The National Basketball Association will be the first major test of the new competitive landscape. Its agreements with ESPN and Turner run through the 2024-25 season. Most sports and media executives predict that the league will stick with traditional broadcasters for most of its games, while carving out some small portion of rights for a tech company.

“It hedges them for the future and exposes the product to new audiences,” said George Pyne, founder of the sports private equity firm, Bruin Capital, and the former chief operating officer of NASCAR. “They can still have a long-term relationship with network partners but dip their toe in with new media.”

Until then, the best opportunities for Apple and Amazon may be overseas — where Amazon has been active for years — because European soccer leagues resell their rights every two to three years. Amazon recently scooped up rights to Europe’s top tournament, the UEFA Champions League, in Britain, Germany and Italy. It also has rights to France’s Ligue 1, which it offers to Prime Video subscribers for annual fee of about $90, and the English Premier League.

Media companies will be pressured to expand geographically to compete, said Daniel Cohen, who leads global media rights consulting for Octagon, a sports agency. Television broadcasters could also team up to pool their financial firepower, or buy each other outright, to compete with tech giants willing to pay billions for rights like N.F.L. Sunday Ticket.

“It comes down to a Silicon Valley ego thing,” Mr. Cohen said of the high-dollar N.F.L. deal. “I don’t see a road to profitability. I see a road to victory.”

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

WWE’s McMahon Announces Retirement Amid Misconduct Probe

By Associated Press

and Daniel Feingold
July 23, 2022

McMahon stepped down temporarily as CEO and chairman of WWE in mid-June during an investigation into alleged misconduct.

World Wrestling Entertainment impresario Vince McMahon announced Friday he is retiring amid an investigation into alleged misconduct involving the flamboyant showman who turned a small wrestling company into a worldwide entertainment business.

In a brief statement issued by WWE, McMahon said he is retiring as the company’s chairman and CEO. He noted that he remains its majority shareholder.

McMahon stepped down temporarily as CEO and chairman of WWE in mid-June during an investigation into alleged misconduct. Earlier this month, the Wall Street Journal reported McMahon agreed to pay more than $12 million over the past 16 years to suppress allegations of sexual misconduct and infidelity.

“At 77, time for me to retire. Thank you, WWE Universe. Then. Now. Forever. Together. #WWE #thankful,” he wrote on Twitter.

There was no mention of the investigation in statement from the company based in Stamford, Connecticut. McMahon said his daughter, Stephanie, who was named interim CEO and chairperson last month, will serve as chairperson and share CEO duties with Nick Khan, who joined the company in 2020.

“Our global audience can take comfort in knowing WWE will continue to entertain you with the same fervor, dedication, and passion as always,” he wrote in the statement, thanking WWE’s generations of fans all over the world.

McMahon first stepped aside from the top positions last month after the Journal reported at the time that he had agreed to pay $3 million to a former paralegal who said he sexually harassed her on the job. He was supposed to continue overseeing WWE’s creative content during the companies investigation. But then the newspaper reported that McMahon had agreed to pay the significantly larger sum of $12 million.

Four women — all formerly affiliated with WWE — signed agreements with McMahon that bar them from discussing their relationships with him, the Journal reported, citing people familiar with the deals and documents it reviewed. McMahon has said he is cooperating with the company’s investigation.

McMahon has been the leader and most recognizable face at WWE for decades. When he purchased what was then the World Wrestling Federation from his father in 1982, wrestling matches took place at small venues and appeared on local cable channels.

The organization underwent a seismic transformation under McMahon with events like WrestleMania, a premium live production that draws millions of fervent viewers.

Revenue last year exceeded $1 billion for the first time and the company has television deals with Fox and NBCUniversal. Last month it announced a multiyear expansion of its original programming partnership with A&E.

WWE stars have become crossover sensations, including Hulk Hogan, Dwayne “The Rock” Johnson, “Stone Cold” Steve Austin and John Cena.

Additional reporting by The Associated Press.

Source: newsy.com

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

Prepare Yourself for This Weekend’s ‘Crypto Bowl’

The crypto industry, which struggles with a reputation for being volatile, bad for the environment and overrun by wealthy tech guys, has tried to demystify itself for the general public in part by pouring money into marketing. Several ad experts said they had déjà vu, noting similarities to the gush of money dedicated to marketing the dot-com boom more than 20 years ago.

The number of crypto companies advertising more than tripled last year, and their spending more than quintupled, according to a sample of 200 companies reviewed by the research firm MediaRadar. The National Football League star Tom Brady signed on as a brand ambassador for FTX. Crypto.com paid $700 million to rename the Staples Center arena in Los Angeles. Celebrities including Spike Lee, Matt Damon and Neil Patrick Harris appeared in crypto commercials.

Meta, the parent company of Facebook, loosened a ban on crypto ads that had been in place at the social network since 2018, explaining in December that “the cryptocurrency landscape has continued to mature and stabilize in recent years.” Google also relaxed its crypto advertising guidelines over the summer.

Not everyone is sold. The Monetary Authority of Singapore, a financial regulator, said this year that crypto companies should stop advertising to retail investors because trading digital currencies is “highly risky and not suitable for the general public.” The Athletic, the sports news site recently bought by The New York Times, reported last year that the N.F.L. does not allow teams to sell sponsorships to cryptocurrency trading firms.

“The Super Bowl is low-effort — it’s fun, you’re in a relaxed mode, and then a crypto commercial comes on and it seems friendly and accessible and people might be more likely to give it a shot,” said Demetra Andrews, a clinical associate professor of marketing at Indiana University. “But it does present real risk, certainly more than trying out a new flavor of beverage or Uber Eats.”

Other technology ads will feature heavily in the Super Bowl, including sports betting ads (Caesars Sportsbook and DraftKings) and ads about the metaverse (Meta and Salesforce). Google has an ad centered on its Pixel 6 camera and diversity in photography. A commercial from the financial app and Super Bowl first-timer Greenlight shows the “Modern Family” actor Ty Burrell impulse-buying a Fabergé egg, a jetpack and a Pegasus.

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

Jeff Zucker Resigns From CNN After Relationship With Top Executive

Jeff Zucker resigned on Wednesday as the president of CNN and the chairman of WarnerMedia’s news and sports division, writing in a memo that he had failed to disclose to the company a romantic relationship with another senior executive at CNN.

Mr. Zucker, 56, is among the most powerful leaders in the American media and television industries. The abrupt end of his nine-year tenure immediately throws into flux the direction of CNN and its parent company, WarnerMedia, which is expected to be acquired later this year by Discovery Inc. in one of the nation’s largest media mergers.

In a memo to colleagues that was obtained by The New York Times, Mr. Zucker wrote that his relationship came up during a network investigation into the conduct of Chris Cuomo, the CNN anchor who was fired in December over his involvement in the political affairs of his brother, former Governor Andrew M. Cuomo of New York.

“As part of the investigation into Chris Cuomo’s tenure at CNN, I was asked about a consensual relationship with my closest colleague, someone I have worked with for more than 20 years,” Mr. Zucker wrote. “I acknowledged the relationship evolved in recent years. I was required to disclose it when it began but I didn’t. I was wrong.”

CNN+, a subscription streaming service that is set to begin this spring.

“Together, we had nine great years,” Mr. Zucker wrote in his memo on Wednesday. “I certainly wish my tenure here had ended differently. But it was an amazing run. And I loved every minute.”

Katie Robertson contributed reporting.

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

NBC Tries to Salvage a Difficult Olympics

The 1992 Olympics in Barcelona had the Dream Team. The 2008 Olympics in Beijing had the Michael Phelps medal sweep. The Tokyo Olympics has a pandemic.

That has been the greatest challenge for NBCUniversal, the company that paid more than $1 billion to run 7,000 hours of games coverage across two broadcast networks, six cable channels and a fledgling streaming platform, Peacock.

The ratings have been a disappointment, averaging 16.8 million viewers a night through Tuesday, a steep drop from the 29 million who tuned in through the same day of the Rio de Janeiro Olympics in 2016. NBCUniversal has offered to make up for the smaller than expected television audience by offering free ads to some companies that bought commercial time during the games, according to four people with knowledge of the matter, who spoke on the condition of anonymity to discuss negotiations.

opening ceremony set a downbeat tone. Instead of the usual pageant of athletes smiling and waving to the crowd, there was a procession of participants walking through a mostly empty Tokyo Olympic Stadium, all wearing masks to protect themselves against the spread of Covid-19 as a new variant raged. The live morning broadcast and prime-time replay drew the lowest ratings for an opening ceremony in 33 years, with just under 17 million viewers. The high came Sunday, July 25, when a little more than 20 million people tuned in.

24 years as NBC’s prime-time Olympics host before leaving the network in 2017. “You can’t create something out of thin air. Everybody knows that this is, we hope, a one-of-a-kind Olympics.”

“It’s like if somebody is running the 100 meters and they have a weight around their ankles,” Mr. Costas continued. “That is not a fair judge of their speed.”

A widespread change in viewing habits, from traditional TV to streaming platforms, has been a big factor in the number of people watching. While NBC’s prime-time audience has shrunk considerably from what it was for the Rio games five years ago, the Olympics broadcasts are still bringing in significantly more viewers than even the most popular entertainment shows. The most recent episode of CBS’s “Big Brother,” a ratings leader, drew an audience of less than four million.

“We had a little bit of bad luck — there was a drumbeat of negativity,” said Jeff Shell, the chief executive of NBCUniversal, during a conference call last week, after NBC’s parent company, Comcast, reported its second-quarter earnings. The less-than-festive atmosphere, he added, “has resulted a little bit in linear ratings being probably less than we expected.”

a television critic for Vulture. “But more than anything, watching this year has shown the wounds that we’re dealing with.”

Ms. Chaney noted NBC’s interview with the American swimmer Caeleb Dressel right after he won gold in a glamour event, the men’s 100-meter freestyle. Moved to tears, Mr. Dressel said, “It was a really tough year. It was really hard.”

The 13-hour time-zone difference between Tokyo and the East Coast may have also figured in the drop in prime-time viewers. Many people in the United States have been waking up to phone alerts trumpeting the medal winners who will be featured in that night’s broadcast.

all-around win — seemed to gain traction not so much on TV but in snippets shared on social media. That trend has been apparent in the number of followers for NBCUniversal’s Olympics channel on TikTok, which have shot up 348 percent since the opening ceremony.

Those who decide to watch must choose from a jumble of channels and digital options. In addition to NBC, the coverage is spread across NBC Sports Network, CNBC, USA Network, the Olympic Channel, the Golf Channel, the Spanish-language channels Universo and Telemundo, not to mention NBCOlympics.com, the NBC Sports app and Peacock.

There are so many choices that NBC’s “Today” show brought in Steve Kornacki, the political correspondent best known for elucidating election results, to break it all down. “If you’re a badminton fan, you’re going to be looking for NBCSN,” he told viewers. “If you’re an archery fan, USA Network. There’s all sorts of different possibilities!”

Jim Bell, who stepped away from Tokyo planning in 2018 when the company placed him in charge of “The Tonight Show Starring Jimmy Fallon.” He left that program and NBC a year later.

Ms. Solomon said she has been waking up at 4:30 a.m. in Tokyo and relying on double-shot lattes to get her through workdays that may go till 11 p.m. She does not share the opinion of some critics of the coverage.

“Every day, new stars arise, and new stories come to the fore,” she said. “So, personally, I don’t want it to end.”

In the view of Mr. Costas, who guided viewers through NBC’s Olympics coverage from 1992 through 2016, any comparison of the Tokyo games with previous competitions is not fair, given the pall cast by the pandemic. And three years from now, if all goes according to plan, NBCUniversal will get what amounts to a do-over in Paris.

“Paris 2024 will be, we hope, fingers crossed, much more like a classic Olympics situation,” he said. “That will be a more legitimate test.”

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

Skipping the Olympics Is ‘Not an Option’ for Many Advertisers

The Olympics have long been an almost ideal forum for companies looking to promote themselves, with plenty of opportunities for brands to nestle ads among the pageantry and feel-good stories about athletes overcoming adversity — all for less than the price of a Super Bowl commercial.

But now, as roughly 11,000 competitors from more than 200 countries convene in Tokyo as the coronavirus pandemic lingers, Olympic advertisers are feeling anxious about the more than $1 billion they have spent to run ads on NBC and its Peacock streaming platform.

Calls to cancel the more than $15.4 billion extravaganza have intensified as more athletes test positive for Covid-19. The event is also deeply unpopular with Japanese citizens and many public health experts, who fear a superspreader event. And there will be no spectators in the stands.

“The Olympics are already damaged goods,” said Jules Boykoff, a former Olympic soccer player and an expert in sports politics at Pacific University. “If this situation in Japan goes south fast, then we could see some whipsaw changes in the way that deals are cut and the willingness of multinational companies to get involved.”

blow to the Games on Monday when it said it had abandoned its plans to run Olympics-themed television commercials in Japan.

In the United States, marketing plans are mostly moving ahead.

For NBCUniversal, which has paid billions of dollars for the exclusive rights to broadcast the Olympics in the United States through 2032, the event is a crucial source of revenue. There are more than 140 sponsors for NBC’s coverage on television, on its year-old streaming platform Peacock and online, an increase over the 100 that signed on for the 2016 Summer Games in Rio de Janeiro.

“Not being there with an audience of this size and scale for some of our blue-chip advertisers is not an option,” said Jeremy Carey, the managing director of the sports marketing agency Optimum Sports.

Michelob Ultra commercial, the sprinting star Usain Bolt points joggers toward a bar. Procter & Gamble’s campaign highlights good deeds by athletes and their parents. Sue Bird, a basketball star, promotes the fitness equipment maker Tonal in a spot debuting Friday.

campaign featuring profiles of Olympic athletes.

“We do think people will continue to tune in, even without fans, as they did for all kinds of other sports,” Mr. Brandt said. “It’s going to be a diminishing factor in terms of the excitement, but we also hope that the Olympics are a bit of a unifier at a time when the country can seem to be so divided every day.”

NBCUniversal said it had exceeded the $1.2 billion in U.S. ad revenue it garnered for the 2016 Games in Rio and had sold all of its advertising slots for Friday’s opening ceremony, adding that it was still offering space during the rest of the Games. Buyers estimate that the price for a 30-second prime-time commercial exceeds $1 million.

Television has attracted the bulk of the ad spending, but the amount brought in by digital and streaming ads is on the rise, according to Kantar. Several forecasts predict that TV ratings for the Olympics will lag the Games in Rio and London, while the streaming audience will grow sharply.

NBCUniversal said that during the so-called upfront negotiation sessions this year, when ad buyers reserve spots with media companies, Peacock had received $500 million in commitments for the coming year.

“You won’t find a single legacy media company out there that is not pushing their streaming capabilities for their biggest events,” Mr. Carey, the Optimum Sports executive, said. “That’s the future of where this business is going.”

United Airlines, a sponsor of Team U.S.A., scrapped its original ad campaign, one that promoted flights from the United States to Tokyo. Its new effort, featuring the gymnast Simon Biles and the surfer Kolohe Andino, encourages a broader return to air travel.

showcasing skateboarders. “People are quite fragile at the moment. Advertisers don’t want to be too saccharine or too clever but are trying to find that right tone.”

Many companies advertising during the Games are running campaigns that they had to redesign from scratch after the Olympics were postponed last year.

“We planned it twice,” said Mr. Carey of Optimum Sports. “Think about how much the world has changed in that one year, and think about how much each of our brands have changed what they want to be out there saying or doing or sponsoring. So we crumpled it up, and we started over again.”

FIFA World Cup in Qatar in late 2022 and the Beijing Winter Olympics in February, both of which have put the advertising industry in a difficult position because of China’s and Qatar’s poor records on human rights.

First, though, ad executives just want the Tokyo Games to proceed without incident.

“We’ve been dealing with these Covid updates every day since last March,” said Kevin Collins, an executive at the ad-buying and media intelligence firm Magna. “I’m looking forward to them starting.”

View Source

>>> Don’t Miss Today’s BEST Amazon Deals! <<<<

How a Megadeal Reunited CNN’s Jeff Zucker With a Powerful Old Friend

All agreed that Mr. Zaslav’s takeover raised the odds that Mr. Zucker would stay put, perhaps in an expanded role that encompasses more of Discovery and Warner’s combined news and sports assets. Discovery, for instance, owns Eurosport, a European network with broadcast rights to the Olympics and major tournaments in tennis and golf.

“They were a formidable team when they were together at NBC,” said Jeff Gaspin, a former chairman of entertainment at NBCUniversal who has worked closely with both men. “They’ll make a formidable team at Warner if Jeff chooses to stay.”

The two men started at NBC in the late 1980s. They trained under Jack Welch, the chairman of General Electric, which controlled the media company, and ascended during NBC’s “Must See TV” golden age in the 1990s.

“It was a time that we would look at each other, and we believed that anything was possible,” Mr. Zaslav once said, reflecting on their salad days at NBC. Mr. Zucker eventually became chief executive; Mr. Zaslav left to run Discovery in 2007.

Prickly and blunt, Mr. Zucker is not known for befriending other executives who could become rivals down the road. But he has said he and Mr. Zaslav grew closer after they left NBC. Only a handful of guests were invited to Mr. Zucker’s intimate 50th birthday party in 2015 at a hotel in Lower Manhattan; Mr. Zaslav and his wife, Pam, made the cut.

In 2019, when Mr. Zaslav presented a career achievement award to Mr. Zucker at a starry luncheon in Midtown Manhattan, he called the CNN president “one of the greatest media leaders of all time.”

Inside CNN, the reaction to this week’s merger announcement has been happiness and relief. Mr. Zucker’s loyalists were uneasy about the prospect of his departure, and rumors flew that AT&T, facing a giant debt burden, would consider selling the highly profitable news network, perhaps leaving it in the hands of an owner less than committed to its journalistic mission.

View Source

How AT&T Got Here, and What’s Next.

AT&T is painting a rosy picture for the future of its media business, which it will spin off and merge with Discovery. That new streaming giant is a formidable stand-alone competitor to Netflix and Disney. The move leaves AT&T to focus on its telecom business, which looks less bright after being overshadowed by its expensive — and ultimately futile — deal-making binge in media and entertainment under its previous chief, Randall Stephenson.

The DealBook newsletter explains how AT&T got here, in three key deals:

  • A $39 billion bid to buy T-Mobile. After regulatory pushback, in 2011 AT&T walked away from an effort to become the country’s largest wireless company. T-Mobile paired up instead with Sprint, and the two went on to buy huge amounts of spectrum in the high-stakes battle for 5G, leaving AT&T behind as it lobbies regulators to step in. The failed deal hit AT&T with a $3 billion dollar breakup fee, at the time the largest ever.

  • The $67 billion acquisition of DirectTV. In 2015, AT&T bet on cable TV as a way to amass customers whom it could eventually convert to streaming. But DirectTV bled subscribers as customers cut the cord, and AT&T unloaded a stake in the company last year to TPG that valued DirectTV at about a third of its acquisition price. The deal also cost AT&T about $50 million in advisory fees, according to Refinitiv.

  • The $85 billion acquisition of Time Warner. In 2018, Stephenson called the deal a “perfect match,” but the combined group struggled to invest in its telecom business while also spending enough to compete with the entertainment specialists at Netflix and Disney. Three years later, AT&T is now spinning off the company so it can (re)focus on its quest for 5G market share. AT&T paid $94 million in advisory fees to put the two companies together and an estimated $61 million to split them apart.

buy another independent studio, MGM.

In a sign of the pressure that players face to spend big to bulk up, shares in Comcast, the telecom company that owns NBCUniversal, fell 5.5 percent on Monday.

View Source

AT&T’s WarnerMedia Group to Merge With Discovery

It’s as if Logan Roy, the fictional patriarch of the Waystar Royco media empire on HBO’s popular series “Succession,” masterminded the deal himself: AT&T has thrown in the towel on its media business and decided to spin it off into a new company that will merge with Discovery Inc.

The transaction will combine HBO, Warner Bros. studios, CNN, TNT, TBS and several other cable networks with a host of reality-based cable channels from Discovery such as Oprah Winfrey’s OWN, HGTV, the Food Network and Animal Planet.

But it raises numerous questions about what that will mean for popular shows and streaming platforms, whether entertainment bills will go up or down, or what will happen to the people working at WarnerMedia and Discovery.

WarnerMedia is known for producing some of the industry’s biggest theatrical and television hits.

HBO last year captured more Emmys than any other network, studio or platform, and its hit shows include “Succession,” “Curb Your Enthusiasm” and “Last Week Tonight With John Oliver.” It also has a huge library that includes “The Sopranos,” “Game of Thrones” and “Sex and the City.”

Netflix, the industry leader, has over 200 million subscribers, and everyone else is far behind.

Both WarnerMedia and Discovery have invested heavily in streaming. WarnerMedia has spent billions building HBO Max, which together with the HBO cable network has about 44 million customers. Discovery has 15 million global streaming subscribers, most of them for its Discovery+ app.

The companies plan to invest more in both services to get those numbers much higher. David Zaslav, the chief executive of Discovery, who will run the new business, said on Monday that he envisioned hundreds of millions of subscribers around the world, but that will be tough as Netflix and Disney invest in new shows of their own to keep a grip on the market.

Jason Kilar, who was hired to run AT&T’s media group only last year, is most likely on his way out. He was kept in the dark about the deal until a few days ago, and he has hired a legal team to negotiate his departure, according to two people briefed on the matter.

But it could mean the elevation of other executives within WarnerMedia. On Monday, Mr. Zaslav praised Toby Emmerich, the head of the film division, Casey Bloys, who runs HBO, and Jeff Zucker, the leader of CNN. Mr. Zucker and Mr. Zaslav are also longtime golfing buddies.

When asked about his plan for the management team, Mr. Zaslav said he would not favor Discovery executives.

“Philosophically, our view is we don’t know better,” he said. “There’s a reason WarnerMedia is where it is today.”

The companies expect the deal to be finalized in the middle of next year, and they anticipate annual cost savings of $3 billion. That usually means layoffs are coming.

WarnerMedia already went through several rounds of deep staff cuts after AT&T’s purchase of the company in 2018 as Mr. Stankey, who led the unit for a time, slimmed down the operations. Executives and managers were let go as he combined HBO, Warner Bros., CNN and the other cable networks under a single management team.

When Mr. Kilar came aboard last year, he cut further. Over 2,000 employees were laid off in the process.

To realize $3 billion in cost savings will inevitably mean more layoffs — at both WarnerMedia and Discovery. Mr. Zaslav said there was “a treasure trove of talent” at WarnerMedia, and emphasized the fact that Discovery doesn’t make scripted shows.

View Source