OTT video players will disrupt the premium sports market as the value of sports rights falls
"Operators will need to adjust to their strategies as the market for sports broadcasting becomes more fragmented and complex."
Margins on premium sports rights have been declining because the growth in revenue that is generated from viewers has failed to keep pace with the increase in the cost of content rights. As such, the auction value of the rights for some sports leagues has started to stagnate or decline. A growing number of OTT sports providers have started to pick these up as they get cheaper. In this article, we explore the implications of this shift and identify the actions that operators can take in response and discuss the opportunities that the new landscape might offer them.
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