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Dodger Blue > Featured > Report: MLB ‘Bracing For Reduction’ On New ESPN TV Rights Contract
FeaturedRumors

Report: MLB ‘Bracing For Reduction’ On New ESPN TV Rights Contract

Matt Borelli
January 31, 2021
4 Min Read
MLB commissioner Rob Manfred during an interview with Karl Ravech before the 2019 MLB All-Star Game at Progressive Field
Charles LeClaire/USA TODAY Sports
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The coronavirus (COVID-19) pandemic led to massive reported financial losses for Major League Baseball during the 2020 season, largely due to the absence of revenue typically generated from fans attending games.

However, the league was able to recoup some of that through lucrative TV rights contracts. It was the primary reason why MLB implemented an expanded postseason, as they recognized the more games televised meant bigger payouts.

Prior to the playoffs, MLB and Turner Sports agreed to a new media deal worth roughly $535 million per year through 2028. The agreement coincided with an extension Fox Sports signed in November 2018.

With the scheduled start of Spring Training on the horizon, MLB is now on the verge of striking a new TV rights contract with ESPN. However, unlike their previous two deals, this one will come with a pay reduction, per Ken Rosenthal of The Athletic:

The league, after negotiating significant increases in its most recent contracts with Fox Sports and Turner, is bracing for a reduction on a deal it is nearing with ESPN, according to sources with knowledge of the situation.

MLB’s previous deal with ESPN was an eight-year, $5.6 billion contract worth $700 million per year. The agreement under discussion would be for seven years and approximately $3.85 billion, reducing the average annual value to about $550 million per year, sources said.

ESPN re-negotiated the terms with MLB after decreasing the number of non-exclusive games it will carry by more than half. The network, however, will continue broadcasting the Home Run Derby, Sunday Night Baseball and an undecided amount of postseason games.

Last year ESPN televised seven of the eight series in the Wild Card round. It was a new addition as part of an expanded postseason that saw 16 teams participate instead of the usual 10.

Manfred pleased with expanded postseason

MLB commissioner Rob Manfred felt the expanded postseason was an overall success, but admitted he will look to improve it going forward. For the most part, however, it generally received mixed reviews across the league.

Los Angeles Dodgers ace Clayton Kershaw was among the players not in favor of the new format, believing it only added to the unpredictability of October.

“At the end of the day, with this playoff format, one through eight, it doesn’t matter what seed you are; you play three games against somebody,” he said prior to the Dodgers’ National League Wild Card Round matchup against the Milwaukee Brewers.

“I don’t particularly like it, especially when you have a good team. It doesn’t really give us any advantage at all. But at the end of the day, it is a big build to the postseason and we’re getting ready for that.”

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ByMatt Borelli
Matt Borelli covers the Los Angeles Dodgers as a staff writer for Dodger Blue and holds similar responsibilities for Lakers Nation, a sister site with an emphasis on the Los Angeles Lakers. He also contributes to RamsNewswire.com and RaidersNewswire.com. An avid fantasy sports player, Matt is a former 2014 MLB Beat the Streak co-champion. His favorite Dodgers moment, among a list of many, is Clayton Kershaw's no-hitter against the Colorado Rockies in 2014. Follow him on Twitter: @mcborelli.
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