Google wins NFL Sunday Ticket in latest signal of tech giants' hunger for live sports

Lumen Field, Seattle's home of the Seahawks. (GeekWire Photo / Kurt Schlosser). Google won out over Apple and Amazon to secure a multiyear deal for NFL Sunday Ticket. This gives the company the exclusive right to stream all NFL games through its expanding YouTube TV platform, starting with the 2023 season. The latest example of rich live sports packages shifting to streaming platforms is the competition for NFL Sunday Ticket. This is a'staple traditional television' that DirecTV currently offers. As traditional cable companies end their deals, more people are cutting the cord and sports leagues are engaging with tech companies. Amazon paid $11 billion for exclusive streaming rights to Thursday Night Football in the next decade. In an effort to expand its content library, strengthen its advertising arm, and increase Prime subscribers who buy products from its marketplace, the Seattle company added live sports such as European soccer to its Prime platform. YouTube has streamed just a few exclusive Major League Baseball games in the last four seasons. Apple signed a major deal with Major League Soccer earlier this year to stream all matches over the next 10 years. Major League Baseball also has a streaming agreement. Michael Pachter, a Wedbush analyst, stated that live sports are a 'differentiator' from on-demand. Pachter said that each company has its own streaming model. Amazon would have to decide if it won Sunday Ticket rights. It could offer NFL games free of charge, just like it does Thursday Night Football. Or it could change the Prime membership model to include new tiers. Pachter stated that he thought this was a problem for Amazon and a good fit for Google. Pachter believes Google will offer Sunday Ticket the same way DirecTV offers it, at $400 per year to YouTube TV subscribers, who currently pay $64.99 per monthly to access the service. This is the second most popular streaming site, after Netflix. Google announced Thursday that it will offer games as both an add-on package for YouTube TV and as a standalone option on YouTube Primetime Channels. Sunday Ticket subscribers number 1.5 million and can access all games from outside of their local markets on CBS and FOX. According to the Wall Street Journal, Google paid $2 billion per year for the rights. DirecTV, which has aired Saturday Ticket since 1994, paid $1.5 billion. According to the NFL, details of Sunday Ticket distribution plans are still being worked out for commercial establishments like bars and restaurants. Amazon and DirectTV teamed up to broadcast Thursday Night Football beyond residential homes. Pachter indicated that Amazon might choose to continue its Thursday Night Football strategy with other leagues such as purchasing the rights for one NBA and NHL game per week. After the 2024-25 season, cable deals for the NBA expire. Tech giants will be bidding on streaming rights. The technology and streaming services are being developed by the franchises. ClipperVision, the new streaming service for $199/year, was launched by Steve Ballmer, former Microsoft CEO. This strategy is a sports version of a retail brand that sells directly to customers. It also establishes a closer connection with their fans or customers. The leagues are currently testing their own streaming services. NFL+ was launched in July for $4.99/month. It streams primetime and local games but is only available to mobile devices. Similar services are offered by the NBA and MLB. Traditional cable providers offer streaming services as well. However, cord-cutting is making it difficult to secure media rights agreements. According to the Wall Street Journal, DirectTV's subscriber declines made it difficult for them to justify keeping Sunday Ticket. However, the cable companies have still signed large deals with NFL. According to reports, Fox, CBS and NBC signed long-term contracts with the NFL worth more than $100 billion last year.