While the elevated fee structure has always introduced a degree of friction in distribution talks, the decline of linear viewership as well as cord-cutting in recent years have undercut the original business proposition of RSNs. Established in the 1990s and 2000s when pay-TV subscriber numbers were climbing, the RSN business model features hefty fees paid by distributors, which had historically been able to reap advertising rewards from high local tune-in for games. Like its rivals in the streaming pay-TV sector, Fubo had long pushed back on Sinclair’s aggressive terms for the former Fox-branded RSNs, which the company acquired for $10.6 billion in an auction prompted by the Disney-Fox deal. Two-Thirds Of Peacock Subscribers Have Watched A Recent Universal Theatrical Movie On The Service, NBCUniversal Says
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