing issue and are implementing measures to ensure our NFL Sunday Ticket offering is accessible only to residential customers. We continue to collaborate on enhancing these efforts with all our partners,” a YouTube spokesperson remarked. However, the extent of piracy on YouTube remains uncertain. DirecTV is experiencing significantly higher customer losses this year compared to last, despite YouTube launching its residential service in 2023. Ironically, the decline in DirecTV’s commercial business offers a silver lining, as it recently announced a merger with long-time competitor Dish Network. The ongoing “Sunday Ticket” rivalry illustrates how new competition has rendered the satellite TV industry less monopolistic than it was previously.
On the record
In a nod to both Passover and Craig Kilborn’s classic segment, ‘Five Questions,’ we are posing Four Questions to the key decision-makers in sports and media. This week, our guest is Val Ackerman, Commissioner of the Big East Conference and former President of the WNBA!
Our discussion largely revolved around the intriguing and often complex topic of compensation for name, image, and likeness (NIL)—the evolving method through which athletes in college sports are compensated.
1. Is NIL, in its current form, beneficial for college athletics?
Ackerman: “I believe NIL is advantageous for college athletes. There is no doubt these new income avenues have greatly benefited athletes across various sports. However, if your inquiry pertains to college athletics as a whole, I would express that the implementation of NIL within the collegiate realm has presented challenges. Navigating it in an environment where recruiting occurs and transfer rules have relaxed to allow easier school transitions for athletes is particularly challenging. We are witnessing athletes leaving their institutions for others partly due to financial incentives, particularly in high-revenue sports such as football and men’s basketball. One can debate whether this trend is beneficial for college athletics, considering the resultant roster turnover and what it signifies for coaches aiming to build cohesive teams, along with its implications for education. Students are jumping between schools and pursuing financial opportunities, which may inadvertently affect their chances of degree completion. We are still in the early stages of understanding the broader implications of these changes. Additionally, the uncertainty surrounding the future of this model is substantial. We are three years into NIL, which began in 2021 as an allowable benefit. I cannot predict where we will be in another three years. This uncertainty is, in some respects, crippling as it relates to developing athletic departments and operational plans.”
2. Given this uncertainty, can you envision a scenario three years from now where the Big East and other major conferences no longer exist?
Ackerman: “No one can truly say. If I were to be completely honest, my answer would be the same: no one knows the direction this is taking. Historically, teams were established based on geographical factors, similar school profiles, budget sizes, and the prioritization of athletics in different contexts, creating scheduling alliances. Then, following a Supreme Court ruling, conferences became able to consolidate their media rights, which further connected them. Now, we are starting to see the historical ties that have held these groups together begin to fray. Factors like geography, in certain cases, seem to matter less than they once did.”
will be intriguing to observe how traveling across the country impacts sports beyond football, which only plays once a week, often at home. How will mobility affect basketball, which has multiple games weekly during winter months, especially in scenarios involving flight delays? It remains uncertain; we are still in the initial phase of this development. Currently, Division 1 encompasses 360 schools, showcasing significant diversity among them. Presently, the primary unifying factor for these institutions is March Madness, the basketball tournament, since not all participate in football. Thus, the cohesive element holding everything together seems, in my opinion, to be the national championships broadly, as everyone has the opportunity to compete for the national title.
3. Are there any adjustments you would suggest to stabilize the framework? I believe that establishing a national governing body for college sports is essential. We oversee national championships, and an organization is necessary — if for nothing else, than to manage these championships across all collegiate sports, including rules regarding field size, eligibility, competition structures, and officials. The pressing question now is the extent to which the NCAA’s rulemaking body can extend its reach. Honestly, our system was not designed for the current landscape marked by significant commercial gains. Thus, how we adapt as a sector, manage our commercial success, handle the disparities among schools regarding these financial outcomes, uphold the integrity of Division 1 branding, and protect the benefits for student-athletes—especially for low-revenue sports that might suffer as institutions funnel more resources into high-revenue sports—poses a challenge. To answer your question, Alex, I do not yet have a concrete model formulated in my mind. I have a sense of the values that should persist and how to navigate concerns related to antitrust, employment matters, and the principles underlying Title IX. This undoubtedly keeps people awake at night. While I may not hold all the answers today, we are actively engaged in relevant discussions.
4. You referenced low-revenue sports. What approach do you think should be taken? The Big East already made a shift in 2013 by moving away from football. However, you’ve evidently found significant success and stability through basketball. Indeed, we’ve defied expectations, demonstrating that a basketball-focused conference can remain relevant and competitive in a predominantly football-driven environment. The question arises regarding whether athletes in sports that do not generate revenue—effectively becoming cost centers for their schools—should receive considerable benefits from the schools simply because they are on those teams. As a former scholarship basketball player, I experienced a low-visibility sport that yielded no revenue. I received a full scholarship and graduated without debt, benefitting immensely from that opportunity. Should I have been paid a salary in addition to all that support from my alma mater? To be fair, I don’t think I should have. I had an incredible deal, and for most athletes today, this arrangement remains favorable. The real challenge will arise if we transition toward a revenue-sharing model; how would we differentiate among athletes? Currently, the existing legal framework lacks the necessary tests tailored to the evolving circumstances in college sports.
CNBC Sport Highlight Reel
The best of CNBC Sport from the past week: Former NBCU CEO Jeff Shell is slated to run another major media company if regulators approve the merger between Skydance Media and Paramount Global next year. Shell is set to become Paramount’s president, where he is likely to advocate strongly for CBS’s investments in sports programming. My colleague Lillian Rizzo and I discussed Shell and his potential plans for Paramount in a CNBC.com profile, which you can read here. Tom Brady has officially become an owner of the Las Vegas Raiders. Alongside his business partner, Tom Wagner, co-founder of Knighthead Capital, he acquired a 10% stake in the team for approximately $220 million, assessing the team’s value at around $3.5 billion, according to CNBC’s Michael Ozanian and Jessica Golden. Brady will own about 5% of the team personally, which means he cannot return as a player unless he divests his stake, per league regulations. Additionally, he will face restrictions as a broadcaster, working with Fox Sports on a $375 million contract. Brady appears to be securing an excellent deal, as CNBC’s Official 2024 NFL Team Valuations estimate the Raiders as the NFL’s fifth-most valuable franchise at $7.8 billion, indicating that Brady and Wagner received over a 50% discount. Typically, a limited partner with no influence over team management and no path toward ownership control receives a discount ranging from 20% to 25%.
%, according to sports bankers. We don’t need no stinkin’ NBA! Warner Bros. Discovery might part ways with the NBA after this season ( litigation pending ), yet the cable network has secured a deal to become the exclusive broadcaster of Unrivaled, the new women’s basketball three-on-three league. Matches will be shown on the cable networks TNT and truTV, along with the streaming service Max. Additionally, Warner Bros. Discovery will acquire an equity stake in the league. The WNBA is modifying its Finals series, extending it from five games to seven, and increasing the regular season by four games next year. More on this from CNBC’s Jake Piazza. In a landscape where media rights deals serve as the primary revenue source for sports, expanding international audiences becomes essential. The NFL is making efforts to grow its Latino and Spanish-speaking fanbase. Details can be found from CNBC’s Rizzo. The Big Number: 8.3 million This is the number of viewers who tuned in for Game 1 of the MLB NLCS between the Los Angeles Dodgers and the New York Mets, as reported by Nielsen. This marks the highest viewership for any Game 1 of an LCS since 2009, according to Fox Sports. It highlights the appeal of captivating players ( Shohei Ohtani ), engaging teams (the magical Mets), and key media markets (L.A. and New York). At its peak between 8:15 p.m. ET and 8:30 p.m. ET, over 10 million viewers were watching. Quote of the Week ”As an investor, what you want to ensure is that the valuation trajectory aligns with the business fundamentals of sports. The business fundamentals of North American sports are flourishing. Revenue is on the rise, structural profitability is appealing, and there is significant future growth potential.” — Ian Charles, Arctos managing partner Charles appeared on CNBC this week to discuss his perspective on why private equity investments in sports leagues represent a sound investment. Arctos is one of seven private equity funds authorized to invest in the NFL and the sole firm permitted to invest in equity across all five of North America’s major sports leagues. Around the League The NFL is contemplating offering a new international package to media partners that could exceed $1 billion, according to Front Office Sports. NBC’s Peacock is adding local broadcast rights for Boston, Philadelphia, and Northern California, covering teams such as the Golden State Warriors, Boston Celtics, and Philadelphia Phillies (during their respective seasons), as stated by the Wall Street Journal. This is the first instance where the streaming service has included regional sports from networks owned by Comcast’s NBCUniversal. ( Disclosure: NBCUniversal is the parent company of CNBC). You may not recognize him yet, but you will likely remember him by the 2028 Summer Olympics. Christian Miller, a potential superstar U.S. sprinter, is going pro directly out of high school. He recently signed a professional contract with Puma, as he informed NBC News. Miller, who just turned 18, placed fifth in the 100 meters at the U.S. Olympic track and field trials this past June. Yet another week brings a fresh idea for college sports realignment. This proposal involves the SEC and Big Ten scheduling more matchups against each other to maximize media rights revenue opportunities. A decade later, NBA Commissioner Adam Silver stands by his decision to publicly support the expansion of sports betting in a New York Times op-ed. Jim Dolan’s Sphere Entertainment has announced that Abu Dhabi will host the second Sphere. Sphere shares have increased by approximately 40% this year, as the Las Vegas entertainment hub experiences great success. Saudi Arabia’s Public Investment Fund has engaged an executive search firm to find a replacement for Greg Norman as CEO of LIV, according to Sports Business Journal. Norman’s tenure has seen challenges, particularly in his relationships with some prominent PGA stars like Rory McIlroy and Tiger Woods, following his leadership of the competing golf league. Former WNBA All-Star and current ESPN host Chiney Ogwumike has established the Queens of the Continent Foundation, aimed at creating opportunities for girls across Africa to pursue their passions in sports.
People watch Super Bowl LVII between the Philadelphia Eagles and the Kansas City Chiefs on televisions at a bar on February 12, 2023, in Newport Beach, California.
Visual China Group | Getty Images
A version of this article first appeared in the CNBC Sport newsletter with Alex Sherman, which delivers the latest news and exclusive interviews from the realms of sports business and media. Sign up to receive future editions directly in your inbox.
As most NFL fans know, Google
YouTube took over as the exclusive provider of “Sunday Ticket” from DirecTV last year, marking the end of DirecTV’s nearly 30-year monopoly on the out-of-market games package, for which it paid the NFL $2 billion annually.
However, it’s less commonly known that the YouTube agreement is limited to residential customers. DirecTV continues to serve bars, restaurants, small businesses, and hotels, but it no longer holds exclusive rights. This alteration also took place last year. The additional rights are now owned by EverPass Media, a newly-formed partnership shared by the NFL and private equity firm RedBird Capital Partners.
Last year, EverPass entered into an agreement with DirecTV, allowing the satellite provider to keep its commercial accounts. As part of that agreement, EverPass gained the right to establish its own commercial streaming service for “Sunday Ticket,” negating the need for third-party licenses. This has now become a reality; my colleague Lillian Rizzo reported in July that EverPass has acquired UPshow, a platform capable of enabling commercial venues to stream live sports.
EverPass determines the pricing for “Sunday Ticket,” applicable to both its new streaming service and DirecTV’s satellite offering. The prices are equivalent. For instance, a small sports bar with a fire code capacity of fewer than 100 will pay $1,100 for the service this year, reflecting a $100 increase based on a pricing document obtained by CNBC.
Larger venues face steeper fees; for example, a bar or restaurant accommodating over 10,001 individuals must pay $306,200 for the season.
Within just six weeks into the current NFL season, DirecTV has reportedly lost over 10% of its commercial clientele, according to sources familiar with the situation. DirecTV has indicated it serves roughly 300,000 commercial establishments.
While EverPass maintains identical pricing for both the satellite and streaming options, certain commercial establishments may have reasons for preferring one service over the other.
The streaming version of “Sunday Ticket” can be bundled with other offerings from EverPass, such as Peacock Sports Pass, the commercial service from NBCUniversal, and Amazon Prime Video. For establishments looking to feature exclusive Peacock sports content and access to ”Thursday Night Football” (available solely on Prime Video), this could be an attractive option. EverPass also provides short-form channels, including sports trivia, betting odds, and viral videos, which might appeal to specific venues.
On the other hand, satellite TV for commercial locations generally offers significantly lower latency compared to streaming. While DirecTV typically experiences a lag of just a few seconds, streaming can result in delays of a minute or more. Sports bars prioritizing synchronized game broadcasts across all TVs would likely favor the DirecTV offering. Additionally, DirecTV provides various exclusive sports packages that are not available through EverPass, including the MLS Season Pass from Apple, Friday night MLB doubleheaders, and ESPN+ tailored for businesses.
So, what accounts for the wave of defections from DirecTV? One of three scenarios is occurring.
Pretty straightforward.
1) A number of commercial establishments are transitioning to EverPass’s internet service. Part of the appeal is that EverPass offers discounts for first-time “Sunday Ticket” customers. Since DirecTV has never disclosed its customer data to EverPass, some businesses might be misrepresenting themselves as first-time customers to receive discounts, despite having been DirecTV subscribers in the past, according to sources familiar with the situation.
2) Many commercial establishments are entirely forgoing pay-TV options. It’s not only households that feel traditional TV lacks value anymore. If commercial venues believe they can operate without paying for a cable subscription and depend instead on a few streaming services, they will drop DirecTV. However, this trend is likely to affect hotels and small businesses more than sports bars, which often depend on ESPN. Until next year at least, ESPN remains accessible only through traditional cable bundles, not through streaming.
The third option is arguably the most intriguing.
3) Certain commercial venues are subscribing to YouTube’s ”Sunday Ticket” and paying residential rates (approximately $500 annually) instead of the more expensive rates meant for businesses.
This situation could adversely affect both DirecTV and EverPass. In fact, EverPass has invested in technology to combat piracy, which they believe is occurring, as stated by the company. Identifying offenders of the ”Sunday Ticket” rules has become easier with the inclusion of watermarks in broadcasts, enabling EverPass to utilize advanced digital tracking technologies and AI-driven monitoring to discover unauthorized streams and trace their origins.
According to a company spokesperson, EverPass also performs in-person inspections. Restaurant owners, take caution!
“EverPass is strongly dedicated to safeguarding our customers’ rights and maintaining the integrity of NFL Sunday Ticket in the commercial landscape,” the company expressed in a statement to CNBC. “Commercial establishments must have the appropriate licensing to show NFL Sunday Ticket, and those who violate this could face penalties, which may include fines and/or legal action. EverPass remains proactive in monitoring and addressing piracy to preserve the value of our offerings and protect our customers’ and partners’ interests.”
The league is also aware of the issue.
“The NFL has a long-standing commitment to vigorously protect our intellectual property across all aspects of our business, including ‘NFL Sunday Ticket,'” stated a league spokesperson to CNBC. “Policing media delivered via streaming presents new challenges and requires innovative solutions to enforce our regulations, but we remain vigilant in this arena and will take action against those accessing ‘NFL Sunday Ticket’ without authorization.”
YouTube is making efforts to ensure that its “Sunday Ticket” service is not available at commercial establishments.
“We acknowledge that piracy is a concern and are actively implementing measures to ensure our NFL Sunday Ticket offering is exclusively available to residential customers. We are continuously working on enhancing these efforts in collaboration with all our partners,” said a YouTube spokesperson.
Nonetheless, it is unclear how significant the issue of YouTube piracy is. DirecTV has seen a much higher rate of customer loss this year compared to last, despite YouTube launching its residential product in 2023.
Ironically, there is a silver lining to DirecTV’s shrinking commercial market. Last month, it announced a merger with its long-time competitor, Dish Network. The “Sunday Ticket” competition exemplifies how new rivalries have rendered the satellite TV industry less monopolistic than in the past.
On the record
Val Ackerman, Big East Conference Commissioner.
Courtesy: The Big East Conference
In a nod to both Passover and Craig Kilborn‘s classic segment, ‘Five Questions,’ we’re posing Four Questions to key figures in sports and media.
This week, our guest is Big East Conference Commissioner and former WNBA President Val Ackerman! Many intriguing and lesser-known elements regarding compensation for name, image, and likeness – the evolving way athletes are compensated in college sports – dominated our discussion.
Sunday Ticket Showdown: The Battle Between YouTube, DirecTV, and EverPass Media in Commercial Sports Broadcasting
Overview of Sunday Ticket Broadcasting
The Sunday Ticket has become a staple for NFL fans, allowing them to watch out-of-market games throughout the season. With the recent shifts in broadcasting rights and the rise of streaming platforms, the competition among YouTube, DirecTV, and EverPass Media has intensified. In this showdown, we will explore how each platform stacks up against the others in terms of offerings, pricing, and user experience.
YouTube: The Streaming Giant’s Play
YouTube has made significant strides in the sports broadcasting arena, leveraging its massive user base and advanced streaming technology to attract sports fans. As part of its strategy, YouTube has secured exclusive rights to the Sunday Ticket, positioning itself as a key player in the sports broadcasting market.
Key Features of YouTube’s Sunday Ticket
- Accessibility: Users can access games on various devices, including smartphones, tablets, and smart TVs, making it easy to catch all the action.
- Interactive Experience: YouTube’s platform allows for features such as live chats, highlights, and personalized content.
- Subscription Options: Flexible pricing models cater to different budgets, allowing fans to choose packages that suit their needs.
Benefits of Choosing YouTube for Sunday Ticket
- Cost-Effective: Competitive pricing compared to traditional cable services.
- No Contracts: Enjoy games without being tied to long-term commitments.
- Enhanced Features: Access to a wealth of additional content, including post-game analysis and player interviews.
DirecTV: The Longtime Leader
DirecTV has been synonymous with the Sunday Ticket for years, providing fans with the most comprehensive coverage of NFL games. While YouTube’s recent entry has disrupted the market, DirecTV continues to offer robust services that cater to die-hard sports fans.
Pros and Cons of DirecTV’s Offering
| Pros | Cons |
|---|---|
| Established Provider | Higher Pricing |
| Extensive Coverage | Requires Satellite Dish |
| Exclusive Game Features | Limited Flexibility |
What Makes DirecTV Stand Out?
DirecTV has invested in exclusive features that enhance the viewing experience:
- RedZone Channel: Provides real-time highlights and coverage of all the key plays happening simultaneously across games.
- Multiple Viewing Options: Offers the ability to watch up to four games at once through its advanced receiver technology.
- Season Pass: Allows subscribers to access every out-of-market game for the entire season.
EverPass Media: A New Contender
While YouTube and DirecTV dominate the landscape, EverPass Media has emerged as an intriguing alternative. As a relative newcomer, EverPass Media seeks to capitalize on the growing demand for sports streaming options.
Unique Selling Points of EverPass Media
- Consumer-Centric Approach: A focus on user feedback to improve the user interface and overall experience.
- Affordable Packages: Competitive pricing designed to appeal to budget-conscious fans.
- Localized Content: Offers tailored viewing options based on geographical preferences.
Comparative Analysis: Pricing and Features
| Provider | Starting Price | Key Features |
|---|---|---|
| YouTube | $349/year | Multi-device access, interactive features |
| DirecTV | $400/year | Exclusive RedZone, multiple viewing options |
| EverPass Media | $299/year | Localized content, user-centric features |
Consumer Experience and User Feedback
Real User Insights
Understanding user experiences can provide valuable insights into how each service performs in real-world conditions. Here are some firsthand reviews from NFL fans:
- YouTube User: “I love the flexibility of watching on my phone and the option to chat with other fans during games!”
- DirecTV User: “The RedZone channel is a game-changer! I never miss the best plays.”
- EverPass Media User: “It’s a great value for the price, especially if you don’t need all the extra features.”
Benefits of Switching to Streaming Services
- Convenience: Watch games from anywhere without being tethered to a cable outlet.
- Customization: Tailor your viewing experience through various subscription options and add-ons.
- Cost Savings: Often cheaper than traditional cable subscriptions, especially for casual viewers.
Practical Tips for Choosing the Right Provider
When deciding between YouTube, DirecTV, and EverPass Media for your Sunday Ticket experience, consider the following:
Assess Your Viewing Habits
- Do you watch every game or just select matchups?
- How important are additional features like RedZone or multi-screen options?
Compare Pricing and Packages
Evaluate the total cost of each provider, including any hidden fees or equipment costs. Ensure you understand the terms of service, particularly regarding contract commitments.
Experiment with Trials
Many streaming services offer trial periods. Take advantage of these to determine which service best meets your needs without committing long-term.
Conclusion
The Sunday Ticket showdown between YouTube, DirecTV, and EverPass Media represents a dynamic shift in how sports broadcasting is consumed. As technologies evolve and consumer preferences change, the competition will only grow, providing fans with more options than ever before.
