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When the Big XII left overs merge with the AAC...
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<blockquote data-quote="michaelwalkerbr" data-source="post: 131739509" data-attributes="member: 1601483"><p>Think investment long as well as short term if you are going to go the business route. Among the investments of ESPN are the SEC and the ACC. They are two very different entities but both important. </p><p></p><p>The SEC is their immediate cash cow due to the SECN being well established and a handful of teams drawing high viewership and ratings. They will only add teams that will generate substantial viewership and ratings. You do not cut a pie into more slices without increasing the size of the pie. Those large payouts have to be well more than covered by the income the broadcasts generate to give ESPN a much needed boost in cash flow.</p><p></p><p>The ACC is their long term investment with modest profits now, but potentially high long term growth in returns. The ACCN was started with the conference schools' money, not ESPN's. The network's investment was minimal, but they control the dividends paid out to the schools each year. </p><p></p><p>Due to overlap in the broadcast footprint, the ACCN started out as a tough sell. It is now starting to pick up 'investors'. Dish Network now requires a subscription to ACCN as well as SECN in the conference area. Comcast also recently signed on generating up to 10 million more subscribers. As different entities begin carrying the games in a variety of media, so does income. It's a long term investment. </p><p></p><p>The Big 12 was neither, with limited numbers, a small footprint, and no Big 12 Network. They cashed in that investment. To wrap it up, if you own McDonalds, Burger King. and Wendy's you don't shut down Wendy's to increase the market share of McDonalds, your biggest producer. It's self defeating and while you weren't looking, Chick-Fil-A just passed even McDonalds in market share. Think outside the bun, my friend.</p></blockquote><p></p>
[QUOTE="michaelwalkerbr, post: 131739509, member: 1601483"] Think investment long as well as short term if you are going to go the business route. Among the investments of ESPN are the SEC and the ACC. They are two very different entities but both important. The SEC is their immediate cash cow due to the SECN being well established and a handful of teams drawing high viewership and ratings. They will only add teams that will generate substantial viewership and ratings. You do not cut a pie into more slices without increasing the size of the pie. Those large payouts have to be well more than covered by the income the broadcasts generate to give ESPN a much needed boost in cash flow. The ACC is their long term investment with modest profits now, but potentially high long term growth in returns. The ACCN was started with the conference schools' money, not ESPN's. The network's investment was minimal, but they control the dividends paid out to the schools each year. Due to overlap in the broadcast footprint, the ACCN started out as a tough sell. It is now starting to pick up 'investors'. Dish Network now requires a subscription to ACCN as well as SECN in the conference area. Comcast also recently signed on generating up to 10 million more subscribers. As different entities begin carrying the games in a variety of media, so does income. It's a long term investment. The Big 12 was neither, with limited numbers, a small footprint, and no Big 12 Network. They cashed in that investment. To wrap it up, if you own McDonalds, Burger King. and Wendy's you don't shut down Wendy's to increase the market share of McDonalds, your biggest producer. It's self defeating and while you weren't looking, Chick-Fil-A just passed even McDonalds in market share. Think outside the bun, my friend. [/QUOTE]
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When the Big XII left overs merge with the AAC...
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