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frolie0 t1_j1kznfq wrote

Is the author of this article an actual idiot? Google won't come anywhere near breaking even at these numbers, you can't just count the existing fee for YouTube TV towards the $2 billion in new expenses. They need about 6.5 million subscribers at $300/year to break even for just the rights. They'll pour about couple hundred million into the tech and broadcast too, so add that on. Sure, there's value from increasing YouTube TV subs, but every sun increases costs from the content that comes along with it.

Google is very unlikely to turn a profit on this directly and using it as a way to bring in more viewers in general is likely the play. Rumor has it that DirecTV was losing about $500 million/year with their cost of $1 billion/year, so Google has a big hill to climb. Making it more accessible and not requiring DirecTV could be a great start though.

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contextswitch t1_j1lqvn5 wrote

I think you're probably missing all the ad revenue that they can make it they just broadcast it for free. For example Thursday night football is available for free on twitch.

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frolie0 t1_j1lrk4l wrote

That's not how this works. They are rebroadcasting FOX and CBS games, there's no ad revenue to be had. Amazon is actually producing their own game, but Google will never do that under this package.

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Neither-Biscotti-931 t1_j1m1ou0 wrote

Correct. I had the same thoughts as you. I’ll wait and see, but I don’t understand what the king game on this is.

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