Thomastearns wrote: ↑03 May 2019, 14:53
Thanks for the post. It's really difficult to make any sense of the sheer scale of investment going on behind the scenes.
$650 million losses per year for Disney?
5 year plan for ESPN+?
$1 billion+ per year media rights for DAZN?
Staggering stuff. Mind you I thought Disney were crazy when they bought Marvel for $4 billion+ way back in 2009.
This is all a long play. None of these streaming services have any expectations of profitability in the near future. It's all about being in position for the future. It's all about having that subscriber/user base and market share.
Look at Uber for example, last year the company lost $1.8 billion. They've never turned a profit. They now have a valuation of over $100 billion.
walter5 wrote: ↑03 May 2019, 22:35
This is all a long play. None of these streaming services have any expectations of profitability in the near future. It's all about being in position for the future. It's all about having that subscriber/user base and market share.
Look at Uber for example, last year the company lost $1.8 billion. They've never turned a profit. They now have a valuation of over $100 billion.
It's a dangerous game though, as no one really knows which way the wind will blow in the future. Something unexpected might come out of the blue and make streaming services irrelevant.
I wonder how much money investers lost in HD DVDs, Betamax, minidisc or MySpace. All of whom became redundant, despite all being considered innovative at their time of conception.
All these boxrec prophets predicting the quick demise of the newest boxing broadcast platform reminds me of the constant predictions of the PBC model not being able to survive more than a year or two.
Perseus wrote: ↑04 May 2019, 15:09
All these boxrec prophets predicting the quick demise of the newest boxing broadcast platform reminds me of the constant predictions of the PBC model not being able to survive more than a year or two.
Onetimeonly wrote: ↑04 May 2019, 15:11
That model didn't survive.
PBC is still here...................as long as they exist the doomsayers were wrong.
Don't bother with a post telling me what moves PBC has made over they years, I already know and don't care.
They're still going which makes the doom predictions wrong.
The same will apply to DAZN if they're still here in 4 or 5 years.
Perseus wrote: ↑04 May 2019, 15:36
PBC is still here...................as long as they exist the doomsayers were wrong.
Don't bother with a post telling me what moves PBC has made over they years, I already know and don't care.
They're still going which makes the doom predictions wrong.
The same will apply to DAZN if they're still here in 4 or 5 years.
Those off us that said it wouldn't sustain in that form were right. If you already know why you're wrong, why make the post? Dazn has already changed their model slightly, they'll have to change it dramatically to succeed in the States.
Onetimeonly wrote: ↑04 May 2019, 16:12
Those off us that said it wouldn't sustain in that form were right. If you already know why you're wrong, why make the post? Dazn has already changed their model slightly, they'll have to change it dramatically to succeed in the States.
I can't even imagine how DAZN can alter its model to make any money here in the States. Maybe hooking up with a cable provider as a pay TV choice. IDK.
oogiebe wrote: ↑04 May 2019, 16:14
I can't even imagine how DAZN can alter its model to make any money here in the States. Maybe hooking up with a cable provider as a pay TV choice. IDK.
oogiebe wrote: ↑04 May 2019, 16:23
that defeats the whole concept, which you've been saying all along would never work here. So there you have it.
They might be able to figure it out. Like $30 for people who subscribe and a 100 for nonsubscribers. Maybe a replay 24 hours later for subscribers that don't buy it.The thing we have to keep in mind is this is their money. Haymon ripped people off and bought fighter loyalty and enough space to make it. He's a smart crook. I never heard of dazn before this, but I assume they're a legit business.
Onetimeonly wrote: ↑04 May 2019, 16:40
They might be able to figure it out. Like $30 for people who subscribe and a 100 for nonsubscribers. Maybe a replay 24 hours later for subscribers that don't buy it.The thing we have to keep in mind is this is their money. Haymon ripped people off and bought fighter loyalty and enough space to make it. He's a smart crook. I never heard of dazn before this, but I assume they're a legit business.
It occurred to me that DAZN's original plan may have been looking at running the model only to sell it for a profit later on. Of course that won't fly now considering the lack of interest here.
oogiebe wrote: ↑04 May 2019, 16:42
It occurred to me that DAZN's original plan may have been looking at running the model only to sell it for a profit later on. Of course that won't fly now considering the lack of interest here.
Yeah, they're spending record money for a record low price to fans. HBO didn't spend near the money dazn is and by the time they stopped showing it less than 10% of their subscribers were watching boxing on a huge ratings night.
Ruthless-RKO wrote: ↑04 May 2019, 17:01
Let’s say they have 4m subs. Today.
This month they make what? $60 odd million?
I wouldn't know their payroll for employees but I imagine they would be close to breaking even with 4 million subscribers this month. That would be a good sign for them. Though that's an immensely ambitious figure. That would mean canelo is more popular than the UFC.
Last edited by Onetimeonly on 04 May 2019, 17:13, edited 1 time in total.
Onetimeonly wrote: ↑04 May 2019, 17:12
I wouldn't know their payroll for employees but I imagine they would be close to breaking even with 4 million subscribers this month. That would be a good sign for them.
Yeh. And due to their new pay plan. It’s either $100 a year works out around $8 a month or you pay what $19 per month?
Decent strategy. June has already got GGG fighting. Not that it’s a big fight.
Ruthless-RKO wrote: ↑04 May 2019, 17:14
Yeh. And due to their new pay plan. It’s either $100 a year works out around $8 a month or you pay what $19 per month?
Decent strategy. June has already got GGG fighting. Not that it’s a big fight.
I'm still paying 10 a month. They still have usyk and the wbss to pay this month. I'd be surprised if they have anymore than 200 or 300 thousand subscribers on June 4th. Just saw a commercial on TV!
Reading the article if they managed to get the NFL ticket they're way over the top. Not sure when at & ts contract is up but they definitely can get huge offering the bigger sports if they can land them. Makes a bit more sense why they're locking down some fighters as boxing is really the only sport that isn't tied down.
Onetimeonly wrote: ↑03 May 2019, 15:06
ESPN is not reliant on boxing. They have the UFC exclusively and that will help gain boxing viewers. Plus all their other sports and it's 5 a month.
ESPN's coverage of the UFC so far, has been really good aswell. The features on individual fighters has been some high quality stuff.
keirw wrote: ↑04 May 2019, 04:02
It's a dangerous game though, as no one really knows which way the wind will blow in the future. Something unexpected might come out of the blue and make streaming services irrelevant.
I wonder how much money investers lost in HD DVDs, Betamax, minidisc or MySpace. All of whom became redundant, despite all being considered innovative at their time of conception.
Actually everyone who invested early in those concepts ended up making a ton of money. The same way the DAZN group will
It costs 10 Euros a month here in Germany. So let's say 12US. That's 48million revenue from subscriptions per month or roughly 600 million US per year on a billion outlay + infrastructure/managament/advertising costs. Not sure if there are ads supporting it, but hell, that's a lot of money to lose. They probably need to double their subscriptions or double their price.
Seems like it'll tank, but hey, Amazon bled money for like 15 years or more, so who knows.
oogiebe wrote: ↑03 May 2019, 16:25
The fighters will be paid somewhere between $45 and $48 million combined for the fight (Canelo/Jacobs). How in God's name is DAZN ever going to get into the black is beyond me.
Yeah the sums just don’t add up at all, can’t see them still being around in a couple of years, I hope they are and I hope matchroom severs ties with sky and brings it to the UK though, I’d sign up for a year in an instant
It costs 10 Euros a month here in Germany. So let's say 12US. That's 48million revenue from subscriptions per month or roughly 600 million US per year on a billion outlay + infrastructure/managament/advertising costs. Not sure if there are ads supporting it, but hell, that's a lot of money to lose. They probably need to double their subscriptions or double their price.
Seems like it'll tank, but hey, Amazon bled money for like 15 years or more, so who knows.
I always find it weird how those companies like Amazon in their start up days and Uber still now, manage to get the kind of consistent capital to just constantly bleed money like that.
Well, I bit for the $99.99 one year sub yesterday. I figure that I am one ppv level event from being beyond break even. I would have definitely paid the $75 for last night, and considered it irritating but acceptable.
