Re: It's not that simple,
Domer is right. It's not that simple:
The LHN finally made a small profit in 2014. Until 2031, ESPN owns UT's Tier 3 rights, so no other media company can hope to develop a Big 12 Conference Network. ESPN can relax and not worry about competition on that front. Texas doesn't care how that affects the other schools.
GoR's are designed to prevent movement between conferences. Stech, you often mention that Texas or Oklahoma will leave the Big 12 and the GoR will come tumbling down. I think the sequence has to be reversed. If Oklahoma withdrew from the Big 12 while the GoR was still in place, I think they would be sued by the conference and every individual Big 12 school. We don't know what the Tier 1 & Tier 2 contract looks like, but isn't it likely that there is a "composition clause" that specifies what happens to the contract if the membership of the conference changes? Tier 1-2 rights holders aren't going to pay for a Big 12 media package which no longer includes Oklahoma. Sooners would not be able to cover those voluminous damages to each Big 12 school.
If the Big 12 disolves, (after the GoR expires) three schools have a ticket to another conference: Texas, Oklahoma, Kansas. The other seven will have to reorganize and add teams to continue as the Big 12. The P5(4) conferences are in competition and none of them will admit a school that diminishes the per-team payout, just to be charitable. There will not be any cooperative dog rescues.
Notre Dame will remain independent for the foreseeable future. Why? Because they want to. College football will allow ND, BYU, and others that freedom to avoid the appearance of coercing these programs. Also, the competing conferences will allow ND independence because they do not want to strengthen the ACC by adding the considerable TV audience that ND brings.
ESPN will not produce the ACCN anytime soon. Why? Because they don't want to. This would be another college sports channel drawing eyes away from ESPN's other outlets. If they could be sure of huge carriage revenue, they would certainly do it. Clearly, after years of "a work in progress" "under consideration" the payoff just isn't there. As for the conversion of the LHN into the ACCN, it's easier said than done. It would involve the same carriage fight with the cable companies. ESPN's Comcast agreement ends in 2025. That's the next real opportunity to add the ACCN to their bundle. Stech says the consequence of not delivering the ACCN is that the conference can take their media rights to another network. I think the consequence will be a $2 million dollar bump in the per team payout.
The SEC and the B1G covet the same thing: Virginia and North Carolina. They are both patient enough to wait for the GoR clock to tick down. The ACC schools had better position themselves to score a lucrative TV deal and fend off the predators. Otherwise they are toast. The next ten years can be spent hoping for a hero, Notre Dame, Texas, ESPN; or building an excellent football conference and building a loyal footbal-crazy fanbase.
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In response to this post by goldendomer)
Posted: 01/14/2016 at 6:57PM