By Phillip Swann
The TV Answer Man –Follow on Facebook & X.
Former editor of 4 TV magazines. Author of TV Dot Com.
Diamond Sports, the owner of the Bally Sports regional sports networks, yesterday announced that Amazon has agreed to invest in the company as part of its bankruptcy organization plan. The news has prompted numerous questions from readers so it’s a good time to play, ‘You Have Questions, We Have Answers!’
Is the Amazon-Diamond Sports Deal Done?
No. The bankruptcy court must approve the agreement although the two parties have agreed. (Diamond Sports, which declared bankruptcy in March 2023, is trying to reorganize as a profitable company. The RSN venture has lost revenue due to declining cable and satellite revenues caused by cord cutting.) The court is likely to approve the deal, however, as part of Diamond Sports’ new reorganization plan. The RSN company says most creditors are on board. It’s unclear when the court will finalize the plan but likely sooner than later.
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Will Amazon Stream the Bally Sports Channels?
That’s the plan. The ecommerce giant has big ambitions when it comes to live sports and it wants to add the Bally Sports nets to its lineup of Thursday Night Football and New York Yankees games in the Yankees market.
Will Diamond Sports Still Offer Bally Sports Plus?
The $19.99 a month online service offers streams of the NBA and NHL teams carried by the Bally Sports channels as well as five MLB teams. It’s unclear if Diamond Sports will keep Bally Sports Plus alive long-term. Amazon might see it as competition for its Prime Video offering.
Will Amazon Include Bally Sports For Free With Prime Membership?
Again, no details yet. But that’s highly unlikely. Amazon will want to generate revenue to offset its investment in Diamond Sports. The likely scenario is that Amazon will offer Bally Sports in each team’s market for roughly what Bally Sports Plus now charges.
Will Amazon Provide Bally Sports During the 2023/24 Seasons?
No details on this, either. But it’s conceivable that Amazon could begin selling Bally Sports before the current NBA and NHL seasons end.
Does the NBA, NHL and MLB Support the Amazon Deal?
We are getting few, if any, comments from the leagues regarding the deal which appears to have caught them by surprise. MLB says it was working on a new agreement with Diamond Sports for the 2024 season and will now have to reassess how Amazon’s entry might change everything. The odds are good, though, that the NBA and NHL will be pleased with Amazon as a partner while MLB might be another story. MLB Commissioner Rob Manfred has repeatedly suggested the league is ready to take over the streaming rights for its teams. The question now becomes does MLB still want to do that if Diamond Sports is properly financed?
As part of the Diamond Sports restructuring plan, Sinclair has agreed to pay $495 million to Diamond Sports to settle a lawsuit over whether the broadcaster saddled with the RSN company with undue debt when the company was formed last spring. In addition, Diamond Sports says its creditors will provide financing to help operate the business.
Will Diamond Sports Continue to Carry All Teams?
This is another uncertainty. The NBA and NHL teams might be secure, but the company has offered hints that it could jettison a few MLB teams, most likely the Guardians and Rangers. There is certainly plenty for Diamond Sports and MLB to discuss now.
Will Pay TV Services Still Carry Bally Sports?
Yes, it’s highly unlikely that Amazon would offer it as an exclusive.. Diamond Sports will need all the carriage revenue it can get,
Will Diamond Sports Continue Beyond the 2024 Seasons?
Before Amazon, the answer appeared to be no. But Amazon isn’t investing to be part of a company that will exit in less than a year. Diamond Sports clearly wants to stay in business indefinitely. The company has already signaled that it wants to reverse tentative agreements with the leagues that would have terminated their TV rights after the 2024 seasons.
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The TV Answer Man is veteran journalist Phillip Swann who has covered the TV technology scene for more than three decades. He will report on the latest news and answer your questions regarding new devices and services that are changing the way you watch television. See the bio for Phillip Swann here.
