Bally’s Sports+

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Covert Rain

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When Bally's launched many said it was make or break for them by going with an independent subscription service. Many investors were urging them to work out their differences with streaming services.
 
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Covert Rain

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Ballys missed its debt payment. Next up if they fail to pay the leagues the rights will revert back to the respective leagues. Basically they have 30 days which means they are definitely headed for Bankruptcy.

They are saying it’s likely Amazon or Hulu would bid for rights for local games.

Either works for me for Sins games.
 

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Ballys missed its debt payment. Next up if they fail to pay the leagues the rights will revert back to the respective leagues. Basically they have 30 days which means they are definitely headed for Bankruptcy.

They are saying it’s likely Amazon or Hulu would bid for rights for local games.

Either works for me for Sins games.
Yup that would save me $20 a month
 

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Ballys missed its debt payment. Next up if they fail to pay the leagues the rights will revert back to the respective leagues. Basically they have 30 days which means they are definitely headed for Bankruptcy.

They are saying it’s likely Amazon or Hulu would bid for rights for local games.

Either works for me for Sins games.
If we can add in the end to archaic regional blackout rules this would be the best possible outcome.
 
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Covert Rain

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If we can add in the end to archaic regional blackout rules this would be the best possible outcome.
Well, the rights revert back to the leagues, but their blackout rules would still apply. So, those games still won't end up on MLB or NBA TVs channels for their respective local markets. So, the local rights to those would have to still be sold to say an Amazon or Hulu for example. Having said that? I agree. These blackout rules need to go.
 

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Well, the rights revert back to the leagues, but their blackout rules would still apply. So, those games still won't end up on MLB or NBA TVs channels for their respective local markets. So, the local rights to those would have to still be sold to say an Amazon or Hulu for example. Having said that? I agree. These blackout rules need to go.

Here is what the MLB Commissioner said last week regarding blackouts:
  • "Blackouts are the kind of opposite side of the coin of reach. We need to deliver [the] product to fans who want to watch on platforms that they customarily use at a realistic price. That is our No. 1 priority."


I'm fairly confident the NBA will have a similar opinion. Blackouts just don't make sense in the modern broadcasting market and I don't think they'll survive in future negotiations. When you consider how easy it is to get any game for free from numerous streaming sites it really makes no sense to restrict the paid service.
 

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It really has been fascinating to watch this all happen in real time. We're witnessing the end of cable/sat supremacy, the dilution of formerly unshakeable entertainment options, the reality wall meets the 'grow forever' mentality of the pro leagues, etc., all bundled into one package that few are paying close attention to.

The next few years will be rocky for the affected leagues and I'll be curious to see who ends up on top and whether or not the end product suffers. The top players are used to contracts going one direction, but that model just isn't sustainable anymore.

Reminds me a little of what happened to the music industry early in the Internet age. In a way, pirated streams are the new Napster. The difference is you need an actual live broadcast to be produced in order to pirate, and those are expensive.
 
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Covert Rain

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Here is what the MLB Commissioner said last week regarding blackouts:



I'm fairly confident the NBA will have a similar opinion. Blackouts just don't make sense in the modern broadcasting market and I don't think they'll survive in future negotiations. When you consider how easy it is to get any game for free from numerous streaming sites it really makes no sense to restrict the paid service.
There was a bill that was talked about being drafted by a member of Congress at one point to address blackouts but I don't think it went anywhere.
 

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A nice video discussing the current state of affairs with the RSN's and Bally's by name.

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This is a couple weeks old, but I found the list of the largest creditors interesting. Feel free to cross-post in the D-backs section if there's a thread going in there. (I haven't looked)

  • U.S. Bank: $1.8 billion
  • Dolan Broadcast: $77.2 million
  • DirecTV: $40.1 million
  • Arizona Diamondbacks: $30.8 million
  • Intelsat: $15 million
  • Raycom Sports: $8.53 million
  • Home Team Sports: $5.1 million
  • Harte-Hanks: $248,000
  • Evergent: $170,000
  • Mercury Sports: $143,000
  • Minor Vices, Inc: $122,500
  • VITAC: $101,000
  • Think Systems: $80,700
  • Getty Images: $54,500
  • TecVeris: $54,000
  • IATSE National Benefit Fund: $52,600
  • Creative Artists Agency: $50,000
  • Checkmate Media: $44,500
  • West Agile Labs: $30,300
  • Buffalo Sabres/Hockey Western: $30,100
  • MSG Networks: $27,000
  • Ease Live: $26,000
  • Amazon Web Services: $24,000
  • Sirius Computer: $23,700
  • AT&T: $22,300
  • Worldlink Ventures: $12,000
  • Imagn Content Services: $10,000
  • GTG Network: $9,200
  • XLT Management: $7,200
  • SBX Agency: $6,000
...

Diamond Sports is also expected to continue paying rights fees to 13 of the 14 professional sports leagues whose live events it carries on the Bally Sports channels. Sinclair says Diamond Sports has more than $425 million in cash to facilitate payment for sports rights under current contracts. The Arizona Diamondbacks, which are listed as a major creditor, will not be paid during the initial stages of the bankruptcy process.

 

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Great - Dbacks getting screwed, again

I hope it pans out in the end, but it doesn't look awesome right now. At least they're not getting the haircut US Bank likely will. We'll see. These kinds of things tend to move at a glacial pace.
 
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Covert Rain

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Great - Dbacks getting screwed, again
I think I read in one of the articles, should they fold, the rights revert back to MLB who can then license out the rights to whomever they like including streaming services.
 

puckhead

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So just screw the Dbacks?

More details here:

...

The MLB said Thursday said that three teams have not been paid including the D-backs, Minnesota Twins and Cleveland Guardians. The motion demanded payment for both the Twins and the Guardians by April 13 or else the league will have to terminate the contract and step in.

Arizona was not listed in the demands because the network exercised a contractual grace period with the D-backs to “maximize flexibility” that ended two days after the company filed for bankruptcy.

The D-backs, among four other teams (Tigers, Brewers, Rays and Rangers), reserved rights to join the motion if Diamond does not pay the teams in the future.

...

 

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The Diamondbacks filed their own motion seeking full pay or an end to the contract. Because Diamond cut off payments to the Diamondbacks before filing Chapter 11, technically they are in a different legal category than the other 13 teams covered by Diamond RSNs and are therefore filing solo.

Diamond does not dispute it has the money to pay the tens of millions of dollars it owes the three teams, but argues bankruptcy law allows it to restructure the contracts to better reflect market value. When Diamond signed many of the team deals, it was before the accelerated pace of cord-cutting, a trend that helped land the company in bankruptcy court.

Diamond is arguing it should be allowed to rip up the contracts and rewrite them to reflect the lower number of cable subscribers now versus when the deals were originally inked.
 

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For those unaware, you can get a 7 day free trial of Bally Sports through their app. So if you're in the Phoenix Metro area, or an area where Bally Sports Arizona is available, take advantage of that and watch the games for free.

Cancel before the 7 days is up and use a new email to repeat. Bally's doesn't pay the sports teams they broadcast so why should anyone pay them.

I don't know how the schedule will play out but if another game falls on NBA TV then that could be a way for some to access it if they don't get that channel some other way.
 

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