MS deal with NFL supposedly cost $400 Million

Karkador

Banned
It just seems like a lot of money to invest in creating a service that mostly already exists via sports networks/online sites (player stats/fantasy football stuff), or is probably not too compelling to the majority of NFL fans (who just care to watch the game with friends and eat/drink), or is something no one would do (Skype chats with other fans? What the hell are you going to voice/video chat random strangers about? Who is this for?)
 

Zep

Banned
I dunno I get everyone's shitting on the deal, but as a big nfl fan and a fantasy sports player, I'm pretty excited about this personally. I don't give a fuck how much it cost MS.

got your smartglass and skype ready to go?
 

Arkos

Nose how to spell and rede to
hahahahaha, damn how can a company do SO MUCH SHIT WRONG?

Question, can MS survive with only the USA? because that's what's going to happen, NO ONE ELSE will ever want a MS console.

Lol as others have said, that's not doing it wrong, that's probably a steal, especially in the context of their aiming for the all-in-one crowd. The NFL is only relevant in the US, and it makes bank. Big time.

I am disappoint that I haven't seen a thread about this already, I thought the NFL deal-- along with EA (sports) "partnership"-- was actually probably the biggest financial bombs of the day.
 

Jonm1010

Banned
So am I misunderstanding things or is Microsoft banking on people being willing to buy a cable subscription, buy an Xbox, pay for Xbox live gold, then pay an additional hefty fee for NFL ticket? Or whatever it will be called??

Or am I getting it wrong?
 
I'm still trying to convince myself that this is all somehow some post-modern interpretive peformance art version of Othello and Phil Harrison is Iago and Mattrick is Othello.
 
Shave off how much of those sales were under 60$, then shave off the money that doesn't go to the Publisher... 400 million could do a lot.
If any conversation like that were to take place Rockstar would have the upper hand negotiating and I sincerely doubt they want to undercut their future product line on Sony's consoles by doing so.

There'd be a premium on it, no doubt.

Remember, Microsoft spent $50 million just on the exclusive DLCs.
 

Kafel

Banned
unless there are ads everywhere for Xbox around all the matches, MS got robbed for these useless features
 
how many AAA games can you make with $400million?

2-4+ or thereabouts. On the higher side of that if you don't include marketing.

Or ~2 MMOs.

Definitely seems like a big investment in something that will only be relevant in the US. I don't really care about football at all, at least not to the extent that this would be a feature I would ever use. Money would be better spent on 2+ AAA exclusives. But even then, they'd still have a hell of an uphill battle trying to convince with all the other details released so far.
 
MS will make money back for charging for it and ads and all of that. But you can bet your ass that the console price is also subsidizing these money-hatted apps and games.
 
It's not cheap to become a partner of the NFL these days- just ask EA. For me, the ESPN fantasy football integration is going to be pretty sweet, since that's what my main league uses.

But if the Seahawks become the least penalized team this year, I'm calling shenanigans.
 

nbraun80

Member
So am I misunderstanding things or is Microsoft banking on people being willing to buy a cable subscription, buy an Xbox, pay for Xbox live gold, then pay an additional hefty fee for NFL ticket? Or whatever it will be called??

Or am I getting it wrong?

I think you're looking at it a little wrong. It's more of a feature than a system seller. It's more of saying 'hey if you're a football fan and got the new xbox, why not watch it on here with these features.'
 

Pooya

Member
$400m! what they will gain from this deal anyway? It's like people working for MS just want it piss off money on ridiculous partnerships.

that's budget of ~20 big games, each could bring in as much as the whole budget spent from its sales. how many console this is going to sell for them? with minimal hw cost margins to people who might not even buy many games.

Designed in tube.
 
Oh yea the US economy is doing great... Don't kid yourself.

it's doing a hell of a lot better than 90% of EUrope, that's for sure. You don't kid yourself.

US growth rate per year: 1-2%. Most of Europe that isnt' Norway, Sweden and Germany: negative.

Unemployment rate US: 7.5%. What's the average unemployment rate of the coutnries of europe?

I rest my case
 

Jonm1010

Banned
I think you're looking at it a little wrong. It's more of a feature than a system seller. It's more of saying 'hey if you're a football fan and got the new xbox, why not watch it on here with these features.'
Well if their plan isn't to draw in otherwise uninterested customers into the Xbox ecosystem then I see it as a waste of money. If its just meant as a feature to throw at existing customers to retain their business I think the oppurtunity costs here are enormous and Microsoft should of spent that money elsewhere.

I'm still curious though if my understanding of the cost structure to access this content is accurate?
 
Yeah it's even crazier when you think this is basically U.S only.

it's doing a hell of a lot better than 90% of EUrope, that's for sure. You don't kid yourself.

US growth rate per year: 1-2%. Most of Europe that isnt' Norway, Sweden and Germany: negative.

Unemployment rate US: 7.5%. What's the average unemployment rate of the coutnries of europe?

I rest my case


Yeah I'm sure Sony will have a lot of trouble making money from Europe.
 

Sean

Banned
I just find silly how much focus is going to the damn TV part of it.

It's a five year deal and I assume it will include plenty of advertising/exposure for Xbox One and other MS products during broadcasts. I don't really follow NFL but it seems like a smart move in attracting the mainstream.

What deal is that?

Some kind of multi-year sponsorship deal Sony signed back in 2007.
 
T

thepotatoman

Unconfirmed Member
Oh yea the US economy is doing great... Don't kid yourself.

Hey, what we're lacking in the poor and middle class we more than make up for in our mega rich class. Maybe all those people could buy 4 xboxs, along with buying 4 new copies of every game they decide to get.
 

thetrin

Hail, peons, for I have come as ambassador from the great and bountiful Blueberry Butt Explosion
What's wrong with this exactly? Sony has a similar $300 million deal with FIFA.

I don't understand how people don't get this. Soccer is played all over the WORLD. No one gives a shit about football outside of America.
 
Isn't Nintendo already doing this to a lesser extent with the WiiU and Nintendo TVii? I wonder how much it cost them, or if they even had a deal for it at all. I mean:

1887d1347578825-nintendo-tvii-supported-all-major-us-canadian-cable-companies-dish-services-tvii2.jpg
 

Arkos

Nose how to spell and rede to
So am I misunderstanding things or is Microsoft banking on people being willing to buy a cable subscription, buy an Xbox, pay for Xbox live gold, then pay an additional hefty fee for NFL ticket? Or whatever it will be called??

Or am I getting it wrong?

No sadly I think that's right. I guess they think the package will be attractive enough that core NFL fans who also play video games will be willing to pay for it, and they're probably right.

It's not cheap to become a partner of the NFL these days- just ask EA. For me, the ESPN fantasy football integration is going to be pretty sweet, since that's what my main league uses.

But if the Seahawks become the least penalized team this year, I'm calling shenanigans.

You mean like the Ducks' recent rise to prominence o_O

I don't think the people belittling this deal understand the insane amount of money that the NFL makes for itself and it's affiliates. Yes, they can definitely make enough money just in the US to justify this single transaction (not speaking for the other problems)

Also, remember its not just the X1 NFL channel or whatever. They're going to get so much name recognition from the Microsoft technology TV broadcast tie ins, that alone would probably justify the deal if they wanted to pay for simply "owning" NFL sideline tech and ignore this X1 channel.

It'll make money. It's an excellent business decision. And it wasn't made for gamers
 
Good deal for Microsoft and chump change in the long run. The Surface will become the device used on NFL sidelines in the future which is key.

The NFL is big business. Both parties will do very well with this deal. While the fantasy football component is neat, this isn't a deal that has many ramifications for gamers but I think focusing on the gamers misses the forest for the trees. This will pay dividends in many other ways for Microsoft. For those thinking this and new games are mutually exclusive, Microsoft has already said its investing 1 billion in "games" (whatever that means).
 
Good deal for Microsoft and chump change in the long run. The Surface will become the device used on NFL sidelines in the future which is key.

The NFL is big business. Both parties will do very well with this deal. While the fantasy football component is neat, this isn't a deal that has many ramifications for gamers but I think focusing on the gamers misses the forest for the trees. This will pay dividends in many other ways for Microsoft. For those thinking this and new games are mutually exclusive, Microsoft has already said its investing 1 billion in "games" (whatever that means).

Right on, they're getting advertising with this so 80 million a year doesn't sound that bad.
 

patapuf

Member
I don't understand much about pricing for sports subscriptions but 400 million over 5 years doesn't sound unreasonable. Unless X1 bombs like the WiiU i'm sure they will make their money back.

Also, it fits the target audience greatly.
 

nbraun80

Member
Well if their plan isn't to draw in otherwise uninterested customers into the Xbox ecosystem then I see it as a waste of money. If its just meant as a feature to throw at existing customers to retain their business I think the oppurtunity costs here are enormous and Microsoft should of spent that money elsewhere.

I'm still curious though if my understanding of the cost structure to access this content is accurate?

I don't see it as a waste of money, especially if Microsoft gets advertising during NFL games for the One this coming season.

I guess you're structure is right, but generally if you watch NFL regularly you probably have some sort of cable already.
 
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