(03-23-2017 06:50 PM)DocAllentown Wrote: (03-23-2017 02:18 PM)Frank the Tank Wrote: For your second question, note that ESPN is ALWAYS going to attempt to pay as little as possible.
Attempts are made in negotiations all the time.
ESPN is in a tricky situation with these negotiations though because - since the war chest of the Big East holdovers has run out - lowballing the conference in the next negotiations will make a lowball deal cost prohibitive for many of the programs. The conference would break apart before selling its assets for pennies on the dollar.
The American is fortunate to have a long-time TV exec running things. Television ratings are far from insignificant in this case. The AAC has some unique brands and properties that have established value. A program like Navy has a long history as an independent and they know their worth. The WWL can't tell the story of NCAA WBB without the UConn Women. Those rights aren't going on the bonfire. It's one of those situations where Aresco's constituents need to be satisfied or ESPN will be left trying to draw with FIU vs UTSA.
Like the poster above said, I suspect there will be a deal struck before the contract runs out.
That's what I think. The AAC is not the superfluous property it was when ESPN took a low end flyer on the rights package in 2013. Lets looks at the situation---
1) ESPN just lost 50% of their B1G inventory to FOX. That 25+/- empty P5 game slots they have to fill. The AAC top 20 games have done pretty well---so the AAC is not really just junk filler for ESPN now that they have a big hole in their line up to fill. Additionally, and ACC Network begins in a few years---so they could lose a few games there as well.
2) The issue above causes another problem for CBS-Sports Network. Now that ESPN needs 20-25 extra AAC games---is it going to be as easy for CBS-Sports Network to pick up those extra AAC games? If Im CBS-Sports Network, I'd start looking for a replacement or expect to pay more for that inventory. In fact, If Im CBS-Sports Network, Id be looking to just bid on a game package directly from the AAC to insure I have adequate inventory in the coming years.
3) FOX might like a little AAC football. Its been mentioned numerous time that ESPN doesn't want FOX in the east. So far, they have been relatively successful at doing just that. The FOX east coast college football inventory is quite thin. The AAC with Navy---and big city teams like Orlando, Philly, Hartford/New York--has pulled decent ratings and might be a fairly interesting property--especially since 50% of the AAC would cost less than a 2 team Big12 expansion. FOX could more than double their eastern time zone college football inventory at a very reasonable cost.
4) Given their ratings vs their relatively low price, if ESPN lets the AAC go to the open market, its very likely to field several offers. Its very possible ESPN could either lose a significant portion of the current package or have to pay much more---maybe even both. Its almost a certainty that UConn women's basketball would be pulled--and its pretty likely that the AAAC would simply sell a package of games direct to CBS-Sports Network--meaning ESPN would no longer have those games either.
Meanwhile the AAC is cash starved and would like to financially separate itself from the rest of the G5 with nice raise that put it into sort of a middle tier.
Basically, given what Ive said above, I think the most likely outcome for the cash starved AAC and an ESPN that now NEEDS the AAC inventory--is an early extension that gives the AAC a nice raise, but still keeps the package extremely affordable compared to the P5. This extension would need to lock up the AAC rights for ESPN until at least the end of the new 6 year FOX-B1G deal to make sense for ESPN.
I think we are in a narrow 1 year window where it makes sense for both parties to do do an early extension and both would be equally motivated to do so. As the time left on the current AAC gets shorter, the motivation to sign an early deal gets smaller for the AAC as they would tend maximize their next deal by waiting to get to the open market. The closer they get to the open market, the less motivated they are to accept anything that might not represent what they view as their maximum potential payday.