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The NFL Network: You're Kidding, Right? Exclusive to STR December 12, 2007 Apparently
the NFL isn’t making enough money. That’s
the only thing that could explain the latest scheme launched from the
fertile minds that run the league. What
am I talking about? Why, the
NFL Network, of course. This
is a “premium” channel, run by the league, which carries NFL content
24/7. Wait.
I know what you’re thinking.
What about the full-time sports network, ESPN?
Apparently that’s not good enough.
What about Fox Sports and its contract to cover the NFC?
Apparently that’s not lucrative enough.
What about CBS and its contract to cover the AFC?
Apparently that’s still not ringing the cash registers loudly
enough. What about NBC and its
new contract to carry Sunday Night Football, with Bob Costas, Cris
Collinsworth, and a veritable cast of thousands?
Nope, apparently that still comes up short in the NFL’s eyes. The
league not only wants to have its own cable network, it wants to be paid
$0.80 per cable subscriber. That
amount – according to a recent USAToday piece – would make the NFL
Network the 5th most expensive cable channel out of the over
150 that currently exist. However,
here’s the real “kicker” – pardon the pun – the NFL wants cable
suppliers to package the NFL network in their normal offerings. That
is to say, they don’t want NFL
Network offered as yet another premium channel where the individual
subscriber can opt to receive it for an additional cost, much like HBO, or
Showtime. No, the NFL wants
cable providers to embed the NFL Network in the “standard” or
“enhanced” offerings to all
subscribers, in effect digging into the cable providers’ profit margin.
Of course, that cost will simply be passed down to the subscriber
– all of the subscribers at a given level of service – if NFL’s plan
gets adopted by cable companies. Why
would an advocate of freedom care? I
care because the NFL’s preferred option amounts to TV socialism, plain
and simple. It’s not like
the NFL is new to this territory, though.
This is virtually the same economic model NFL franchise owners use
when they get municipalities to pay for new stadiums.
All the inhabitants of a region pay for a venue that enriches a
scant few and entertains a minority. Nice
racket. Let
me be very clear on one other point. I
feel no love for cable suppliers. They
are the direct beneficiaries of poorly-planned and fundamentally-flawed
regulation that creates a market where only one or two companies provides
a service used, if not needed,
by virtually everyone in a geographical region.
Cable suppliers are sucking the government teat like a greedy pig
just back from a vigorous romp in the mud.
It is only because of the State that so few cable companies exist. Make
no mistake about that. This
caveat aside, I don’t mind the proliferation of pay TV channels.
Given ala carte set-up
for premium channels, the viewer is free to buy or not.
If the NFL wants to form a network and sell it, I’m cool with
that too. Hell, I love
professional football. (Don’t
let this get out, but I’ve been commissioner of my own fantasy football
league for three years, and have no plans of stopping.)
Given the chance, I might even subscribe to the NFL Network as one
of my premium channels. After
all, I can watch any football
team playing any opponent on any night of the week. Conclusion That
personal failing publicly admitted, I’ll just be damned before I sit on
the sidelines and not point it out when these already rich folks attempt
to scam everyone in a region
just so they can make even more money.
That’s nerve. I’ll
give the leaders of the NFL one thing:
They aren’t easily embarrassed.
Having a product for which you are paid a king’s ransom can do
that to you, I reckon. To use another bit of NFL terminology, trying to abscond with cash from almost every cable subscriber in a region for a product that interests only a portion of them is piling on. Given the way things work, I doubt anyone will throw a penalty flag, though.
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