Sunday Updates: Sports Rights From The Other Side (Issue #7)
Recent Update:
Liberty Media Formula One (NASDAQ: FWONK — $29.34 billion) This is one of the few places where you can invest on the sport rights landlord side instead of the tenant side. For the past couple years Disney has been leasing US Formula One (F1) broadcasting rights from Liberty at $5 million per year. The use their ESPN channels to distribute the content.
Liberty is now looking for someone to lease the rights starting in 2023. Disney has already bid $70 million per year, but Liberty is now seeking $100 million per year. NBC Universal, Netflix, and Amazon are also said to be in the running for the rights.
This is also an important time to realize that F1 has reserved their OTT rights, meaning they are the only ones who can produce F1 on a streaming service. They are only selling the TV rights to these bidders. For the OTT rights Liberty uses F1 TV Pro which is an $80 a year subscription to watch races live or recorded as well as highlights and other content with journalists and drivers.
Liberty also has some other interesting holdings like the Braves Baseball team, a drone racing league, a portion of Clear (TSA Pre-Check on steroids), and much more.
Since Liberty is a John Malone company it is much more of a value play compared to other streaming companies.
Content News:
Netflix has been considering buying Roku (if you’re curious why this is important check out this post)
HotStar (Owned by Disney) has said it is not interested in bidding for the Indian Premier League Cricket Rights
Jerry & Marge Go Large will be on Paramount+ on June 17
Tweets Of The Week:
This man clearly doesn’t understand that’s where the best ARPU is:
Until Next Time,
Soren