NFL and DIRECTV Extend NFL SUNDAY TICKET(TM) Agreement through 2014 Season

New 'Red Zone Channel' to Be Widely Offered on Multiple Platforms

New NFL SUNDAY TICKET(TM) Package Available Via BroadbandNFL Network Carriage Agreement Extended

NEW YORK & EL SEGUNDO, Calif., Mar 23, 2009 (BUSINESS WIRE) -- The National Football League announced today an agreement to extend DIRECTV's rights to carry NFL SUNDAY TICKET(TM). DIRECTV will continue to have exclusive television rights to air the package of Sunday afternoon games through the 2014 NFL season.

The agreement also significantly broadens the reach of NFL SUNDAY TICKET(TM) by enabling NFL fans who cannot receive DIRECTV satellite service to get NFL SUNDAY TICKET(TM) via broadband. This service will begin no later than 2012.

In addition, the NFL will offer fans (also no later than 2012) a new "Red Zone Channel" that shows crucial live action cut-ins of all Sunday afternoon games starting at 1 p.m. ET and continuing through the conclusion of the 4 p.m. ET games. The "Red Zone Channel" will be available to cable, telco and satellite systems, wireless devices, and the Internet.

"We are pleased to extend a partnership with DIRECTV that has complemented and supported our broadcast television packages for 15 years," said NFL Commissioner Roger Goodell. "We are looking forward to having the Red Zone channel on cable and other media platforms as well as showing NFL Sunday Ticket via broadband to the homes that cannot get satellite. This new content enhances our tradition of being the most pro-consumer, widely available sport on television."

"The NFL SUNDAY TICKET(TM) service has been a part of DIRECTV since our first year of operation and is one of the defining characteristics of our best-in-class positioning," said Chase Carey, president and CEO of DIRECTV Group. "This latest extension allows us to retain and broaden our most popular sports subscription service. Through our wireless offering to NFL SUNDAY TICKET(TM) customers and the new broadband service to non-customers, we're now able to expand the reach to even more NFL fans everywhere."

Among the new features for fans are:

Red Zone Channel: subscribers who do not have DIRECTV will have access to the "Red Zone" channel through local cable systems or telco and Internet providers. This special channel has been part of NFL SUNDAY TICKET(TM) on DIRECTV the past four seasons and will continue for those subscribers. It provides live look-ins and real-time highlights from every Sunday afternoon game starting at 1 P.M. (ET) through the late afternoon games. The channel switches from game to game and airs live action when a team is in the Red Zone (inside the 20-yard line) and poised to score. A host also provides real-time scoring and fantasy updates.

NFL SUNDAY TICKET(TM) on Broadband: Fans who live in areas where DIRECTV's service is not available, such as apartment buildings or in residences with poor sightlines to a satellite signal, will be able to purchase a new NFL SUNDAY TICKET(TM) broadband package.

DIRECTV customers who purchase NFL SUNDAY TICKET(TM) and the SuperFan(TM) package receive all Sunday afternoon games in HD; a Game Mix channel with up to eight games on one screen; the Red Zone Channel; the SUPERCAST(TM) service that streams every live NFL SUNDAY TICKET(TM) broadcast to laptop computers; and the NFL SUNDAY TICKET(TM) Mobile service that delivers up-to-the-minute highlights, and soon full-length games, to cell phones, pda's and other wireless devices.

DIRECTV also has extended its carriage agreement with NFL Network which airs seven days a week, 24 hours a day on a year-round basis and is the only network fully dedicated to the NFL and the sport of football. NFL Network will continue to be offered in DIRECTV's CHOICE package.

About DIRECTV

DIRECTV, Inc. (NASDAQ:DTV), the nation's leading satellite television service provider, presents the finest television experience available to more than 17.6 million customers in the United States and is leading the HD revolution with more than 130 HD channels. Each day, DIRECTV subscribers enjoy access to over 265 channels of 100% digital picture and sound, exclusive programming, industry-leading customer satisfaction (which has surpassed national cable companies for eight years running) and superior technologies that include advanced DVR and HD-DVR services and the most state-of-the-art interactive sports packages available anywhere. For the most up-to-date information on DIRECTV, please visit directv.com.


SOURCE: DIRECTV, Inc.

http://dtv.client.shareholder.com/releasedetail.cfm?ReleaseID=372330

Too bad - I'd love to have access to it on FIOS, but since I am in an area where D* is available, the broadband is shut off as well. Oh well - the network games will have to do.

Too bad - I'd love to have access to it on FIOS, but since I am in an area where D* is available, the broadband is shut off as well. Oh well - the network games will have to do.

I have had this package since 96 but think I may be done with it now. It is getting to expensive plus there are only a few times of year where I watch a game that is not on national tv.

So they are giving Red Zone to cable companies??? Weird. Makes me wonder why I need D* anymore.

IMHO, I think this is the carrot that NFL is dangled to the cable providers so that they start carrying NFL Network on a broader package. The way I see this, NFL would actually want the cable and teleco's carrying the Red Zone channel on a premium package like the S&E, provided that the cable co's carry the NFL Network on a wider package, I'd say, the same package that the cable co's will be carrying MLB Network. Not sure if this will work out or not, because NFL is still not sharing the Sunday Ticket package with other providers - NFL has 1Bi/year reasons not to, but, IMHO, that's NFL game plan.

&*%$&*#$# SuperFan is still around? Enough already.

I would contemplate leaving Directv for Comcast if Comcast got the NFL package but now it looks like i am sticking with them for another 5 years.

I only keep Directv for the sunday ticket. It really beats anything out there

I agree TravelFan, it wouldn't surprise me if carriage of the Red Zone channel was dependent on meeting specific terms for the NFL Network.

it wouldn't surprise me if carriage of the Red Zone channel was dependent on meeting specific terms for the NFL Network.

Nope, the availability of the Red Zone channel will not be tied to distribution of NFL Network


NFL Scores With $4 Billion DirecTV Sunday Ticket Extension
League Also Opens Broadband Game Coverage To Non-DirecTV Subs; 'Red Zone Channel' To New Distributors in 2012
Mike Reynolds -- Multichannel News, 3/23/2009 5:08:52 PM MT
The National Football League has reached a four-year contract extension with DirecTV to remain the TV home of the Sunday Ticket package through 2014.

Announced Monday during the NFL owners meeting in Dana Point, Calif., the pay-per-view pact, according to sources familiar with the negotiations, is valued at about $1 billion annually from 2011-2014. DirecTV currently pays some $700 million annually on its Sunday Ticket contract that expires after the 2010 season.

Both the NFL and DirecTV declined to discuss financial terms.

However, the agreement opens the door to a wider reach for the out-of-home package, which will become available to broadband subscribers that can't receive DirecTV. The satellite leader will aim this broadband game service at those who reside in multi-unit dwellings or DirecTV customers with poor exposure to a satellite signal.

This broader broadband service, according to league officials, would kick off no later than 2012. Currently, broadband coverage of the games is limited to those who purchase Sunday Ticket, and then pay an additional $99 for the broadband Super Fan package.

The parties also extended their carriage agreement for NFL Network, which will continue to be offered on DirecTV's Choice package.

The 2012 season is when customers of a wide swath of distributors could gain access to a new "Red Zone Channel" that would show live-action cut-ins for all Sunday afternoon games, beginning with the 1 p.m. (ET) window and concluding with the contests that begin in the late-afternoon window. This service will be available to cable, telco and satellite systems, wireless devices and the Internet.

The Red Zone Channel has been part of NFL Sunday Ticket on DirecTV for the past four seasons and will continue for those subscribers. In addition to the live look-ins, the channel features real-time highlights from every Sunday afternoon game, and switches from contest to contest, showcasing live action when a team is inside the 20-yard line and poised to score. A host also provides real-time scoring and fantasy updates.

The service would function as an ad-hoc channel on Sundays, according to NFL spokesman Brian McCarthy, who noted that league officials would soon reach out to distributors about the red zone channel. He said the availability of the service would not be tied to distribution of NFL Network. The league's in-house service currently counts about 35 million subscribers, but has not yet reached carriage pacts with such top operators as Time Warner Cable, Cablevision and Suddenlink over pricing and positioning issues.

McCarthy said CBS and Fox, the current holders of the Sunday afternoon packages, had been made aware of the league's new Sunday Ticket and broadband game plan.

A spokesman for Fox Sports declined to comment; CBS officials couldn't be reached for comment by press time.

The rights deal for CBS, Fox and Sunday Night Football carrier NBC all expire after the 2011 season. ESPN's Monday Night Football package goes through 2013.

"We are pleased to extend a partnership with DirecTV that has complemented and supported our broadcast television packages for 15 years," said NFL commissioner Roger Goodell in a statement. "We are looking forward to having the Red Zone channel on cable and other media platforms, as well as showing NFL Sunday Ticket via broadband to the homes that cannot get satellite. This new content enhances our tradition of being the most pro-consumer, widely available sport on television."

"The NFL Sunday Ticker service has been a part of DirecTV since our first year of operation and is one of the defining characteristics of our best-in-class positioning," said Chase Carey, president and CEO of DirecTV Group in a statement. "This latest extension allows us to retain and broaden our most popular sports subscription service. Through our wireless offering to NFL Sunday Ticket customers and the new broadband service to non-customers, we're now able to expand the reach to even more NFL fans everywhere."

At the annual meeting the subject of expanding the NFL regular-season slate was also addressed. While the league is looking to maintain its 20-game schedule -- currently 16 regular and four preseason contests -- there is movement toward adding a 17th or 18th regular-season contest at the expense of one or a pair of exhibition contests.

http://www.multichannel.com/article/190542-NFL_Scores_With_4_Billion_DirecTV_Sunday_Ticket_Extension.ph p

The way I see this, NFL would actually want the cable and teleco's carrying the Red Zone channel on a premium package like the S&E

I think the Red Zone channel will be a subscription channel on it's own.

With the change over to all digital TV, why are those aholes still charging extra for games in HD?

they didn't explicitly mention Red Zone HD for cable. not much sizzle without the HD.

With the change over to all digital TV, why are those aholes still charging extra for games in HD?

Now that is a great question and I am sick of having to call every year to get it removed. I may be dropping it anyways as it is getting way to expensive for what I get out of it.

I think the Red Zone channel will be a subscription channel on it's own.

not according to this:

"One specific channel would be assigned to the two properties. On Sundays in the fall, the Red Zone Channel would broadcast from 1:00 p.m. ET until the late afternoon games end. The rest of the time, NFL Network would appear in its place."

Meanwhile, NFL executive vice president of media Steve Bornstein has acknowledged what we immediately suspected upon digesting Monday’s announcement — the availability of the Red Zone Channel to cable operators will be used as the basis for getting the RZC and NFL Network onto the basic cable systems maintained by companies like Comcast and Time Warner.

“This is a great opportunity for Big Cable to sit down and talk about a better relationship with the [NFL],” Bornstein told Sandomir.

http://www.profootballtalk.com/2009/03/24/nfl-gets-300-million-annual-increase-on-directv-deal/

The Red Zone channel has no value. You already have live cut-in on Fox and CBS every time there is a score. Really pointless if you ask me, I wouldn't pay for it.

The price has gotten too high - I doubt I can argue with the D* reps again for a free Superfan like I did the last two years.

With the change over to all digital TV, why are those aholes still charging extra for games in HD?


Nothing to do with one another.

DirecTV went all digital back in 1994.

The Red Zone channel has no value. You already have live cut-in on Fox and CBS every time there is a score. Really pointless if you ask me, I wouldn't pay for it.

I respectfully disagree. Having gone over to a friend's house to watch their Red Zone Channel on DirecTV, I think it has plenty of value.

The beauty is that you can sit there all day watching football without a single commercial. No "Field Goal-Commercial-Kickoff-Commercial." After the field goal, you get switched to a different game. No punts either, for the most part. If all games are at halftime, you get highlights until another game starts up. Not having a commercial break when the NFL is riddled with commercial breaks is worth it. The action doesn't stop, and I'd rather see the Detroit Lions playing for a few minutes than yet another commercial for a truck.

If I can have the Red Zone Channel in HD on my cable system, I'd be a happy camper.

And I'm glad to see the NFL offer something to non-DirecTV systems. If you still live in a different market than your favorite team or need the ability to watch any game you want, you'll still get NFLST.

But if you are like me and just want to be able to watch football constantly from 10:00am Pacific to 4:30pm pacific without a single commercial, then the Red Zone (HD) on Cable suffices!

I hope all their channels go under. Always looking for ways to nickel and dime ya!

The Red Zone channel has no value

I respectfully disagree.

And I respectfully concur.

I took advantage of an offer last Fall for free Premiere Package coupled with ST for giving up my grandfathered Total Choice package. I was able to get SF thrown in and half price for lease on a second MPEG 4 capable HD DVR. Every Sunday I set the RZ HD channel to record along with my Giants, if they were playing that day, and a couple of marquee games. I'd start with the RZ recording and a lot of times I wouldn't even watch the other games I recorded. The RZ channel was that good.

If I could get the RZ channel in HD, no specific games, I'd gladly pay $150-$175 for the Season.

The action doesn't stop, and I'd rather see the Detroit Lions playing for a few minutes than yet another commercial for a truck.Ha! You know not of what you speak....

And I respectfully concur.

I took advantage of an offer last Fall for free Premiere Package coupled with ST for giving up my grandfathered Total Choice package. I was able to get SF thrown in and half price for lease on a second MPEG 4 capable HD DVR. Every Sunday I set the RZ HD channel to record along with my Giants, if they were playing that day, and a couple of marquee games. I'd start with the RZ recording and a lot of times I wouldn't even watch the other games I recorded. The RZ channel was that good.

If I could get the RZ channel in HD, no specific games, I'd gladly pay $150-$175 for the Season.

I was thinking a good price point for only having Red Zone Channel (in HD) would be $99.95/season. Cheaper if someone wants it via internet or on their cell phone (the OP article suggests that it will be offered online and on wireless services).

Red Zone channel is all i pretty much watched. I have the Sunday ticket and its basically jumping in to all the games ,IN HD, and you see it live.

It has lots of value

Red Zone channel is all i pretty much watched. I have the Sunday ticket and its basically jumping in to all the games ,IN HD, and you see it live.

It has lots of value
I have to believe CBS and Fox are going to take a pretty hard stance on the Red Zone Channel.

I have to believe CBS and Fox are going to take a pretty hard stance on the Red Zone Channel.

Doesn't NBC have a lock on highlights until their highlight show ends just before their Sunday night game starts? Maybe "lookins" are not considered highlights as they are live.

I only tired the Red Zone a few times, but from what I remember it wasn't full live games, but switched around the games whenever something was happening.

^ hence the name Red Zone.. :)

but its been like this for the past 2 years so i dont see a problem

I was thinking a good price point for only having Red Zone Channel (in HD) would be $99.95/season.

The reason I mentioned the $150-$175 price was that I was comfortable paying up to that price, but yeah, $99 is a nice starting price. Won't be long before it reaches the price I quoted though. ;)

I only tired the Red Zone a few times, but from what I remember it wasn't full live games, but switched around the games whenever something was happening.

That's the point, all thriller, no filler. A game gets to be a blowout, what's the point of watching?

The reason I mentioned the $150-$175 price was that I was comfortable paying up to that price, but yeah, $99 is a nice starting price. Won't be long before it reaches the price I quoted though. ;)



That's the point, all thriller, no filler. A game gets to be a blowout, what's the point of watching?

Oh I'm not saying that's a bad thing, I was noting it as a counter to my own speculation about it being highlights, which I believe someone(NBC?) has a lock on until late in the day.

I hope I don't have to go through the annual 'call and haggle for superfan' again this year. Maybe DTV will give up that stupid ploy and simply not charge for SF.

We will see... will be especially interesting to see what they do in this economy.

I love my Directv HD service (infinitely better than Dish and my local cable service - time warner), but I'm done with Sunday Ticket. It's upwards of 400 bucks now. No thanks. I'm actually looking forward to calling them up this summer and canceling it.

Wouldn't it be great if you could opt to only get the RZC in HD on D*TV?? :D Never happen, but I would seriously consider it (have had ST since the beginning so I am "hooked", but I have to tell you it gets more and more tempting to bail with every price increase!!!)

If they are able to get $99 for the Red Zone channel from cable subscribers, they'll fall off their rockers in delight.

If they are able to get $99 for the Red Zone channel from cable subscribers, they'll fall off their rockers in delight.

By "they," I assume you mean the NFL. And I think they could do it. There are many who wish NFL ST was on cable but would never switch for whatever reason, but $99 for a season of RZC in HD without switching to DirecTV? It's a bargain to watch 6+ hours of football without a commercial (and for the most part, no punts, kickoffs, etc) every Sunday.

I watched weeks 15 and 16 and they'd have a main game you'd watch, but any time another game was in the red zone, they to switch to that. If they miss something in another game, they give you the instant highlight. If you are watching a game and the team fails to convert a third down and will punt, they usually switch over to another game. If all games are at halftime you get a full rundown of highlights until at least one other game starts.

Why I think RZC (HD) will get many buys on cable is fantasy football. This is the fun way to keep tracking of what is going on, as opposed to simply following stats on a computer or even what the NFL network currently shows during Sundays. The reason I was over at a friend's house for weeks 15 and 16 of RZC was precisely fantasy football, our playoffs to be exact.

That might be difficult, since it won't be available widely until 2012, after the current Fox and CBS agreements have expired.

I have to believe CBS and Fox are going to take a pretty hard stance on the Red Zone Channel.

I think (aside from the $1 billion a year the NFL will get) thsat there is a major reason the DirecTV folks ponied up. As I noted earlier in the Hot Off The Press sticky:

The flip side of the DirecTV/SDT cost argument is how many subs DirecTV would LOSE if cable, telco or Dish had gained access to the package.

Using the very conservative estimate of two million subs, let's assume they all pay more than the average revenue per sub of $80+. Let's say they average $100 a month.

(Given that -- as I understand it -- an inordinate number of ST subs also purchase MLB EI, or NBA, NHL, March Madness and college football and basketball packages, I would think a $100 average for ST subs is low.)

In any case, were those two million plus DirecTV subs to quit, it would be a loss to DirecTV of $200 million a month. Over a year you are looking at a loss of $2.4 billion, and that is without adding in the many millions of dollars DirecTV now takes in from restuarants and bars.

Obviously not EVERY Sunday Ticket sub would flee DirecTV if the package went elsewhere. So, if you want to be very, very conservative, say just half of the ST subs would leave DirecTV if ST were lost. That still comes out to a loss to DirecTV of $1.2 billion a year.

DirecTV may not make any money from ST, but losing it could obviously harm it severely.

I think (aside from the $1 billion a year the NFL will get) thsat there is a major reason the DirecTV folks ponied up. As I noted earlier in the Hot Off The Press sticky:

The flip side of the DirecTV/SDT cost argument is how many subs DirecTV would LOSE if cable, telco or Dish had gained access to the package.

Using the very conservative estimate of two million subs, let's assume they all pay more than the average revenue per sub of $80+. Let's say they average $100 a month.

(Given that -- as I understand it -- an inordinate number of ST subs also purchase MLB EI, or NBA, NHL, March Madness and college football and basketball packages, I would think a $100 average for ST subs is low.)

In any case, were those two million plus DirecTV subs to quit, it would be a loss to DirecTV of $200 million a month. Over a year you are looking at a loss of $2.4 billion, and that is without adding in the many millions of dollars DirecTV now takes in from restuarants and bars.

Obviously not EVERY Sunday Ticket sub would flee DirecTV if the package went elsewhere. So, if you want to be very, very conservative, say just half of the ST subs would leave DirecTV if ST were lost. That still comes out to a loss to DirecTV of $1.2 billion a year.

DirecTV may not make any money from ST, but losing it could obviously harm it severely.

No matter how you slice it, DirecTV knows the math and will spend accordingly to keep NFL ST in house.

If there's a lockout next year by the owners ( I know, big IF)
D still has to pay.

If there's a lockout next year by the owners ( I know, big IF)
D still has to pay.

but:

a) lockout isnt until 2011 actually.
b) there wont be a lockout....theyll get a new cba by then.
c) per pft.com - An industry source tells us that provisions of this nature are standard practice in broadcast deals relating to pro sports.

“All sports league media deals are structured so payments continue in a lockout or strike,” the source said. “The money is then deducted off future years. . . . The news would have been had this not been the case.”

So, if the past practice applies in the present case, DirecTV would earn back its $1 billion for 2011 by reducing the payouts in 2012, 2013, and 2014.

but:

a) lockout isnt until 2011 actually.
b) there wont be a lockout....theyll get a new cba by then.
c) per pft.com - An industry source tells us that provisions of this nature are standard practice in broadcast deals relating to pro sports.

“All sports league media deals are structured so payments continue in a lockout or strike,” the source said. “The money is then deducted off future years. . . . The news would have been had this not been the case.”

So, if the past practice applies in the present case, DirecTV would earn back its $1 billion for 2011 by reducing the payouts in 2012, 2013, and 2014.

I stand corrected.

Doesn't NBC have a lock on highlights until their highlight show ends just before their Sunday night game starts? Maybe "lookins" are not considered highlights as they are live.

I only tired the Red Zone a few times, but from what I remember it wasn't full live games, but switched around the games whenever something was happening.

I think, with emphasis on think that the only "lock" is that NBC cannot show highlights until 7:15, which is when the Fox and CBS windows expire. Also, ESPN was not allowed to have a highlight show per se, they got around that this past season by calling it a special edition of Sportscenter, and not NFL Primetime.

I think Directv is smart enough to know that if they lose the exclusive deal on the Sunday ticket, they could lose a lot of subscribers to cable. For almost every guy I know, the only reason they prefer Directv is for the Sunday ticket.

I think, with emphasis on think that the only "lock" is that NBC cannot show highlights until 7:15, which is when the Fox and CBS windows expire. Also, ESPN was not allowed to have a highlight show per se, they got around that this past season by calling it a special edition of Sportscenter, and not NFL Primetime.

I thought it was one way or the other, somebody had an exclusive window. :)

I understand that NBC was not happy with the ESPN end-around last year regarding highlights. I wouldn't be surprised to see The World Leader told to cut back on them somewhat, if not dramatically, this season.

The NFL would also like NBC's ratings to be higher. There are new contracts to be worked out, you know. :)

I think DirectTV would like to have the Super Bowl exclsive to their service.

I love my Directv HD service (infinitely better than Dish and my local cable service - time warner), but I'm done with Sunday Ticket. It's upwards of 400 bucks now. No thanks. I'm actually looking forward to calling them up this summer and canceling it.

Same here. Too much money, too many other things to do on Sunday afternoons in sunny central Texas.

I wonder if the new network priicing including DirecTV takes into consideration the likely 18 game schedule or if there is an escalator clause that increases the amount the TV networks pay for the extra 2 regular season games. They are obviously more valuable than the 2 pre-season games that they would replace and the NFL is well aware of that.

Maybe things have changed, but just a few years ago in Canada and Mexico you could get pretty much the exact same package on any cable or satellite provider and for less than it cost in the US.

This exclusivity crap sucks, I'd rather Arlen Specter had his hissy fits about this than the Patriots videotape deal or blackout rules.

I love my Directv HD service (infinitely better than Dish and my local cable service - time warner), but I'm done with Sunday Ticket. It's upwards of 400 bucks now. No thanks. I'm actually looking forward to calling them up this summer and canceling it.

but renewing customers got it for $279 + alot got superfan free.

I understand that NBC was not happy with the ESPN end-around last year regarding highlights. I wouldn't be surprised to see The World Leader told to cut back on them somewhat, if not dramatically, this season.


yes ESPN is only allowed to show "limited" highlites in that window so the show is basically a talkfest now....thats why they even added the side stat wing for fantasy players stats info.

yes ESPN is only allowed to show "limited" highlites in that window so the show is basically a talkfest now....thats why they even added the side stat wing for fantasy players stats info.

They wait for the 11:00 PM (Eastern) edition of Sportscenter to do the highlights and NFL Primetime is now incorporated into it as segments known as "The Blitz" (or "The Blintz" as I think it's occasionally pronounced) with Chris and Tom doing the highlights and commentary.