Episode 79: Peacock’s NFL Gamble; Why Sports Streaming Doesn’t Work Financially; A WBD and Paramount Merger Isn’t Practical

Podcast episode 79 is live. This week, I reviewed Peacock’s exclusive NFL game stream with some users having a poor quality video experience and detailed why I think Peacock’s strategy failed with their ad-free fourth quarter. I also break down the viewership numbers reported by NBC Sports and highlight how sports is a costly and unproven part of Peacock’s subscriber acquisition strategy, with no ability to scale sports content globally.

I discuss, with numbers, why the rumors of Warner Bros. Discovery buying Paramount would not make sense from a financial standpoint since the deal would likely be a stock-for-stock deal, with the combined companies having about $60 billion in debt. I also detail how, from a regulatory standpoint, it would involve merging two of the five remaining major movie studios and two major television studios, creating a very high concentration of linear network ownership, including a significant consolidation of major sports rights.

Finally, I highlight what changes I would like to see in the streaming media industry in 2024, including better innovation in the pricing and packaging of streaming content and more professionalism from those within the industry.