Murdoch Says ‘YES’ to the Yankees: Why the Deal Could Help FOX Take On ESPN

Time Business ^ | 11/26/12 | Sam Gustin

[raccoonradio]

...News Corp., the giant media conglomerate run by billionaire mogul Rupert Murdoch, has made sports a key component of the company’s portfolio. But this deal, which values YES at a whopping $3 billion, takes the company’s sports position to a new level, for three reasons.

First, News Corp., which also owns cable news leader Fox News Channel, Hollywood stalwart 20th Century Fox, and 20 regional sports networks, gains a nearly 50% stake in YES, the country’s most valuable regional sports network. Second, the deal puts the media giant firmly in bed (so to speak) with the New York Yankees, arguably the most valuable professional sports franchise in the world. Third, and perhaps most importantly, the deal significantly bolsters News Corp.’s strategic negotiating position as it lays the groundwork for a new national sports network to compete with cable sports leader ESPN.

...Earlier this year, Bloomberg reported that News Corp. was working to acquire the programming rights from pay-TV carriers and sports teams that will be crucial to the viability of a national Fox sports network, which is reportedly being developed under the working name Fox Sports 1.

[raccoonradio]

>>as it lays the groundwork for a new national sports network to compete with cable sports leader ESPN.

Sports is big business on TV and radio. This news —Murdoch/News Corp poises to get even richer—is sure to enrage the libs (and yeah, as a Red Sox fan, I’m not happy Rupert is in cahoots with the pinstripers). News Corp can command a high price-per-cable subscriber with this upcoming all sports TV network. You have ESPN and its various sister channels;
NBC Sports (formerly Versus), etc. And now a NATIONAL
Fox Sports?

On radio, there is ESPN and ESPN Deportes in many markets.
Four other huge radio sports networks exist:

—CBS Sports Network in cahoots with Cumulus
—Yahoo!Sports (formerly Sporting News)
—NBC Sports in cahoots with Dial Global
—Fox Sports, syndicated by Clear Channel

“We are! Fox Sports!” goes the chant (inspired by “We are! Penn State”?)

Liberals are in a tizzy as more and more of their few
stations switch, often to SPORTS:

KPOJ Portland OR—now Fox Sports. It’s owned by Clear
Channel (see above). On the KPOJ facebook there are many angry “progressives” claiming “the airwaves belong to the people”. No, stations pay for licenses and facilities and
will run what makes them money. Prog talk = sucky ratings.
There were some sports fans on there too, praising it
(and some at the station itself quoting the We are! Fox Sports! tagline)

KPTK Seattle changed call letters to KFNQ (as in The Fan)
and will probably take on the new CBS Sports network (it’s
owned by CBS)

Any Clear Channel station that goes Sports gets accused by liberals of being in the command of Mitt Romney/Bain Capital.

Anyway, sports is big big money and the Big Fox is
getting bigger.

[ConservativeStatement]

During the summer, I tuned into a Boston sports station for a brief moment. I usually liken sports talk radio as the male version of The View. Run for the hills! I heard a guy say he was a lifelong Red Sox fan but rooted against this year's team because “they stink” (what a true fan!) and that “I used to rearrange my schedule when Pedro (must be friends, first-name basis) pitched but now I don't care.” But you are right, that has become big money because of people like that caller.

[Sporke]

I despise ESPN. They have done more than any other entity to ruin every sport they touch. Sports has turned ghetto, and I’m not impressed.