Indeed, ESPN will have to be disciplined when it comes to managing costs. While many of its sports rights deals are already negotiated, its NBA contract is set to expire after the 2015-2016 season. And it faces an increase in costs as new deals for “Monday Night Football,” Major League Baseball and a new college football playoff go into effect. Goldman Sachs analyst Drew Borst estimates sports programming costs will rise by more than $450 million in ESPN’s fiscal 2014, and more than $600 million in its fiscal 2015.
Already, ESPN has walked away from one sports provider that has shown some recent ratings weakness — an attempt, perhaps, to keep rights fees in check; NASCAR races will no longer appear on ESPN after 2014. At the same time, the network has lured other premiere events away from longstanding roosts, snatching Wimbledon rights from NBC in 2011. The finals of another grand slam tennis event, the U.S. Open, will move to ESPN in 2015, after airing on CBS for 45 years.
Yet even as it works hard to remain sports’ most valuable player, the onslaught of rivals will make future championship seasons a tougher fight.
Article Appeared @http://variety.com/2013/tv/news/espn-strives-to-maintain-its-lead-as-competition-heats-up-1200577206/