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Thread: SEC kool aid

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    SEC kool aid

    Someone in SEC land is drinking the kool aid. This author is claiming that the SEC will eventually add a VA and NC team. With all the cable subscriptions from the markets they will have, their SEC network will bring in $83 mllion/team/yr in addition to their projected $27 mil from tier 1 and part of tier 2. That is $110 million/team/yr.

    Free tuition for all students as long as you promise to be an SEC fan for life!

    Here would be my question: If the B10 network currently brings in only $7 million/team/yr and the biggest cash cow of Texas brings in $15 million/team/yr on a network they don't have to share, how in the world are you getting $83 million/team/yr for an SEC network?

    At one point, he claims that if Mizzou and A&M were to start a network, just those two would create a network that would generate $57 million/team/yr just for themselves.

    Virginia Tech Fans Have SEC Fever : Outkick The Coverage



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    Re: SEC kool aid

    Sounds like 1am "bar math" to me :biglaugh"



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    Re: SEC kool aid

    ESPN gets $4-5 per month per subscriber. No way an SEC network gets $3 per month ($83 mllion/team/yr).




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    Re: SEC kool aid

    Quote Originally Posted by ISUAgronomist View Post
    ESPN gets $4-5 per month per subscriber. No way an SEC network gets $3 per month ($83 mllion/team/yr).
    I think I heard once the B10 network charges like $1/subscriber if you're in B10 country. I don't know if that's right or not.

    It sure would seem odd if a SEC network could make more than a B10 network. I'd think there would be a lot more homes in B10 country than SEC country.



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    Re: SEC kool aid

    Lucrative Big Ten Network could be driving force for expansion - NCAA Football - CBSSports.com News, Scores, Stats, Schedule and BCS Rankings

    Cable television analyst Mike Reynolds of Multichannel News estimated that the Big Ten is getting a subscription fee of 70 cents per month per subscriber within that eight-state Big Ten region. Outside of that area, he says, the fee drops to 10 cents.
    SEC network is probably worth $1 per subscriber in their region IMO.




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    Re: SEC kool aid

    Quote Originally Posted by cyman05 View Post
    I think I heard once the B10 network charges like $1/subscriber if you're in B10 country. I don't know if that's right or not.

    It sure would seem odd if a SEC network could make more than a B10 network. I'd think there would be a lot more homes in B10 country than SEC country.
    Plus he seems to confuse "revenue" with "profit". If SEC owns part/all of the network, it also shoulders productions costs. In other words, Big Ten Network's revenue is much higher than its actual dispersal to each school, because they have to pay for 49% of the cost to produce/run the network.



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    Re: SEC kool aid

    Quote Originally Posted by cyman05 View Post
    Someone in SEC land is drinking the kool aid. This author is claiming that the SEC will eventually add a VA and NC team. With all the cable subscriptions from the markets they will have, their SEC network will bring in $83 mllion/team/yr in addition to their projected $27 mil from tier 1 and part of tier 2. That is $110 million/team/yr.

    Free tuition for all students as long as you promise to be an SEC fan for life!

    Here would be my question: If the B10 network currently brings in only $7 million/team/yr and the biggest cash cow of Texas brings in $15 million/team/yr on a network they don't have to share, how in the world are you getting $83 million/team/yr for an SEC network?

    At one point, he claims that if Mizzou and A&M were to start a network, just those two would create a network that would generate $57 million/team/yr just for themselves.

    Virginia Tech Fans Have SEC Fever : Outkick The Coverage
    Seems a bit over the top. The SEC has a solid product but to think that the Big XII is close to signing a deal that would be worth a total of 2.6 billion dollars over 13 years and the SEC is going to create their own network that would make enough money to disperse 1.5 billion dollars per year amongst it's members? I want what this guy is smoking.... it must be great.



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    Re: SEC kool aid

    He is using the $83M number as a projection for 15 years from now. Who knows what things will be like in 15 years, in 1997 no one could have foreseen the deals that conferences are signing now.

    But if SEC Network is at $83M per school in 15 years, BTN/PTN will be similar.



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    Re: SEC kool aid

    Quote Originally Posted by ICHawk24 View Post
    He is using the $83M number as a projection for 15 years from now. Who knows what things will be like in 15 years, in 1997 no one could have foreseen the deals that conferences are signing now.

    But if SEC Network is at $83M per school in 15 years, BTN/PTN will be similar.
    I would think the BTN would be worth MORE than an SEC network. The BTN is currently available in 22 of the top 25 media markets. The SEC doesn't even come close to matching the TV markets of the Big 10, PAC 12, Big 12 or even the ACC. The SEC makes their TV money by fielding competitive teams and having a deep talent pool in their vicinty for those programs to continually perform at a high level. The SEC deal with CBS as well as their string of BCS championship appearances put them on national TV sets. If the SEC network were to be worth more than the BTN per subscriber, I would guess another round of realignment would kick in with the Big 10 gaining another member in a major market (Maryland or UNC perhaps?)to renegotiate their fees with cable providers.



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    Re: SEC kool aid

    Quote Originally Posted by ICHawk24 View Post
    He is using the $83M number as a projection for 15 years from now. Who knows what things will be like in 15 years, in 1997 no one could have foreseen the deals that conferences are signing now.

    But if SEC Network is at $83M per school in 15 years, BTN/PTN will be similar.
    He is trying to throw a blanket over the total number of cable subscribers in SEC states and then place a per month revenue generated per customer. Then is throwing out numbers like cable subscribers paying $3 per month for the SEC Network when the BTN currently makes .70 per customer and they are lucky to get that much. He is also making the assumption that the SEC Network will be forced onto the basic cable packages of every single customer by every single cable provider in those states which probably won't be the case for that price.

    Basically this is his SEC pipedream which has far too many holes in it to be even close to accurate.


    Last edited by Cyclonestate78; 05-23-2012 at 03:30 PM.

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    Re: SEC kool aid

    Quote Originally Posted by ISUAgronomist View Post
    What is the current exchange rate for opossum hides? 'cuz I'm pretty sure that's the prevailing currency in SEC country.


    "Me not winning isn't important. You do!"

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    Re: SEC kool aid

    Quote Originally Posted by Naughtius View Post
    What is the current exchange rate for opossum hides? 'cuz I'm pretty sure that's the prevailing currency in SEC country.
    I'll let you know this fall when the SEC mouth breathers invade my town.




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    Re: SEC kool aid

    Quote Originally Posted by ISUAgronomist View Post
    I'll let you know this fall when the SEC mouth breathers invade my town.
    This is redundant. Kinda like "hot water heater."


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