The National Hockey League has signed a 10-year agreement with NBC and Versus reportedly worth about US$200 million per year to continue as its U.S. broadcasters.
NHL commissioner Gary Bettman and NBC Sports boss Dick Ebersol jointly announced the deal this afternoon.
Bettman said it was “the most significant media deal that this league has ever been able to participate in.”
While numbers weren’t confirmed, the deal should easily top the $120 million reportedly paid by ESPN from 1999 to 2004. Versus currently pays about $75 million per year while NBC pays no rights fees but has a revenue sharing arrangement with the NHL. “Our wonderful run of not paying anything for a number of years is over with this deal,” joked Ebersol.
ESPN, FoxSports and Turner Broadcasting also showed interest in NHL rights. Some sports media experts have suggested the NHL needed an ESPN deal to get the exposure needed to really breakthrough in the U.S. Bettman said he has “enormous respect” for ESPN, but the league finds the opportunities with the new NBC Universal Comcast “extremely exciting” and that hockey fans “obviously knew how to find NBC.”
Comcast just completed the acquisition of NBC Universal in January. Sports properties have become an increasingly valuable proposition for broadcasters looking for content that is attractive to consumers who won’t be able to use their PVRs to skip commercials during live events.
Ebersol said that “based on this incredible deal” with the NHL, NBC would be renaming Versus within 90 days; speculation has the channel becoming an NBC branded channel dedicated to sports.
The deal will also appeal to Madison Avernue and advertisers, said Ebersol, because it includes digital and streaming rights, national broadcast rights and what he described as “significant exclusivities” for regular season and more importantly playoff games.
Citing one of his competitors for the broadcast package, Ebersol said the NHL playoffs has “the most attractive young male demo in the world.”
Versus averaged 353,00 viewers for games, up 19% from last season.
In Canada, both CBC and TSN have NHL rights deals that expire in 2014.
