NASCAR signs new $7.7B TV deal
NASCAR finished off its next round of TV deals Wednesday and was able to score a 40% increase in its rights fees by adding more media partners.
Why it matters: The deal is another sign that leagues are slicing up their rights to more partners than ever as a way to increase their total payout.
Details: The deal's value is $7.7 billion over seven years, according to multiple reports.
- While that is lower than the $8.2 billion NASCAR will get from its current deal with NBC and Fox, that deal — expiring next year — was for 10 years. On a per-year basis, NASCAR will get $1.1 billion under its new agreements, which run from 2025-2031.
- Fox and NBC will televise fewer races under the new deal, each going from 19 to 14, while Warner Bros. Discovery and Amazon will each carry five races.
- In July, NASCAR signed a deal with The CW for its Xfinity series, which features up-and-coming racers trying to make it into the cup series.
By the numbers: The country's top motorsport will air races on as many as eight TV and streaming platforms when the new deals kick in.
- Leagues are trying to follow viewers who are migrating to streaming services without making those fans so frustrated that they skip the games altogether.
- "Our goal was to secure long-term stability with an optimized mix of distribution platforms and innovative partners that would allow us to grow the sport while delivering our product to fans wherever they are," said NASCAR president Steve Phelps in a statement.
Be smart: With NASCAR's rights deals done, all eyes in the sports media world are firmly on the NBA, which is in the middle of negotiations for its next TV deal.
- As with NASCAR, the NBA is widely expected to add new media partners, including at least one streaming service.
- The league is looking to triple the $2.6 billion it's currently getting from Disney and Warner Bros. Discovery.