Acquiring Sports Rights: Beyond Advertising Revenue

Sports Media with Richard Deitsch · December 23, 2025 · Listen to Original Episode →

Original Title:

TL;DR

Acquiring sports rights involves a sophisticated, multi-metric analysis beyond advertising revenue, incorporating distribution models, affiliate benefits, displacement costs, competitive positioning, and sponsorship opportunities.
Sports rights remain valuable because they deliver the widest possible audience for advertisers and are crucial for media companies to grow their businesses, justifying continued investment.
Sunday Night Football's value extends beyond viewership to promoting other programming, bundling opportunities for advertisers, and attracting top production talent, demonstrating its strategic importance.
The Premier League's success in the U.S. is attributed to its broad appeal across diverse demographics and NBC Sports' commitment to elevating the league, fostering franchise value growth.
Women's volleyball is an underappreciated sport with significant growth potential due to its compelling play, athleticism, and enthusiastic fan base, particularly at the collegiate level.
Rugby's potential in the U.S. is hindered by leadership making "unforced errors," such as poor scheduling choices that conflict with major existing sports events.
Entering the sports business requires early internships, networking, embracing discomfort, and understanding sales fundamentals, as demonstrated by a career progression from sales to programming.

Deep Dive

Jon Miller, President of Acquisitions and Partnerships at NBC Sports, outlines the complex, multi-metric approach to securing major sports rights in an evolving media landscape. His role involves identifying and negotiating for valuable sports properties, which are increasingly critical for driving viewership, promoting other company assets, and maintaining the overall media bundle's health, even when individual deals may not be immediately profitable.

The persistent strength of Tier I sports rights, despite predictions of a market correction, is driven by their unparalleled ability to deliver large, engaged audiences that advertisers and streamers cannot replicate elsewhere. Miller emphasizes that these rights are not just about advertising revenue; they serve crucial strategic functions, such as promoting other NBCUniversal content, retaining subscribers for cable and streaming platforms, and attracting top creative talent due to their marquee nature. This strategic value explains why entities like Sunday Night Football, the number one show on television for over a decade, are essential for NBC, providing a consistent promotional platform and a powerful tool for packaging advertising across the network.

Miller's tenure has seen him instrumental in acquiring and nurturing significant properties. His personal relationship with Michael Jordan was key to bringing the basketball legend in as a special contributor for NBC's NBA coverage, highlighting how personal connections can facilitate high-profile partnerships. Furthermore, his early advocacy for the Premier League, recognizing its growing popularity among younger demographics, was pivotal in securing those rights for NBC Sports, transforming the network's sports offerings and demonstrating an ability to identify and capitalize on emerging trends. This strategic foresight extends to identifying undervalued sports, such as women's volleyball, which he believes has significant growth potential due to its athleticism and enthusiastic fanbase, contrasting with sports like rugby, which he argues has struggled to gain traction in the U.S. due to unforced errors in strategic planning and scheduling.

The implications of Miller's work extend to the future of sports broadcasting. NBC's long-term commitment to the Olympics through 2036, secured due to their demonstrated stewardship of the property and its integration across all Comcast NBCUniversal platforms, underscores the enduring value of major global events. The strategy of live streaming every Olympic event on Peacock, coupled with compelling storytelling, ensures continued audience engagement even as traditional viewing habits evolve. Similarly, the expansion of NBC's Sunday night programming to include the NBA and MLB, applying the same production and storytelling expertise honed with the NFL, positions NBC Sports as a year-round destination for fans and a powerful partner for leagues. The increasing interest from tech giants and streamers in acquiring sports rights presents both competition and validation of the sports media model, but Miller maintains that established media companies like NBC, with their broad distribution and promotional capabilities, remain vital partners for leagues seeking sustained growth and audience reach.

Action Items

Audit media rights acquisition: Evaluate 3-5 recent deals for diversified revenue streams beyond advertising (e.g., distribution, sponsorship, activation).
Create partnership framework: Define 3-5 key metrics for evaluating league and property partnerships, focusing on long-term business growth and franchise value enhancement.
Analyze undervalued sports: Identify 2-3 sports properties with high growth potential but currently underappreciated, assessing their structural barriers to broader adoption.
Develop contingency plan: Outline potential responses to increased competition from streaming services for major sports rights, focusing on NBC Sports' unique value proposition.

Key Quotes

"My current job of acquisitions and partnerships is evaluating opportunities that come to N.B.C. and, you know, making a recommendation and then sitting with Rick Cordella, who's our, our president and C.E.O. of sports, as well as the leadership of, of N.B.C. Universal, you know, Matt Strauss, my Kavanaugh, etcetera, and deciding whether or not we want to go after and acquire a property."

Jon Miller explains that his role involves assessing potential sports properties for NBC and then collaborating with senior leadership to decide whether to pursue and acquire them. This process includes negotiating the terms and structure of any resulting deals.

"Our business has changed so dramatically since I first got into the business. When I first got into the sports business in the mid-80s and got into the programming world, the mid-to-late 80s, so really only the metrics that were involved were, could you sell enough advertising time to cover your rights fee cost and your production, and if you could find a way to make that model work, then you made an investment."

Jon Miller highlights how the financial metrics for evaluating sports media rights have evolved significantly since the 1980s. Previously, the primary consideration was whether advertising revenue could cover the costs of rights fees and production, but now a more complex set of factors is involved.

"Sports works because it really does deliver and it is, it is become the only property and the only industry that advertisers, marketers can count on to get the widest possible audience and to grow their businesses."

Jon Miller asserts that sports rights have maintained their value because they consistently deliver large audiences, making them essential for advertisers and marketers seeking to expand their reach and business. This enduring appeal explains why sports media rights have not significantly declined in value.

"We've gotten to know each other over the years and I, when we got the NBA, I reached out and and said I want to talk to you about an idea that we have. It was not going to involve him going to Stanford or going on the road, but I feel and, you know, a lot of us feel that he is the single most important voice in the game and not just the game of basketball, but just in sports in general."

Jon Miller describes how his long-standing relationship with Michael Jordan facilitated an approach to bring him into NBC's NBA coverage. Miller believed Jordan's unique perspective and influence made him an invaluable voice for the sport, leading to the creation of a special contributor role.

"It touches every part of our company. Every part of our company, and we do it as well as it's ever been done. No disrespect to the guys who had it before us, but I, I would tell you having been around a long time and and watched the effort and the work that goes into it from Gary Zenkel and his leadership on the business side of it and then the relationship side with the IOC and the USOC to Molly Solomon and the way she produces every, every single Olympic event."

Jon Miller emphasizes the pervasive impact of the Olympics across NBCUniversal, from business and production to affiliate relations and streaming. He credits the dedicated efforts of various teams and individuals for the company's successful execution of Olympic coverage.

"I think that's a sport that's got some real upside and and some real opportunity. I think women's sports in general is is making some real inroads. Obviously the WNBA, which we were involved with back when they started in 1997... I think it's, I think that women's basketball is is here to stay."

Jon Miller identifies women's volleyball as an underappreciated sport with significant growth potential, citing its compelling gameplay and enthusiastic fan base. He also broadly supports the increasing prominence of women's sports, including the WNBA, indicating a positive outlook for their future in the media landscape.

Resources

External Resources

Books

"The Athletic" - Mentioned in relation to subscriber commentary on Premier League games opening the season in the U.S.

Articles & Papers

"Times of London story" - Mentioned as indicating Netflix might be interested in the Premier League.

People

Jon Miller - President, Acquisitions & Partnership for NBC Sports.
Richard Deitsch - Host of the Sports Media Podcast.
Michael Jordan - Special contributor on NBC's NBA coverage.
Greg Hughes - Chief PR head at NBC.
Jack Felling - Mentioned in relation to discussions with Michael Jordan.
Rick Cordella - President and CEO of Sports at NBC Sports.
Matt Strauss - Leadership at NBC Universal.
Kavanaugh - Leadership at NBC Universal.
Mike Tarico - Broadcaster, involved in discussions with Michael Jordan.
Gary Zenkel - Leadership on the business side of the Olympics for NBC Sports.
Molly Solomon - Leadership in producing Olympic events for NBC Sports.
Amy Rosenfeld - Mentioned in relation to Olympic event production.
Joe Jashu - Mentioned in relation to Olympic event production.
Thomas Bach - Led the charge of extending the Olympic partnership.
Dick Ebersol - Initiated the storytelling approach to covering the Olympics at NBC in 1989.
Richard Scudamore - Former CEO of the Premier League, described as creative and decent.
Robbie Miller - Jon Miller's younger son, a Premier League soccer fan.
Mark Lazarus - Jon Miller's former boss at NBC Sports.
Steve Burke - Former President of NBC.
Adam Silver - Commissioner of the NBA.
Roger Gadell - Commissioner of the NFL.
Rob Manfred - Commissioner of Major League Baseball.
Gary Bettman - Commissioner of the NHL.
Jimmy Traina - Guest on the podcast discussing end-of-year topics.
Harvey Araton - Former New York Times columnist, author of a children's book.
Patrick Antonetti - Producer of the Sports Media Podcast.

Organizations & Institutions

NBC Sports - Content provider for major sports media.
NBC Universal - Parent company of NBC Sports.
Comcast - Parent company of NBC Universal.
IOC (International Olympic Committee) - Governing body for the Olympic Games.
USOC (United States Olympic Committee) - Governing body for the U.S. Olympic team.
Premier League - Professional soccer league.
NFL (National Football League) - Professional American football league.
NBA (National Basketball Association) - Professional basketball league.
WNBA (Women's National Basketball Association) - Professional women's basketball league.
Major League Baseball (MLB) - Professional baseball league.
PGA (Professional Golfers' Association) - Professional golf organization.
NASCAR - Stock car racing organization.
IOC (International Olympic Committee) - Governing body for the Olympic Games.
USOC (United States Olympic Committee) - Governing body for the U.S. Olympic team.
Fox Soccer - Former broadcaster of Premier League rights.
BBC America - Mentioned as a past broadcaster of Premier League games.
ESPN - Mentioned as a past broadcaster of Premier League games.
World Rugby - Governing body for rugby.
The Athletic - Publication mentioned in relation to subscriber commentary.
Times of London - Publication mentioned regarding Netflix's potential interest in the Premier League.
Amazon Prime - Mentioned for fast, free shipping during the holidays.
Netflix - Mentioned as a potential interested party in Premier League rights.
YouTube - Mentioned as a company potentially interested in sports rights.
Prime Video - Stated as being involved in sports.
Audacy Inc. - Mentioned in relation to listener data and privacy practices.

Websites & Online Resources

Peacock - Streaming service important for future Olympics.
FanDuel.com/sportsfan - Website to download the app and bet on the NFL live.
Sportsbook.fanduel.com - Website for FanDuel terms and conditions.
californiapsychics.com - Website for California Psychics.
Amazon.com/prime - Website to shop for last-minute gifts.
Apple Podcasts - Platform to subscribe to the podcast.
Spotify - Platform to subscribe to the podcast.

Other Resources

Sunday Night Football - Number one show on television for the past 14 seasons.
NHL Winter Classic - Event for which John Miller was the television executive responsible.
Ryder Cup - Golf tournament that Michael Jordan is a fan of.
Olympics - Major sporting event broadcast by NBC through 2036.
Premier League Summer Series - Event held every other year in the U.S.
Women's World Cup - Event Netflix recently joined.
Women's Volleyball - Sport considered underappreciated with real upside and opportunity.
Women's Sports - Making real inroads.
Women's Basketball - Here to stay.
Rugby - Global sport that has not broken through in the U.S.
Rugby World Cup - Scheduled to be held in the U.S. in 2031.
Sevens Rugby - A format of rugby played in the Olympics.
AI (Artificial Intelligence) - Being used in production for NBA coverage and graphics.
Creator Economy - Mentioned in relation to selling oneself.