No matter how many different ways you have to watch TV today – on your HD screen, 10” tablet, or Xbox Live – there is no free-for-all, a-la-carte nirvana. In fact, subscription costs for pay-TV services continue to go up, and, thanks in large part to sports programming, the trend shows no sign of reversing in 2012.
Sports franchises hold a lot of TV clout for several reasons. People don’t generally watch sports on time delay. Live events make mobile distribution more important. And sports fans can be fanatical, willing to pay large sums of money to catch their favorite teams. Because of program bundling, many others pay a lot of money too. In fact, Will Richmond calculated last February that folks who don’t watch sports and casual fans spend close to $3 billion a year on programming they don’t watch.
As we settle into 2012, there are a number of battles being fought between sports programmers and distributors over how much money sports are worth. Here’s a look at a few data points in the larger war. Is there a tipping point ahead? And how deeply will regulators get involved?