No End In Sight To Escalating Sports Rights: Financial Analysts

In this economic ecosystem, competition means higher prices. That's the world of sports rights, which financial analysts -- David Bank, managing director, Globe Media and Internet Research, David Joyce, media industry analyst, Miller Tabak and Craig Moffett, senior vice president and senior Analyst, US Telecommunications, Cable and Satellite Broadcasting, Sanford Bernstein -- expatiated upon during a panel at the Sports Business Journal-Sports Business Daily's Sports Media & Technology 2011 conference.

During "A View from Wall Street, The State of Media Rights," the trio discussed some of the dynamics surrounding how the nation's economic doldrums are compromising consumers' ability to pay their bills, including their monthly video fees, yet the price for the games/sports some love to watch continues to spiral upward. To that end, one of the key takeaways emanated from what Bank called deltas between the national economy, the advertising economy and TV economy. "National television is still the healthiest part of the advertising economy, and sports is even more healthy. You don't get fired for buying that," said Bank, who pointed to broadcasters gaining retransmission-consent and reverse affiliation revenue as other streams helping to secure sports rights. Moffett, however, believes the upticks can't be sustained for much longer.