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    Big 10 Network Revenue - Partial Report

    I'm trying to discover just what the Big Ten Network means in terms of revenue to the Big 10 schools. The attached table is what I've found so far. Please help me fill in the gaps if you know any more data. The difficulty is finding the subscribers limited to Big 10 states, where the fees are maximized. I've based the cable rates in the Big 10 states based on the Comcast agreement. If anyone has a link to better data on these other providers or rates, I'm interested. Note that this is revenue only and does not include expenses. This also does not include advertising revenue, which will be next to impossible to discover. Also note that the per school share of revenue is huge compared to the total revenue from all sources for athletics at Iowa State.



    Last edited by Psyclone; 09-08-2008 at 07:25 PM.

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    Re: Big 10 Network Revenue - Partial Report

    I can add a line:

    Advertising Revenue = $10



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    Re: Big 10 Network Revenue - Partial Report

    Are you sure Comcast and such went for the $0.70 deal? I thought that was what the BTN was asking but I don't know if that's what they got.



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    Re: Big 10 Network Revenue - Partial Report

    Keep in mind that with Comcast, they only inked that deal for one year. It is an evaluation year, after which, they may do with it as they like. I'm guessing that it will end up on the Sports tier in a year.



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    Re: Big 10 Network Revenue - Partial Report

    I take it that your point is that ISU could use the cash influx of a Big XII Network? Remember, that also comes with an initial cash outlay in equipment, and ongoing investment in crew and announcers. It's not pure gravy.



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    Re: Big 10 Network Revenue - Partial Report

    The Big 10 network paid it's schools about 6 million each last year.

    It COULD average paying out around 10.2/year.

    A Big XII network wouldn't provide anywhere near that much, and even if it did, it wouldn't be split evenly like it is in the Big 10.


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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by Aclone View Post
    I take it that your point is that ISU could use the cash influx of a Big XII Network? Remember, that also comes with an initial cash outlay in equipment, and ongoing investment in crew and announcers. It's not pure gravy.
    They don't produce everything themselves. Fox Sports provides the crews, announcers, and equipment and produces the football and men's basketball games under contract with the BTN. It's still an expense for BTN, but they don't have the big initial cost they would have if they had to put together enough crews and equipment to do 4-5 live HD broadcasts every football weekend and basketball night.



    Quote Originally Posted by jumbopackage View Post
    A Big XII network wouldn't provide anywhere near that much, and even if it did, it wouldn't be split evenly like it is in the Big 10.
    It won't provide as much only because of advertising revenue. Big XII states/cities can't match the tv markets of Chicago, Detroit, Indy, Minneapolis, Pittsburgh, Cleveland, etc. It could still provide more than the current crap tv deal. But if it ever comes up and it's a BS rip-off deal like the current TV contract instead of an equal split, Pollard needs to tell them to stick it and get the thing killed.


    Last edited by MontyBurns; 09-08-2008 at 09:30 PM.
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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by MontyBurns View Post
    They don't produce everything themselves. Fox Sports provides the crews, announcers, and equipment and produces the football and men's basketball games under contract with the BTN. It's still an expense for BTN, but they don't have the big initial cost they would have if they had to put together enough crews and equipment to do 4-5 live HD broadcasts every football weekend and basketball night.





    It won't provide as much only because of advertising revenue. Big XII states/cities can't match the tv markets of Chicago, Detroit, Indy, Minneapolis, Pittsburgh, Cleveland, etc. It could still provide more than the current crap tv deal. But if it ever comes up and it's a BS rip-off deal like the current TV contract instead of an equal split, Pollard needs to tell them to stick it and get the thing killed.
    They don't have the leverage that the Big 10 does either due to the relatively small population in Big XII country compared to Big XI country.

    I don't get how our current deal is 'crap'. It's not really a bad deal, it's just not as great as the Big 10 or, now, the SEC.


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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by Clonehomer View Post
    Are you sure Comcast and such went for the $0.70 deal? I thought that was what the BTN was asking but I don't know if that's what they got.
    They were asking $1.10 and settled at $0.70 per the information I have found. I don't know what the other deals settled for, so I just guessed it similar to Comcast for subscribers in the Big 10 states.

    The Comcast deal is for one year only on the basic tier, then they can move to another tier based on penetration levels. I originally heard they could move it to the digital tier, so one might guess that is the only one with a high enough viewership. Plus the digital tier will eventually become "basic" as everybody will want to get the best out of their HDTV.

    By the way, despite what everyone thinks, the Big Ten Network was not the first network of it's kind. The Mountain West Conference was the first to create a network. They are affiliated with CBS. I'm not sure how that is working out for them.



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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by Aclone View Post
    I take it that your point is that ISU could use the cash influx of a Big XII Network?
    The Big 12 would figure out a way to get the bigger schools more money than ISU. A Big 12 Network would be great for ISU since we dont get on TV for football much, but the conference would probaly fine use for being on it too much and give that money to Texas. In BB it would affect the CTN, we have no idea of knowing if a B12N would makeup that lost money.


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    Re: Big 10 Network Revenue - Partial Report

    I had the Mountain West channel when I lived in Colorado Springs, home of the conference...

    There was no comparison to the BTN, but that's not a fair comparison to begin with. The MWC Channel looks more like a glorified student-run campus tv station.

    However, if a Big 12 channel was done well, I am all for it. The BTN is a 24-7 advertisement for each university of the conference. The majority of the commercials are for the Universities also.

    To have a network dedicated to 12 teams, Iowa State will get mentioned more than enough, even if the network would talk about OU and Texas more.

    If athletics is the front porch of a university, a Big 12 Network could put ISU's front porch into homes across the country reaching markets it may not have been able to in the past.

    I've been really enjoying the BTN's series on Illinois... An hour-long program about football, but it includes footage of the players around campus. It helps recruiting for both athletics and for the institutions. Where do I sign up?


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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by MNclone View Post
    Keep in mind that with Comcast, they only inked that deal for one year. It is an evaluation year, after which, they may do with it as they like. I'm guessing that it will end up on the Sports tier in a year.
    As I said in the other post the basic tier agreement is for one year, but there are requirements on where they move it, so they can't do with it as they like unless it meets the requirements which I suspect means number of subscribers to that tier.



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    Re: Big 10 Network Revenue - Partial Report

    Quote Originally Posted by Psyclone View Post
    By the way, despite what everyone thinks, the Big Ten Network was not the first network of it's kind. The Mountain West Conference was the first to create a network. They are affiliated with CBS. I'm not sure how that is working out for them.
    I think the BTN is now available in 70+ million homes (according to BTN Prez), in 13 months of operation. I think that may be some sort of record. It's available to more homes than the NFL Network (31 million). The BTN was available in 30 million homes in its first 30 days, a record for a start up network.

    So while the MTN might have created a network, the B10 has created something that in 13 months is rivalled in sports by only ESPN and the Duece.

    It's a pretty amazing accomplishment..and that 10 million per school per year figure is probably going to happen, which is a big number. I think Iowa's athletic department budget was just north of 60 million last year. That is a huge percentage of covering the budget. I think ISU's budget was 28 million in either 2005 or 2006. It's a huge, huge revenue number.


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