WA Today – It was the first big test for Network Ten’s new owners, CBS.
- Its rivals in free-to-air television both locked down rights to broadcast premium summer sport for years ahead – Seven (together with pay TV giant Foxtel) last week emerged with cricket rights in a six-year, $1 billion deal; a few weeks earlier Nine snatched the rights to tennis for $300 million over five years.
- It’s important to note that despite all of the excitment about sports rights, networks often lose money on them.
- This ‘Halo effect’, one of the hardest concepts among analysts to quantify, is the notion that the benefits of sport to a network go beyond the advertising booked against the coverage of it.
- CBS’s strong position in the US is, at least in part, explained by its sports coverage, including the US Masters golf tournament, and some NFL and college football games.
- The importance of sport to broadcasters in the US was explained in a note last week by Pivotal Research analyst Brian Wieser.