köpa Norvasc lagligt på nätet köpa Diovan i italien köpa generisk Zestril sänkt pris på Clarina Hydrochlorothiazide generisk Hydrochlorothiazide skillnad vad kan man köpa Bactrim vill köpa Neurontin rekommenderad dos Ginseng köpa Top Avana i amsterdam köpa Altace flashback 2015 Zestril tabletter pris sverige dosering Aciclovir k vart kan man beställa Imuran Cardizem eljo pris köpa Diclofenac i london snabb leverans av Famvir Aldactone shampoo köpa köpa Actos Meclizine dosering lunginflammation generisk Celexa i sverige sänkt pris Atarax skillnad mellan generisk Ophthacare vart ska man köpa Astelin Periactin låg dos bra sida att köpa Nimotop beställa billig Trandate beställa Celexa på internet köpa Lipotrexate på cypern Noroxin tabletter pris sverige hur kan man köpa Dutas köpa Zanaflex inom sverige beställa Emsam på faktura Methotrexate migrän dosering köpa Naltrexone för män generisk Cardizem biverkningar vad kostar Triamterene på recept köpa Celexa danmark billig Cytoxan sverige beställa Nizagara på nätet flashback hur beställa Atorlip-10 beställa Antabuse sverige köpa Acticin snabb leverans kan man köpa Glucophage i tyskland måste man ha recept på Ditropan beställa Keppra på faktura var köper man billig Luvox var köpa Himplasia på nätet snabb leverans på Avapro köpa laglig Silagra Cholestoplex beställa container beställa Deltasone england bästa pris Olanzapine Astelin strömbrytare pris beställa Propranolol olagligt Carafate hur stor dos generisk Celexa snabb leverans tips köpa Promethazine Nizagara jelly snabb leverans beställa Glucophage från sverige köpa Zaditor i vietnam Suprax dosering lunginflammation Zocor strömbrytare pris köpa Haldol inom eu beställa Tadapox olagligt kan man köpa Grifulvin V i tyskland Vasotec billig Cafergot lägre pris Floxin plåster pris är generisk Cholestoplex farligt kan man köpa Tenormin på apotek köpa Erexin-V tallinn köpa Baclofen i italien sänkt pris på Prednisolone köpa Inderal prag Viramune och träning dosering köpa jord Cleocin Ponstel köpa flashback vart kan man beställa Cozaar köpa Olanzapine super active köpa jord Propranolol köpa Skelaxin utan recept beställa Lipitor pulver köpa Sominex 2013 köpa Aciclovir snabbt köpa Nexium kräm olagligt att köpa Cialis Peni Large dosering vuxen beställa Actos för kvinnor kan man köpa Fluoxetine i kroatien köpa Premarin utan recept köpa Plavix i norge kan man köpa Cafergot på apoteket i sverige Colchicine snabb leverans beställa Tetracycline på faktura billig Allopurinol sverige köpa Lynoral budapest eljo Emsam uttag pris är det olagligt att köpa Minocin på nätet beställa Cabgolin online lägsta pris V-gel kan man köpa Olanzapine på gran canaria i vilka länder kan man köpa Elavil receptfritt eljo Fucidin pris Crestor snabb leverans sverige Tofranil dosering halsfluss är det lagligt köpa Plaquenil på nätet eljo Lynoral bästa pris köpa Indinavir grekland köpa Sildalis original Deltasone köpa apoteket lagligt att köpa Nexium på nätet Shallaki pris på apoteket köpa Tinidazole på faktura köp generisk Cyklokapron köpa Tretinoin 20mg behövs recept för Cardizem i spanien Tadalis gel pris apoteket köpa Sumycin i ungern pasteta od Plavix recept köpa Urispas 50mg kan man köpa Cytoxan i usa dosering Clozaril k kan man köpa Differin i turkiet eljo Plaquenil bästa pris beställa Cozaar inrikes köpa Renagel danmark köpa Trazodone orifarm hur kan man köpa Penegra eljo Purim uttag pris hur stor dos Doxazosin ska man ta Lipothin op recept lägre pris på Serevent kan man köpa Viramune på apoteket i sverige generisk Ashwagandha i sverige köpa Vasotec i malmö köpa Lioresal tyskland köpa Zyban i riga köpa Micronase på nätet sverige Fucidin pulver köpa pris på Micardis i sverige lagligt att köpa Aciclovir på nätet vågar man köpa Sildalis på nätet köpa Cialis inom sverige köpa Reglan på gran canaria apoteket Aciphex gel pris köpa Alesse internet Luvox migrän dos köpa Proscar seriöst dödlig dos av Erexin-V köpa Eulexin online 2013 pris på Big Appeal på apoteket bra ställe att köpa Carbozyne köpa Etodolac budapest beställa Motilium köpa Yasmin köpenhamn fungerar generisk Robaxin kan man köpa Lincocin spanien försäljning Viramune rekommenderad dos Tegretol skillnad mellan generisk Valtrex hur få recept på Seroflo vågar man köpa Allegra på nätet köpa Bactrim forum var kan man beställa Ralista köpa Shallaki usa pris Glucovance apotek hjärtat köpa Tadalis postförskott Desyrel dosering sömn köpa Triamcinolone olagligt Synthroid oral lösning dosering eljo Paxil bästa pris köpa Prednisone på nätet köpa Rumalaya i usa kan man köpa Levlen på gran canaria köpa Kytril grekland kan man köpa Cefadroxil utan recept köpa Lincocin i stockholm beställa Phenergan från thailand pris på Wellbutrin med recept Benfotiamine billig hur köpa Benzac kan man köpa Citalopram på apoteket var köper man Benfotiamine utan recept var kan man köpa Tadalis Compazine dos migrän köpa Mycelex-g inrikes Clomid dos migrän köpa Penegra i bangkok köpa Prevacid på nätet billigt beställa Clarinex på nätet lagligt beställa Zetia kan man köpa Cyklokapron i thailand köpa Cytotec turkiet köpa Floxin i riga köpa Dostinex i barcelona köpa Viagra i apoteket köpa Paxil från turkiet pris på Malegra på apoteket beställa Albendazole inrikes bra sida att köpa Seroquel Diflucan kräm köpa köpa Minomycin phuket Suhagra att köpa Ralista receptfritt pris köpa Keppra i kina behövs recept för Cafergot i spanien köpa Charboleps lagligt eljo Citalopram uttag pris köpa Erexor från sverige viagra Myambutol köpa kan man köpa Cefadroxil i sverige Crestor strömställare pris köpa Aspirin polen köpa Meclizine för män köpa Brahmi 400 mg Seroflo utan recept i sverige Diovan billig Baclofen oral jelly köpa köpa Temovate lagligt i sverige kan man köpa Neurontin i spanien bästa stället att köpa Singulair på Dapoxetine oral jelly köpa dosering Deltasone k köpa Etodolac för tjejer köpa Chloramphenicol i italien Renagel jelly köpa säker sida att köpa Propecia köpa Aristocort på kreta köpa Anafranil 10mg lagligt att köpa Celexa Antabuse lägre pris köpa Yasmin prag generisk Norvasc snabb leverans köpa Trial Erection packs för män köpa Arimidex för män köpa Actos phuket köpa Finpecia i amsterdam Cefixime pris sverige kan man köpa Buspar i tyskland köpa Styplon barcelona köpa Sarafem spanien beställa Zyprexa för kvinnor är det olagligt att köpa Sarafem på nätet generisk Neurontin snabb leverans köpa NPXL apoteket eljo Tricor dimmer pris köpa Rogaine 5 i prag köpa Innopran egypten Dostinex var köpa olagligt att beställa Diakof var köpa Promethazine Prograf lägre pris är det olagligt att köpa Stromectol på nätet köpa Ophthacare online 2013 pris Pamelor apotek hjärtat köpa Terramycin danmark Bestina flytande dosering Metoclopramide dos migrän kan man köpa Provera på mallorca kan man köpa Yasmin på apoteket i spanien köpa Flonase super active Glucovance pris apoteket funkar generisk Plavix köpa Fertomid säkert online var köpa Periactin V-gel köpa kan man köpa Aldactone i prag att köpa Lipothin i sverige köpa Tretinoin danmark köpa Zyprexa på kreta beställa Mestinon online flashback är det lagligt köpa Furosemide på nätet apoteket Ciplox pris billig Arava sverige var köpa Naprosyn billigt Hytrin dosering migrän köpa kvinnlig Cystone är det säkert att köpa Zetia på nätet köpa Clarinex i malmö generisk Dapoxetine i sverige hur kan jag köpa Avapro Ampicillin dosering till katt köpa Betnovate på nätet billigt köpa Trazodone budapest var köpa Arcoxia billigt köpa Innopran i bulgarien köpa Beconase AQ butik billig Apcalis snabb leverans vart kan man beställa Septilin hur får man Buspar på recept köpa Zestril göteborg Tulasi lägre pris köpa Florinef 10mg köpa Voltaren 50mg billig Orlistat sverige kan man köpa Panmycin i danmark köpa Shatavari i london Elimite säker leverans vad kostar Paxil på recept Trazodone vägguttag pris köpa Elimite på gran canaria kan man köpa Plavix på teneriffa fungerar generisk Ophthacare köpa Singulair i malmö köpa Terramycin forum Celexa dosering halsfluss köpa Lipitor spanien flytande Lanoxin dos beställa Valtrex online Differin online utan recept apotekets pris på Decadron var kan man köpa äkta Atorlip-20 Vasotec pris gatan pris Bupron SR på apoteket beställa Prevacid för kvinnor köpa Trimox kroatien köpa äkta Viramune på nätet köpa Diltiazem i phuket Roxithromycin köpa flashback Skelaxin dos första gången var köpa Benfotiamine på nätet Anacin snabb leverans köpa Atarax säkert på nätet köpa Sumycin phuket köpa Toradol online billigt dosering Kamagra k var köpa äkta Voltaren köpa billig Imuran lagligt att beställa Allegra på nätet vad kan man köpa Claritin olagligt att beställa Lisinopril köpa Zenegra grekland apoteket hjärtat Trileptal pris köpa Shuddha på rhodos bästa sidan att köpa Amoxil köpa Imuran online 2013 köpa Brahmi utan recept Sominex online snabb leverans behöver man recept för Hoodia hur kan man köpa Omnicef Aldactone på nätet utan recept köpa Doxazosin på postförskott beställa hem Zestoretic köpa Hoodia kräm köpa Coreg i sverige flashback Diarex dosering halsfluss generisk Dramamine sverige Confido dos nervositet köpa Coreg från england köpa Silagra 20mg pris på Bupron SR på apoteket Copegus till hund dosering köpa Mestinon i indien Diclofenac dosering ångest pris på Lamisil på apoteket köpa Zofran på rhodos köpa Shallaki på internet var köpa äkta Zyprexa vågar man köpa Caverta på nätet fungerar generisk Speman köpa billiga Florinef billig Bactrim snabb leverans köpa Prevacid i sverige flashback Atorlip-5 online utan recept köpa Prandin lagligt på nätet lagligt att beställa Caverta Fosamax gel på recept var köper man billig Finpecia Synthroid jelly köpa Naltrexone mot ångest dos för hög dos Florinef köpa eljo Nasonex Ampicillin 10 mg köpa i vilka länder kan man köpa Maxalt receptfritt köpa Reminyl gran canaria Venlor dosering lunginflammation Lanoxin oral jelly köpa billig Dramamine på nätet köpa Prevacid olagligt köpa Tadalis på nätet billigt bästa stället att köpa Himplasia på Amaryl plåster pris köpa Prometrium inom sverige köpa Omnicef amsterdam köpa Danazol sverige flashback våga köpa Urispas på nätet kan man köpa Sinequan i frankrike Inderal pulver köpa var kan jag köpa Lariam eljo Flexisyn uttag pris jag vill köpa Hydrochlorothiazide var kan jag köpa Nootropil dödlig dos Precose köpa Geriforte online sverige köpa Moduretic i tallin beställa Valtrex online flashback beställa Erexin-V på nätet 2014 Styplon på recept köpa Bactrim köpenhamn köpa Indocin lagligt är det lagligt köpa Precose på nätet lägsta pris Voltaren generisk Atarax snabb leverans Evecare eljo pris köpa Lynoral online flashback Silvitra snabb leverans köpa Viagra lagligt på nätet bästa stället att köpa Dostinex köpa Flonase estland Bupron SR dosering vuxen köpa Lamisil inom sverige köpa Panmycin oslo köpa billiga Himplasia beställa billig Caverta Crestor 10 mg köpa köpa Finax på postförskott pris på Brahmi i turkiet kan man köpa Zestril i grekland olagligt att köpa Lotensin behövs recept för Minocycline köpa Dipyridamole stockholm Bactrim nervositet dos behöver man recept för Zithromax Combivent pris på apoteket Dostinex vilken dos beställa hem Confido Atorlip-10 köpa apoteket kan man köpa Ciplox i turkiet Saw Palmetto bra pris Glucophage uttag pris beställa Ditropan på internet beställa Isoniazid Femcare hexal köpa köpa Confido i bangkok behövs recept för Minocycline i spanien köpa Terramycin alanya beställa Trazodone jelly hur får man Nizagara på recept köpa Mestinon på internet generisk Keftab biverkningar beställa Pristiq för kvinnor kan man köpa Medrol receptfritt säkert att köpa Alavert på nätet Compazine jelly snabb leverans beställa Seroquel jelly Glucovance turkiet pris bra ställe att köpa Mobic köpa Kemadrin lagligt måste man ha recept för att köpa Avalide köpa Shuddha göteborg köpa Prograf i butik köpa Flonase 100mg köpa Lasuna från turkiet köpa Alli polen köpa Buspar på kanarieöarna köpa Prograf tallinn i vilka länder kan man köpa Ceftin receptfritt Detrol turkiet pris Nexium dosering halsfluss pris på Isoptin på apoteket beställa container Albenza göteborg hur stor dos Chloramphenicol ska man ta Viagra dosering sömn svårt att få recept på Augmentin var köpa Mestinon billigt köpa Abana 2013 lagligt att beställa Zofran på nätet är det olagligt att köpa Alli på nätet köpa Casodex 20mg köpa Urispas danmark köpa Propecia i sverige köp Mentat utan recept kan man köpa Maxalt utan recept hur stor dos Tofranil ska man ta köpa Cephalexin i butik kan man köpa Aldactone på nätet köpa Rumalaya på internet Femara flytande dosering Chloramphenicol bra pris köpa Ophthacare forum våga köpa Accutane på nätet Diakof plåster pris köp billig Lincocin köpa Erythromycin göteborg snabb leverans Erexor snabb leverans av Advair köpa Celadrin från england Kytril köpa online Prednisolone gel pris apoteket var kan man köpa Lynoral receptfritt lägre pris på Aspirin beställa Xenical från thailand köpa Robaxin i italien Metformin utan recept i sverige Clonidine mot nervositet dos köpa Keftab 20mg kan man köpa Fincar receptfritt köpa Lotrisone danmark är det lagligt köpa Charboleps på nätet beställa Procardia på faktura
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Pete Toms Article Archive
Written by Pete Toms   
Sunday, 05 July 2009 22:53

Last Week in Baseball by Pete Toms

This week in LWIB, opinion about the future of “in market” live streaming of MLB games and stadium financing news concerning the Yankees, Twins and Marlins.

MLB IN-MARKET LIVE STREAMING

LWIB the San Diego Padres became the second MLB club to announce that “in market” live streaming of their games will be available this season.  The Padres partnership with MLBAM and Cox Communications to stream in market live games copies the template announced the previous week in the Yankees /YES/Cablevision/MLBAM partnership.

The SportsBusiness Journal reported that all clubs received a June 19 memo from Commissioner Selig detailing the structure of the new business model for in market live streaming of games.

Major League Baseball believes it has broken through its self-described “logjam” for in-market live streaming of games by developing an economic model that pays MLB Advanced Media half of all related revenue.

The terms for local streaming deals,.....will send the other half of the related revenue to local interests, such as the participating team, its regional sports network and the local cable provider.

In April The Biz of Baseball reported on the challenges confronting professional sports leagues in adapting to the age of digital media and in particular whether digital media rights should be managed at the franchise or league level.  Within MLB, the franchises with interests in RSNs (i.e. Red Sox, Orioles) have been the greatest advocates for greater control of digital rights at the club level.

These owners have been lobbying for control of the local digital media rights of their own clubs, rights which are controlled by MLBAM. RSNs see great potential in these rights to supplement game broadcasts with shoulder programming, VOD and interactive TV in addition to boosting broadband offerings.

Meanwhile, MLB and the other “stick and ball” leagues are in different stages of launching live streaming of in-market games. This issue has generated much consternation within the leagues as they attempt to balance the rapidly changing viewing habits of consumers in the “new media” age while simultaneously protecting very profitable partnerships with cable and broadcast TV. Live streaming of in-market games could also have substantial impact on revenue sharing and competitive balance in MLB.

In an interview with Contentinople, Tracy Dolgin president and CEO of YES Network, explained why it has been so difficult to bring in market live streaming of MLB games to market.

Contentinople: Why haven't baseball fans in the New York area been able to watch games online in the past?

Tracy Dolgin: You have this logjam where each side [Major League Baseball (MLB) and teams/regional sports networks] has been blocking the other from exploiting the rights. We would not be allowed to just roll out an in-market streaming product without baseball's permission, while baseball would not be able to without BAM's [MLB Advanced Media] permission, while BAM would not able to do it without our permission. So we've been blocking each other. The net result has been that the rights have not been exploited.

Contentinople: Is it clear who owns the new media rights? Is it the leagues or the teams?

Tracy Dolgin: The league would say they own new media rights, subject to some restrictions. And the teams would say -- and the RSNs [regional sports networks] who have gotten those rights from the teams would say -- "that may be all well and good, but we should own all rights in-market, and you really should leave us alone in-market."

The announcements of the Padres and Yankees in market live streaming deals, combined with MLB President Bob DuPuy’s comments that he expects “a majority” of franchises to finalize the same sorts of deals by some point next season, have led to the perception that MLB has largely settled this issue.  John Ourand argued in The Sports Business Journal that the issue of control of local digital rights in MLB is far from resolved.

MLB officials were beaming last week, believing that they had broken through the logjam that has stalled local video streaming efforts.

By announcing a deal with the Yankees and YES Network — not to mention a second deal waiting in the wings — MLB officials believe they have a general template that will be used by the other MLB clubs. In fact, MLB President and COO Bob DuPuy told a conference call last week that most clubs would have a streaming deal in place by next season.

I don’t share that optimism.

In fact, I think the other regional sports networks will continue to reject MLB’s current video streaming terms. One other team is expected to roll out a service this season. But I don’t see any chance other teams will have local video streaming services up and running this season.

The biggest obstacle for these RSNs is a philosophical one that they’ve been battling for nearly a decade and don’t appear close to resolving. RSNs don’t think MLB Advanced Media should be so involved in local deals struck between teams, their RSNs and their local cable providers. If local TV deals are cut between the teams and RSNs, why should streaming rights be any different?

AND

RSNs are legitimately concerned that these streaming deals have the potential to devalue local rights. Even the most wildly optimistic revenue projections for video streaming represent a mere fraction of what MLB teams generate from TV rights. Why gamble a cash cow (local TV) on a small and unknown revenue stream (broadband)?

In the immediate future, how popular (lucrative) will the offerings of live in market games online be?  MLBAM has been streaming live “out of market” games at MLB.com since 2002.  The MLB.TV subscription service has been a great success for BAM.  The Biz of Baseball reported in April, “Over 400,000 subscribers have signed up for MLB.com’s premier live game products, MLB.TV and Gameday Audio, through April 26, a 45.7 percent increase of sales over the comparable time period in 2008.” But the appeal of MLB.TV (as well as MLB’s other “out of market” offering, Extra Innings) is full access to games for displaced fans.  Unlike MLB.TV, the “in market” online offering is a companion (or competitor?) to broadcasts of games distributed on cable and over the air channels.  In the aforementioned Contentinople interview, Tracy Dolgin addressed the same question.

Contentinople: How much demand do you think there will be for the product since people can already see it on TV?

Tracy Dolgin: First of all, if people aren't willing to pay for the portability and the convenience and the feature set that we're offering them for the Yankees, they won't pay for anything.

The word "fan" is short for fanatic. Given the love and attachment they have for the Yankees, I think there will be great demand. And I think if you asked Major League Baseball what percentage of its out-of-market [subscription package] is driven by Yankees fans who are displaced -- who also by the way can get Yankees games on MLB Network, TBS, ESPN, Fox -- I think that its experience is that there is a huge demand for it.

And so, given the relative price and value relationship where what it costs you for half a season is less than what it costs to go to a movie with your kids, it's all price value.

In the aforementioned SportsBusiness Journal report, MLB acknowledges that the demand for online “in market” games is an unknown.

Selig’s memo, however, shows the uncertainty that MLB has in determining how big the local streaming market will be. Similarly, MLB Advanced Media President and Chief Executive Bob Bowman last week acknowledged that part of the effort involves creating a new market.

In the Selig memo, the commissioner describes three years of “agonizing” over the issue, and how the league hired Allen & Co. to determine the value of local streaming rights. That research effort “provided guidance, but not certainty,” he wrote.

“Only one thing is in fact certain — there is some set of revenues that we are not currently generating,” Selig writes. “At the outset, I am convinced the revenues are likely to be quite modest and I am convinced it is in the interest of the game to begin an assessment of how our fans will react to this offering.”

Earlier this year, John Ourand interviewed 163 students at the University of Pennsylvania’s Wharton School of Business concerning their appetite for, and consumption of, live sports online.  Mr. Ourand’s findings surprised himself.

It’s no secret that sports TV executives these days are fixated on broadband applications, believing that a smart online video strategy of live games is the surest way to attract the young male demo that advertisers want to reach.

But are young people accessing live online video the same way network executives believe they are?

AND

That younger demo isn’t streaming live sports nearly as frequently as some TV executives would have you believe. They certainly are more adept with broadband video than their elders, but few of them admit to watching live games online with any regularity

AND

Sports’ place on TV seems safe. Young men and women still like television, almost as much as their parents. Given a choice between the passive television experience and the interactive online one, every person from each of those three classes would opt for TV.

Out of three classes of college students, I was surprised that the online video environment didn’t have more supporters. The students have no problem watching entertainment programs online, from sites such as hulu.com. But sports is different. Networks have made the TV experience so good — with high-def feeds and cameras at every angle — that even the most technically literate generation does not want to give that up.

Again, from Contentinople, Tracy Dolgin on the choice between viewing live sports on a computer versus TV.

Contentinople: What do you think of the experience compared to watching a game on TV?

Tracy Dolgin: There is no human being I have ever met, when given a choice to watch a game on his or her laptop versus on a 50-inch plasma with surround sound, who would choose to watch it on a computer.

That's why, from an advertiser's standpoint, while it's a positive experience, it's not a substitutive experience, because everybody would rather watch it with all of the data coming through that fat pipe to your big TV set.

So I've watched it. It's a really good experience, and it's certainly a better experience than missing the Yankees game, and maybe it's an even better experience than having my wife reprimanding me because I'm not watching the kids in the backyard. So it's a good experience, but it's not a substitute experience for watching it on television, and I don't believe it will ever be.

We think what's going to happen is it's going to increase the number of viewing occasions where I'm not able to watch it on my big television set because I'm in the office or on the beach or in my backyard.

Select Read more to see the rest of this article by Pete Toms

Ultimately, is the PC vs. TV debate irrelevant?  Is the marriage of internet and TV (IPTV) inevitable and if yes, will that be the end of live sports on cable and over the air TV?  Would this be positive for pro sports leagues, particularly for MLB with MLBAM long at the forefront of streaming technology?  Shawn Hoffman, both at Baseball Prospectus and on his Squawking Baseball blog, has presented this model as the future of sports broadcasting.

 

Even if the internet cannibalizes broadcast and cable television over the next ten years (as it has music and newspapers over the last ten), MLB may actually stand to benefit.

Think about a world where there are no more regular television stations; everything is broadcast through the internet, and you can watch it either on your PC or on your television (which, at that point, is basically just another PC). We'll call this a Murdochian dystopia. In this new world, it'll be almost impossible to advertise for more than 15 seconds at a time on a sitcom or drama; competition will inevitably drive ad-time down, almost to the point of irrelevance. With sports, however, ad-time is built in since games naturally have breaks, and since sports games are time-sensitive and almost always watched live, the advertising surrounding them really won't change much.

That's a pretty amazing thing in itself, but it doesn't end there. It's true that if television stations and cable networks cease to exist, MLB and the other leagues won't be getting those fat rights fees anymore, but if all content was distributed via IPTV, the leagues could actually distribute the games themselves, and they would therefore control all of the advertising revenue. Given how few mass-distribution methods there would be in this new world, the leagues would probably make even more than they do under the current system.

Is the recent announcement that MLB has partnered with Boxee (Boxee is online TV) evidence that MLB shares Mr. Hoffman’s vision for the future of live sports broadcasting?  On June 23 Boxee announced that MLB’s “out of market” online offering MLB.TV will be made available to Boxee.  From the “boxee blog”:

We are excited to announce a partnership with Major League Baseball (MLB.com) to offer MLB.TV Premium to boxee users.

MLB.TV Premium on boxee means you can now watch thousands of baseball games, live and on-demand in HD (where available). on top of that, MLB.TV Premium offers DVR functionality to pause and rewind a live game. MLB.com represents a big step for boxee as we hope this is the first of many different live sports offerings we can bring to you. We hope other sports follow MLB.com’s lead of giving fans a choice of how they enjoy watching their favorite teams….

From Contentinople:

Major League Baseball will become the first premium content provider to stream live video on Boxee 's online video platform, the company announced tonight.

Boxee is showing off its new MLB.tv application, which is designed to allow subscribers of the service to view live Major League Baseball video in an environment that was built for the television, at a gathering of its San Francisco faithful at Mezzanine tonight.

The MLB.tv application will be the first to take live, premium subscription-based video programming onto the Boxee platform. MLB.tv users pay $89.95 yearly for access to stream all out-of-market games on their PCs.

For Boxee, the MLB deal is significant because -- unlike other premium video applications that the company has built without the content owners' help -- the companies had to work together to build the MLB.tv application.

AND

Boxee hopes that the deal with MLB.tv could provoke other premium content owners to create applications on its platform. "We hope it opens the door for more sports content on Boxee," says Boxee CEO Avner Ronen. "It shows that Boxee is a friendly service for content owners."

Shawn Hoffman commented on the Boxee/MLB.TV announcement.

.... this is a very significant move for MLB, in that it’s clearly saying it doesn’t care if you watch baseball through MLB.tv or MLB Extra Innings. That may not go over so well with cable providers, who agreed to put MLB Network on their basic tiers, in exchange for some equity and an agreement that MLB wouldn’t give DirecTV the exclusive rights to EI. Now, MLB has taken the first step toward making EI obsolete, leaving the providers behind.

This is obviously the right business decision, since MLB doesn’t need to share profits from MLB.tv like it does with EI. And it’s another step toward the inevitable future of sports broadcasting, where the leagues broadcast the games themselves and distribute them over the internet. But it’s still interesting, since most old media companies tend to stick together, and MLB is doing the exact opposite.

Note that Hulu, which is owned by Fox, NBC, and ABC, still refuses to make itself available on Boxee — its owners / content providers are clearly uncomfortable with the idea of you watching TV programming on your TV, if it’s distributed over the web. After all, if you had the option of watching their programs on demand, and on your TV instead of your PC, why would anybody buy cable?

But the cable providers should probably be more concerned about people watching sports on the web than scripted programs. A lot of people will keep cable as long as its the sole provider of live sporting events, even if every single episode of every scripted show is on the web on demand.

AND

....For now, it seems like MLB really gets it, at least on this issue, and they’ll be much better off for it in ten years.

STADIUM FINANCING UPDATE

LWIB saw reports on the state of financing for two new MLB ballparks currently under construction (one barely) and another which debuted this season amidst much controversy.

Aaron Kuriloff reported that Moody’s Investor Service is confident that the New York Yankees “can cover the debt service” on their new stadium.  This despite widespread media coverage concerning the consistently large number of vacant premium seats, lack of sellouts and fan backlash over pricing at the new Yankee Stadium.  From Mr. Kuriloff’s report:

Revenue from the new Yankee Stadium is almost five times the amount needed to cover debt service, even with slower-than-expected sales of its most expensive seats and skyboxes, according to a report by Moody’s Investors Service.

The Yankees sold an average of 45,000 tickets in each of the first 35 games in the Major League Baseball season, leaving the team on pace to sell 3.6 million this year, down from a record 4.3 million in 2008, Moody’s said. The Yankees projected generating $331.5 million in stadium revenue this season, based on an expected attendance of 3 million.

AND

“Revenues generated by ticket sales and suite-license fees are expected to be robust through the term of the financing,” the report said, adding that the team is projected to take in about 4.8 times the amount needed to make its payments now and 14 times the amount needed by 2049. “Therefore, if the Yankees are sill playing in the new stadium, it seems unlikely that Yankees Stadium LLC will be unable to cover the debt service.”

AND

Revenue from premium seats accounts for about 40 percent of the money pledged to paying debt service, the report said.

“The share of projected revenues that is dependent on luxury suites could be a credit weakness in the current economic environment,” the report said. “However, Moody’s understands that only seven of the suites that were available are unsold as of June 2009.”

In a separate Bloomberg piece, Mr. Kuriloff reported that the Minnesota Twins have encountered borrowing costs significantly greater than initially forecast in financing their share of the construction of Target Field (opening next season).  From Mr. Kuriloff’s report:

The Minnesota Twins transferred $4 million to a debt-service fund for their new stadium after high interest rates caused by 2008’s credit-market turmoil drained an account devoted to paying off the bonds.

The account originally contained enough to pay debt service on the bonds until one month before the Major League Baseball team’s ballpark is schedule to open in April 2010, according to a report by Standard & Poor’s Rating Services. The credit-market squeeze drove interest rates up, and a hedge wasn’t enough to make up the difference.

After the transfer, the account “will likely be sufficient to pay debt service approximately until the projected opening date,” the report said. The rating service affirmed BBB- ratings on $40 million in bonds due in 2021 and $20 million in bonds due 2023, one level above high-yield, high-risk junk bond status.

AND

The team has sold about 80 percent of the stadium’s luxury seats and about half of its corporate sponsorships, though selling the remaining inventory may be difficult, the rating service said.

“The project has additional funds from deposits for suites and club seats and from owner capital contributions to fund the interest payments until the project opens, ensuring there is no cash-flow shortfall caused by the increased interest costs,” the report said. “However, overall interest costs will be higher than the pro forma.”

The Twins were not the only MLB club last week to be impacted by rising borrowing costs in financing new ballpark construction.  The Florida Marlins agreed to cover a potential shortfall of $6 million plus caused by a higher than anticipated interest rate on some of the bonds sold by Miami – Dade County  to finance the bulk of the anticipated $515 million cost of a new stadium.  (It is expected that the County will attempt to raise another $150 of bond financing later this year)  The sale of the bonds, originally scheduled for June 17 and 18, was not approved by county commissioners until after midnight the morning of July 02, a handful of hours before construction workers arrived at the Little Havana site of the new ballpark (scheduled to open in 2012).

Matthew Haggman reported in the Miami Herald:

The final piece of the Florida Marlins' 15-year quest for a permanent South Florida home came down to $6.2 million, last-minute political confusion and, finally, a 1 a.m. vote at County Hall.

AND

...the initial $300 million bond deal appeared much less certain Tuesday night when Burgess told commissioners a portion of the bonds came in at a higher interest rate than expected (more than 8 percent), leaving the county $6.2 million short of $306 million.

The two problems: The gap had to be plugged, and the stadium construction agreement had to be changed because commissioners previously voted to cap the bond interest rates at 7.5 percent.

That prompted Samson to pledge that the team will cover the $6.2 million shortfall.

AND

Then, after several hours of confused debate by commissioners -- followed by more hours for county lawyers to craft changes -- the county decided to lift the interest rate ceiling on a portion of the bonds so they could be sold at a rate up to 8.2 percent. The one caveat: The blended rate for all the bonds had to still be below 7.5 percent. The final vote was cast after 1 a.m.

Sarah Talalay reported for the South Florida Sun-Sentinel:

Not to get too technical here, but while the bonds backed by the professional sports franchise facilities tax portion of the hotel tax were sold at a lower interest rate than anticipated, those backed by the Convention Development portion of the hotel tax were set at a higher rate. The “blended rate” of the two taxes fell within the county’s 7.5 percent cap, but the commission needed to sign off on the higher cap of 8.2 percent for the CDT-backed bonds


Pete Toms is an author for The Biz of Baseball and a staff member of the Business of Sports Network. He can be contacted at This e-mail address is being protected from spambots. You need JavaScript enabled to view it This e-mail address is being protected from spambots. You need JavaScript enabled to view it This e-mail address is being protected from spambots. You need JavaScript enabled to view it This e-mail address is being protected from spambots. You need JavaScript enabled to view it

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