tazinib1 Posted March 8, 2011 Share Posted March 8, 2011 (edited) Couldn't that be offset by increased TV revenues associated with one more week of broadcast? I understand that, overall, they're likely going to likely add 2 games and not make any more money. But that's because they're going to make a smaller cut of the profits regardless. I thought I explained that rather clearly. Let's just pretend that the new deal is 50% rather than 60%. Then, they add 2 games and that results in a larger pie to split. Say $10.5 billion instead of $9. (And for the sake of simplicity, we're going to forget the bit the owners get to shave off the top before the split). So, before the deal, they were getting 60% of $9 billion which is 5.4 billion and afterward they're getting half of 10.5 or 5.25. Oh no! They're making less money but working 2 more games! Right, but the change in revenue split is going to happen regardless. So, what you really need to compare is the new % of 16 games worth of revenue vs the new % of 18 games worth of revenue. So, the real difference is 4.5 billion vs 5.25. And by what I have been reading, they are just under $1 billion off in negotiations. Edited March 8, 2011 by tazinib1 Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.