Pac-12 Networks: University presidents have “concern” about the revenue. Why


(Patrick) #1

Wazzu president speaks out on the PAC-12 network.

“This is a concern of the Pac-12 presidents and I can tell you it’s a large discussion point with meetings with the commissioner at every single meeting,” Schulz added.

“Because everybody needs these revenues to be competitive, not just within the Pac-12, but hey, the Pac-12 schools have got to be competitive with ACC, the SEC and the Big Ten and Big 12, and we’re falling behind.”


(Dustin K) #2

But you know they are on the time slot from ESPN with the most viewers according to that stuff they showed during the game recently.


(Patrick) #3

(Patrick) #4

Pac-12 Networks wants to ‘exploit reach’ of digital giants
https://www.bizjournals.com/losangeles/news/2018/06/20/pac-12-networks-wants-to-exploit-reach-of-digital.html

Instead, Shuken focused on the promise of digital media companies like Facebook (NASDAQ: FB), Amazon (NASDAQ: AMZN), Apple (NASDAQ: AAPL), Netflix (NASDAQ: NFLX), Google (NASDAQ: GOOGL) and Twitter (NYSE: TWTR). Shuken wants to make sure that those deep-pocketed companies sample enough Pac-12 content by 2023, when its current rights fee deals expire, to come to the negotiating table and vie for its live sports rights.

“Our short-term objective is to learn from these companies and exploit their reach,” Shuken said. “Our long-term goal is to position ourselves for the most number of interested parties when our rights agreements come up.”


(Patrick) #5

I’m wondering if they should just call it a failure, go to ESPN and see if they can get their Tier 3 rights on ESPN+.

Wilner, who’s been the leading reporter on this situation for years, wrote Monday that the conference’s contracts with DirecTV owner AT&T and their U-Verse cable offering also expire this summer, and that many sources think those won’t be renewed:


#6

This is Larry Scott’s vision. He sold the PAC on the idea that if they owned the the TV distribution they would rich beyond their dreams. The PAC network model has failed miserable. It is time to dump Scott and sell the network to ESPN, Fox, or someone else and start making some money.


(Patrick) #7

Honestly can’t believe they’ve kept Larry Scott around. PAC 12 is fading into obscurity and he’s letting it happen.


#8

not only have they kept him around, they have made him the highest paid Conference Commissioner.


(Patrick) #9

So if DirecTV carriage is removed from the calculation — if the current state of affairs were to continue — then half the athletic departments likely would benefit financially from the end of the AT&T partnership. (And it could be more than half, if we consider Utah and Oregon.)


(Chris) #10

Concern? How in the world did Scott get a contract extension to 2022? That should be the question that every PAC 12 member ought to answer.


I do appreciate SportsBusiness Daily Journal but…
https://www.sportsbusinessdaily.com/Conferences-Events/2018/WCOS/Speakers/Larry-Scott.aspx


#11

“Scott oversaw a rebranding and expansion of the Conference with the addition of the University of Utah and the University of Colorado.”
I don’t know about you but when I think of the PAC 12 I do not think ‘wow, they sure are lucky to have Utah and Colorado.’


(Chris) #12

The entire lack of leadership from Larry Scott speaks volume. When you think that California has arguably the best High School talent in the nation the last ten years speak for themselves. The PAC 12 should be in the cfp every single year. Larry Scott has a huge responsibility for the current PAC 12 lack of success. Again, to get a contract extension to 2022 makes absolutely no sense.


(Patrick) #13

In 2018, however, we’ll see the beginnings of a revamped approach fueled by the campuses themselves and implemented by a new management team.

“The universities and the athletic directors have told us they want to emphasize football,” networks president Mark Shuken told the Hotline.

“We want to give the people what they want, when they want it, and interest is clearly driven by football. We just had to plan how to do it.”


(Patrick) #14

Mentions that deals with ESPN and FOX expire after 2024 season

Scott said the Pac-12 Network is “very healthy” and will broadcast 850 live events this year.

“But it’s not growing at this stage,” Scott acknowledged. “We’ve had this stalemate with DirecTV and there’s cord-cutting going on, so it’s hard for any network to really be growing these days.”

Scott still believes the network is a success, pointing to the increased exposure for all sports.

“We’re creating a lot of value for the members,” he said. “I would describe it as stable, valuable but probably not growing at the moment.”


(Chris) #15

Thank you for posting. Scott is kidding himself & is in denial. The PAC12 is in serious trouble. The 2024 could be very telling if espn & others decide to cut off or limit access to the atm. Then what will happen? There are way to many question marks at this point. USC can bolt at any time, the same with Washington & maybe Oregon but then? So I would not be surprised one bit if the small 12 re-brands itself & get these three Schools to compete. Money talks & clearly Scott is facing a huge gamble. Will he be removed before 2024? It points that way.


(Patrick) #16

It’ll be interesting to see what happens with the PAC12. The network needs digital distribution in the worst way at this point, or they need to partner with ESPN or FOX. However, they don’t want to give up control of what’s broadcast on the networks which seems to be the main issue.

But, I agree. I can see schools leaving the PAC 12 if things continue down this path. I’m not sure USC would join the PAC 12; I think they’ll go independent and try to strike their own TV deal first. Thing that would hold the schools together is the academics; they are all very happy with the academic ties and sharing the benefits. Going to the Big 12 would be a huge step down academically/research-wise for any of those schools. Now, if the B1G came calling on a few of them…

I think, in the end, the PAC12 works with ESPN or FOX to get their channel broadcast through those networks while giving up some control, similar to the B1G deal. Once they do that, I think they are talked into adding some central timezone schools to gain a foothold there. I think they’ll go hard after UT/OU, but will strongly consider others if they can’t get those two. I do not think they’ll lower their academic/moral standards to include certain schools (BYU, Oklahoma State, Kansas State, Baylor) and I think Houston would be one they strongly consider at that point.


(Patrick) #17

Really interested to see where this goes. Might they make a move to expand prior to 2024-25? Would the networks recommend it if they sold a stake in the Pac12Network to say ESPN?

The new boss of the bosses in the Pac-12 believes all options should be considered for using the conference’s media content to create maximum value for the schools — even if it means selling an equity stake in the Pac-12 Networks or renegotiating the contracts with ESPN and Fox before their expiration.

That eye-opening strategic vision comes from Colorado chancellor Phil DiStefano, the new chair of the Pac-12’s board of directors (the presidents and chancellors).


(Chris) #18

You can be sure there is one side that wants to get closer to espn and the other that does not. The biggest question is going to be about sustainability. At present it is not far fetched that the PAC12 could possibly implode. News about USC leaving did not happen because someone wanted to make some noise. When there is smoke…


(Patrick) #19

Getting closer to ESPN might be a benefit to us. ESPN was pushing for our inclusion in the Big 12 if they had expanded with FOX wanting no expansion or expansion into Florida (UCF/USF).

If ESPN deems that the PAC 12 needs to expand into the Central timezone, and OU/UT aren’t available, I’d imagine that we’d be near the top of the list for them.