The Dark Side Of Booming Local TV Deals
Bud Selig has been giddy watching baseball teams attract bigger and bigger local television deals. More local TV revenue to a team means more money for the league to spread via revenue sharing and greater competitive balance. And Bug Selig sure loves competitive balance. On a recent visit to PNC Park, Major League Baseball’s commissioner told Pittsburgh Pirates broadcasters that he got “goosebumps” watching the Reds and Pirates square off in last year’s postseason.
But big local TV contracts aren’t all Skittles and puppies. Certainly not for fans who are forced to pay higher and higher cable and satellite TV bills to watch their home team. Nor for cable and satellite TV customers who don’t care about baseball but have to pay the higher prices as part of their bundled programming.
It turns out that big local TV contracts aren’t always good news for teams either. That has turned Selig’s mood quite sour.