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If ever there was a sign of how serious a dilemma big cable is in, this is it. According to the Sporting News, the biggest sports network in the world, ESPN, is about to lay off yet another 50 or so people – and many of them are well known on-air personalities.This comes on the heels of over a hundred others being furloughed earlier this year.
ESPN is the granddaddy of all North American sports nets, and was a powerhouse in the industry. But as consumers (especially younger ones) cut the cord, the Connecticut-based titan finds itself increasingly in troubling shape, stuck in a self-fulfilling prophecy of doom. They’re forced to keep paying ever-escalating ridiculous rights rates that never go down. That forces cable subscriptions in the U.S. to soar and more people to leave their satellite dishes and cable connections behind.
I remember a time when the experts warned that viewers would have to pay to watch all the big championship games. The Super Bowl and the World Series aren’t there yet. Neither is the NBA. But many non-final playoff games that used to be on free TV are now only available on cable and it’s only a matter of time before the leagues find they can’t get the big bucks from the ailing networks anymore. And then they may offer it themselves over the net to whoever wants to pay.
It used to be that sports rights were seen as the only bulletproof shield from cord cutting. No longer. And I can only wonder what the major league sports and cable worlds will look like 25 years from now. Or maybe even a decade or less.
One thing’s for sure – it may not be game over, but the rules of those games may be about to change in a big way.
ESPN set for another round of massive layoffs before year’s end
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Dig deeper. Affordability is not the only reason people have stopped watching ESPN.