For years, ‘no one really cares about hockey’ has been a frequent sentiment. But apparently plenty of people care, enough to garner the sport more than half-a-billion dollars in their next media rights deal.
In 2011, NBC signed a 10-year contract worth $200 million annually for the NHL’s TV rights package. Now that ESPN reentered the fold, announcing a seven-year deal with the NHL last week, the league’s media rights fees are expected to triple. This coming off a global pandemic where ratings deteriorated last summer.
Although financial terms were not disclosed, The New York Times reported Disney will pay the NHL around $400 million annually over the course of their seven-year partnership. That deal nets ESPN 25 games per year on linear TV, half the playoffs, four Stanley Cup finals and a significant streaming element.
ESPN’s partial partnership still leaves room for another network to purchase a rights package and according to Dan Cohen, SVP of Octagon’s Global Media Rights Consulting division, it could earn the NHL more than $600 million annually in total.
This was part of the NHL’s plan as NBC’s current contract sets to expire. After previously selling their national TV package exclusively to one network, the league sought to split their broadcast rights this time around to maximize profits. NBC remains the leader to pair with ESPN as the NHL’s TV rightsholder and after paying $200 million for an exclusive deal in 2011, Cohen suggests between $185 million and $225 million for a partial package.
While NBC’s most recent deal with the NHL was agreed to in 2011, the network has been the league’s broadcast partner since 2005, when Comcast purchased their rights for $70 million per year. Despite SBJ recently reporting a deal renewal between the NHL and NBC is “not a slam dunk,” it would seem mutually beneficial to continue a partnership that has so far been deemed a success for both sides.