There appears to be a growing revenue gap that threatens to widen the divide — not between the haves and have nots, but between the haves and haves. Jon Wilner lays it out:
Fiscal year 2015 school distributions (all figures confirmed):
SEC: $32.7 million
Big Ten: $32.4 million
Pac-12: $25.1 million
Fiscal year 2016 school distributions
SEC: $40 million (confirmed)
Big Ten: $35 million (approximate)
Pac-12: $27 million (approximate)
That looks bad … that is bad … but it’s about to get much worse for the Pac-12.
Remember: The Big Ten’s new Tier 1 deal begins in 2017-18, and it’s also a whopper, averaging $440 million per year.
Which brings us to …
Fiscal year 2017-18 school distributions …
Big Ten: $45 million (estimate)
SEC: $43 million (estimate)
Pac-12: $31 million (estimate)
Yeah, I can see how that would be perceived as a problem. And the problem isn’t exclusive to the Pac-12; it extends similarly to the ACC and Big 12.
All of which has led to some understandable back patting.
Props to Jim Delany for riding the television spending tidal wave like a Los Angeles weed dealer with a surfing hobby. The B1G is in prime position to loot the jewels from the Big 12’s vault whenever that ponzi scheme collapses.
However, it might be worth considering the possibility of more than one ponzi scheme out there.
Walt Disney Co.’s struggles with ESPN took center stage again Tuesday as the entertainment giant blamed falling viewership and advertising for lower sales and profit.
Revenue at the Burbank, California-based company shrank 3 percent to $14.8 billion in the first quarter ended Dec. 31, Disney said Tuesday in a statement. That missed the $15.3 billion average of analysts’ estimates compiled by Bloomberg.
A decline in profit at ESPN, which had fewer college bowl games and lower viewership, dragged down results in cable TV — which is by far Disney’s largest business. With the highest subscriber rates in pay TV, Disney’s sports network is especially at risk of losing revenue as cable audiences cancel subscriptions for online services or sign up for so-called skinny bundles that don’t play up sports programming.
Disney also blamed higher programming costs at ESPN…
Oh, I’m sure it’ll work out. Delany and Sankey aren’t considered geniuses for nothing, right?