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Is Skipper Losing Control At ESPN?

Jason Barrett

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It was just two paragraphs, and they were buried at the bottom of a Bloomberg Business story in early May about Disney’s soaring profits. The headline – “Disney Profit Tops Estimates on Theme Parks, ‘Frozen’ Toys” – wasn’t one that would prompt sports fans or media members to read the story. But these two paragraphs prompted a significant internal memo at ESPN that will have lasting effects:

Rising costs ate into earnings at the company’s largest division, media networks, which includes ESPN, the Disney Channel and ABC. While sales rose 13 percent to $5.81 billion, operating income dropped 2 percent.

Disney blamed higher programming and production costs at ESPN, which pays billions for rights to air live sporting events. Profit jumped 90 percent at ABC, thanks to higher affiliates fees and advertising revenue.

Timing is everything, even at billion dollar companies. Soon after, an internal memo went out to cabinet level higher-ups at ESPN, detailing how salaries for talent are impacting the rising production costs. Of course, numerous other factors were at play, including ESPN’s expensive new deal with NBA (which will soon be driving up costs from an estimated $430 million to over $1 billion a year), increasingly traveling SportsCenter, and so on.

But who are we kidding here – ESPN prints money.

Yet, three days after this earnings report, ESPN President John Skipper announced that Bill Simmons would not be re-signed. Skipper would later say it “did not come down to money,” but you know what H.L. Mencken says about that. In addition to the money, there’s the whole Goodell-is-a-liar comment, and a subsequent one about testicular fortitude, and more than a handful of Skipper’s lieutenants had been in his ear about Simmons for years.

It seems that elsewhere in 2015, anytime ESPN could save some money on personnel, it jumped at the opportunity.

Bob Knight and Lou Holtz – who were both near retirement anyway – departed. A SportsCenter host who attempted to almost double his salary during contract talks was shown the door. Mark Schlereth’s overall deal got cut – some of that was him wanting to dial back his duties — as he left his ESPN radio show. Jason Whitlock was removed as the boss of the website he was hired to run, The Undefeated. Whitlock’s move wasn’t a cost-cutting move, but it was described this way in a press release: “we have collectively decided to make some structural adjustments that will maximize the skill sets and strengths of our team.”

This week, another cost-cutting move went down: A month after ESPN announced that the network’s flagship radio show, Mike & Mike, was moving from Bristol to New York City, they had to walk that back. It’s not happening, ESPN announced today. What you won’t see in that press release: There is financial pressure from Disney to cut costs.

And there are potentially larger moves on the horizon that may save the company money. Keith Olbermann, who returned to ESPN in 2013 amid much fanfare, is in the middle of his contract talks. Though he may stay, there is a sense that with 2016 being a political year, Olbermann could return to cable and dive back into politics.

Then there’s Nate Silver’s 538 website. He also joined ESPN in 2013 during Skipper’s hiring binge in an effort to collect talent ahead of Fox Sports 1’s arrival. 538 has been all over the place and lost its managing editor in late 2014, before recently hiring another. Two of the website’s most-cited posts are about Burritos and Fast Flights.

As such, a lot of people are asking what will become of Nate Silver now that Bill Simmons and Jason Whitlock have been removed from the top of their ESPN verticals. One popular answer: Silver departs before the election year begins, and 538 is rolled into ESPN.com or perhaps shuttered altogether. Or, perhaps they could do something like they did with Whitlock, and remove him from the responsibilities of running his own publication, so he can focus on maximizing the value of his own content at the time in the news cycle where it’s most relevant.

What does all this movement mean?

It’s probably a combination of things – talent doesn’t really matter as much as it used to at a time when ESPN is tripling down on SportsCenter; in hindsight, Skipper made a few panicked moves in 2013 as FS1 was getting ready to launch, borne out of fear of the unknown; and finally, perhaps there is dissension among the ranks in Bristol between their vision and that of Skipper, a notorious risk-taker.

The most popular theory among ESPN’ers: ESPN President John Skipper is not in control. He’s in a vulnerable spot.

Credit to The Big Lead who originally published this article

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John Skipper ‘Expects’ NBA To Have More Than 2 Partners in New TV Deal

“They’re gonna end up with more partners than they have now…with somewhere between two or three times the money they have now.”

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Former ESPN President and current Meadowlark Media CEO John Skipper thinks the NBA will go the NFL route and have more than two broadcast partners for their upcoming media rights deal.

During an episode of the Sporting Class podcast, John Skipper and cohorts David Samson and Pablo Torre discussed the upcoming NBA media rights deal, under the guise of Dallas Mavericks governor Mark Cuban selling the team, and how it could play out for teams moving forward. When it came to the total valuation of the NBA’s upcoming rights deal, Skipper was bullish on the NBA’s future.

“They’re gonna end up with more partners than they have now,” Skipper said, “they’re gonna end up with, in my opinion, with somewhere between two or three times the money they have now,” before host Pablo Torre added some additional color, stating “Because of broadcast partners in television and also the tech companies.”

The NBA has famously featured one or two broadcast partners for most of its lifespan. CBS held NBA broadcasting rights from the mid-70s until the 1989-90 season, then lost the rights to NBC from 1990 until 2002, with interspersing of cable broadcast holders like USA Network, ESPN, and Turner between there.

In 2002, the NBA shifted to a more rigid version of its two-partner system, where ABC and ESPN would split games with Turner Broadcasting. The league extended its agreement with both networks multiple times, which will finally come to a head in 2024.

For the first time, the NBA could look to expand across multiple channels, similar to how the NFL handles business, where multiple broadcast partners will air games on either certain days of the week or certain holidays. While Turner could be planning for life without the NBA, both Amazon and NBC are planning an aggressive pursuit of NBA rights during the next media rights negotiation.

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Kirk Herbstreit: Pat McAfee Has ‘Changed My Experience’ on College GameDay

“You’ve changed the approach, the energy, not just on this set, but like the week. I’m having a blast.”

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Kirk Herbstreit and Pat McAfee

While many detractors say otherwise, Kirk Herbstreit is crediting Pat McAfee for positive changes in the way he and the team approach College GameDay.

During an appearance on The Pat McAfee Show, McAfee jokingly discussed leaving College GameDay due to “mean” college football fans ruining his fun and positive life. “I don’t want the negativity in my life, I don’t want the death threats,” McAfee said. Herbstreit, however, had no time for McAfee and threw the gauntlet down. “If you dare even think about leaving College GameDay,” Herbstreit said, “I’m leaving with you.” McAfee then responded with the famous line from Talladega Nights — “don’t you put that on me!”

Within the jest, however, Herbstreit lets us peek back behind the curtain to how he and the rest of the College GameDay team feel about McAfee. “You’ve changed my experience,” Herbstreit said. “You’ve changed the approach, the energy, not just on this set, but like the week. I’m having a blast…It’s like being on a team where you have a great energy. If you dare leave…” Fortunately, by the end of the segment, McAfee was back on board and admitted this would be his life for the foreseeable future.

Some pundits have felt that McAfee’s appearance on GameDay hasn’t helped grow the program, despite them confirming Herbstreit’s remarks on McAfee’s personality. Former ESPNer Dan Le Batard said on his show, “He is effusive, he is such a positive person. He is effusive in his praise for the people on that set. But now the numbers are coming back, and this is something that McAfee couldn’t have expected.”

While the ratings numbers for GameDay are higher than they’ve ever been (something Herbstreit and McAfee made sure to mention in their discussion,) they’re still under attack from FOX’s Big Noon Kickoff, who have scored some major ratings wins over this past season. According to FOX, before the Nov. 25 game between Ohio State and Michigan, Big Noon Kickoff averaged 2.34 million viewers and hit a record 4.36 million viewers from 11 a.m. ET until kickoff. This made Big Noon Kickoff the most-watched college football pregame show on television for the weekend. The recent losses have some feeling like College GameDay has lost its way.

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Al Michaels Questions If Bill Belichick Has TV Future

“Does he go into television? How about this? They put him in the booth with Kevin Burkhardt and Tom Brady next year on FOX.”

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Amidst a dismal season for the New England Patriots, one legendary sports broadcaster thinks Bill Belichick could leave coaching to join him in the world of announcing.

During last night’s Thursday Night Football broadcast between the New England Patriots and Pittsburgh Steelers, Al Michaels made a passing comment about Belichick’s status as Pats head coach moving forward — but it could have massive reverberations throughout two industries.

“Does he go into television?” Michaels said while speculating Belichick’s future with co-host Kirk Herbstreit. “How crazy that sounds, but he won an Emmy [for NFL Network’s NFL 100 All-Time Team series] with Cris Collinsworth and Rich Eisen. How about this? If he goes into television, they put him in the booth with Kevin Burkhardt and Tom Brady next year on FOX.”

Belichick and Brady teaming up once more doesn’t seem too far-fetched, especially considering their past successes together. Former Patriots wide receiver Julian Edelman and tight end Rob Gronkowski also prowl FOX’s airwaves, which could allow the former Patriots to dominate sports media in a way not seen since ’80s and ’90s-era Dallas Cowboys did in years past.

Unlike Brady, who is a relative newcomer to sports broadcasting, Belichick has precedent with sports TV in the past. Outside of the NFL’s Top 100 All-Time Team. Belichick served as a guest analyst for ABC’s Super Bowl XL pre-game show breaking down the action between the Steelers and the Seattle Seahawks. Belichick was praised for his work on that broadcast, despite his prior reputation as a bit of a grump. Belichick also featured heavily and was likewise praised for his appearance in ESPN’s The Two Bills, a 30 for 30 starring Belichick and Bill Parcells.

What could the future hold for Belichick? As Herbstreit says during the broadcast, “The only guy who knows is Bill Belichick.”

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