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Disney tells ESPN to cut $100 million from budget next year.

ill see if i can find the link, but about 95% of espn's costs are from paying for live sports rights, not sure how they can cut costs much when they continue to pay crazy money for live rights.

That's really interesting if true. I'd also love to know what they're budget is. I can't imagine they could succeed as a talk show network. In the DVR era sports are about the last appointment TV we have left.

They've been cutting high price talent the last few months but that can't be more than $15 million or so.

And for the BTN questions... This has zero impact today. There are still plenty of players to bid it up for one more contract. Who knows where this goes in another 10-15 years though but I'm optimistic I'll be able to get my cable bill under $100!
 
That's really interesting if true. I'd also love to know what they're budget is. I can't imagine they could succeed as a talk show network. In the DVR era sports are about the last appointment TV we have left.

They've been cutting high price talent the last few months but that can't be more than $15 million or so.

And for the BTN questions... This has zero impact today. There are still plenty of players to bid it up for one more contract. Who knows where this goes in another 10-15 years though but I'm optimistic I'll be able to get my cable bill under $100!

I cant find the exact article but according to this link, ESPN will earn about $4.5 billion in operating income on $11.9 billion of revenue in 2015. So roughly 7.5 billion in expenses.

http://www.ibloomberg.net/the-harsh-reality-show-for-espn-heard-on-the-street/

This link says that at an absolute minimum it would appear that ESPN presently pays out nearly $6 billion a year to sports leagues just in rights fees.

http://www.foxsports.com/college-fo.../is-espn-a-giant-bubble-about-to-burst-071215

So at least 6 of 7.5 billion is rights fees, that obviously way less than 95%, but 80% is a lot and that 6 billion number is likely much higher.
 
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Mike and Mike won't be getting a new studio. Some more names are likely to go. And they'll be making the live calls on some games from the studio rather than sending a team to the game.
 
Mike and Mike won't be getting a new studio. Some more names are likely to go. And they'll be making the live calls on some games from the studio rather than sending a team to the game.
Plus Mike and Mike will have a cut to their bobble head budget.
 
Start with ESPN News.....do we really need 30 minutes of sports news on a 24 hour loop?

They will need to start killing off some of their spin-off channels. They went way overboard on several.

espn8.png
 
Maybe fine Neil Everett every time he has a horrible catch phrase. Second would be to cut Desmond Howard's teeth-whitening budget.
 
I cant find the exact article but according to this link, ESPN will earn about $4.5 billion in operating income on $11.9 billion of revenue in 2015. So roughly 7.5 billion in expenses.

http://www.ibloomberg.net/the-harsh-reality-show-for-espn-heard-on-the-street/

This link says that at an absolute minimum it would appear that ESPN presently pays out nearly $6 billion a year to sports leagues just in rights fees.

http://www.foxsports.com/college-fo.../is-espn-a-giant-bubble-about-to-burst-071215

So at least 6 of 7.5 billion is rights fees, that obviously way less than 95%, but 80% is a lot and that 6 billion number is likely much higher.
I cant find the exact article but according to this link, ESPN will earn about $4.5 billion in operating income on $11.9 billion of revenue in 2015. So roughly 7.5 billion in expenses.

http://www.ibloomberg.net/the-harsh-reality-show-for-espn-heard-on-the-street/

This link says that at an absolute minimum it would appear that ESPN presently pays out nearly $6 billion a year to sports leagues just in rights fees.

http://www.foxsports.com/college-fo.../is-espn-a-giant-bubble-about-to-burst-071215

So at least 6 of 7.5 billion is rights fees, that obviously way less than 95%, but 80% is a lot and that 6 billion number is likely much higher.

That makes me wonder if the $100 million excludes rights fees.... This is a pretty minor piece of a $7.5 billion budget.
 
I read recently that ESPN signed former Hawkeye DB Matt Bowen away from the NFL network. ESPN has done a lot of cutting (as well as not renewing contracts) of several reporters and analysts over the last few months. IMO they could drop loudmouth know it all Steven A. Smith immediately. Also, not a big fan of Lebatard.
 
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