If you had told us exactly a year ago that the NFL would sell its exclusive rights to stream one of its playoff games, it would have been very hard to believe — impossible even. However, a few months later, this is exactly what happened after NBCUniversal acquired exclusive streaming rights to broadcast a postseason game on Peacock. The deal wasn’t cheap either, as the streaming giant’s wallet took a whopping $110 million hit.
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This deal had its share of critics as well since football fans felt that they didn’t need to pay extra money to watch the game — at the same time — experts felt that this deal would come back to bite NBC in the you know what. But if that were to be the case, Amazon wouldn’t go on to pay even more than NBC this year.
According to recent reports, Amazon Prime Video is paying $150 million to stream a playoff game exclusively this year, a 36% increase from last year’s deal. Front Office Sports initially reported that Amazon was paying $120 million for this deal; however, CNBC’s Alex Sherman revealed that his source has tipped him off that it’s actually close to $150 million. So the question remains: Is the NFL embracing streaming?
Amazon is paying $150 million for an exclusive streaming-only NFL playoff game next year, per @sherman4949.
That’s a 36% increase from the $110 million Peacock paid for its game in January.
The NFL just keeps getting stronger.pic.twitter.com/fUccVCPQH1
— Joe Pompliano (@JoePompliano) February 22, 2024
As it turns out, Peacock’s $110 million investment didn’t turn sour. The $6-per-month streaming service saw a 2.8 million jump in new subscribers ahead of the Chiefs vs. Dolphins bout at Arrowhead. According to MarketWatch, this was the biggest subscriber jump in the past few years, even outperforming the Super Bowls and the FIFA World Cup, which was being broadcast on more than a few platforms.
The outlet also reports that Peacock would have made a profit of $17 million if the new subscribers canceled their subscriptions after just one month. It definitely wasn’t the case, so it’s safe to assume that they raked in the moolah. There’s another thing to consider: Since Peacock is vying to become the Olympic destination in 2024, the NFL deal could also be part of their strategy to attract a broader audience to the event. One bird, two stones?
NFL Fans Aren’t Happy With the Amazon Deal
Setting aside the numbers, it’s worth mentioning that Joe Pompliano‘s post attracted quite a few angry football fans. While some were stunned by the staggering amount, others didn’t pull any punches while throwing shades at the league. Let’s take a look:
Consumers CAN NOT stand these exclusive deals. It’s 2024 – there’s zero reason why we shouldn’t be able to pay for one service and watch all of our teams games.
— Ernie Morris (@ernmorris) February 22, 2024
For that kind of money they probably get to decide the winner.
— T_Cares_Inc (@T_cares222) February 22, 2024
This is horrible for the consumer
— Chuck (@BeardownETH) February 22, 2024
I bet the viewship is higher than 36% on Prime versus Peacock.
— Brandon Michael Clark (@runthatBMC) February 22, 2024
Do business with a league that’s face is Mahomes amongst many others
— Dan Orlovsky (@danorlovsky7) February 22, 2024
It’s definitely worth considering that streaming might just be the future in the sports world. Data already suggests that the streaming market is expected to reach $75.5 billion by the year 2027 — more than $25 million in just five years. People are also moving from cable networks to subscriber-based platforms, so no one can stop top streaming giants from competing for their share.
