MLB to Disappear from Terrestrial Radio?
Monday, June 19, 2006 at 9:43 AM
With local television stations carrying only 23% of MLB games now - with a total of seven major-legue teams being exclusive on cable - some feel that the same result is inevitable for radio. Edison Media Research's President Larry Rosin said to the WSJ, "it is probably inevitable that baseball radio broadcasts will go to a 100% subscription model... It will happen because there's too much money in it not to do it."
That could spell real good news for XM Satellite Radio as they will hold the exclusive rights to all major-league baseball games for over-the-air broadcasts. The MLB's own online subsription Internet radio, MLB Radio, will undoubtedly benefit as well.
And since revenue between XM Radio and MLB Radio is split evenly among the 30 teams, there's an added financial driver to make this happen. With already 23% of XM subscribers signing on primarily to hear the MLB, the revenue driven (and shared) due to exclusivity would make dropping terrestrial radio the inevitable future.
[Wall Street Journal (subscription req'd) via Inside Radio]
With local television stations carrying only 23% of MLB games now - with a total of seven major-legue teams being exclusive on cable - some feel that the same result is inevitable for radio. Edison Media Research's President Larry Rosin said to the WSJ, "it is probably inevitable that baseball radio broadcasts will go to a 100% subscription model... It will happen because there's too much money in it not to do it."
That could spell real good news for XM Satellite Radio as they will hold the exclusive rights to all major-league baseball games for over-the-air broadcasts. The MLB's own online subsription Internet radio, MLB Radio, will undoubtedly benefit as well.
And since revenue between XM Radio and MLB Radio is split evenly among the 30 teams, there's an added financial driver to make this happen. With already 23% of XM subscribers signing on primarily to hear the MLB, the revenue driven (and shared) due to exclusivity would make dropping terrestrial radio the inevitable future.
[Wall Street Journal (subscription req'd) via Inside Radio]



