DAZN Pursues Acquisition of Main Street, Sources Reveal
DAZN is actively pursuing the acquisition of Main Street Sports Group, amidst critical negotiations regarding Major League Baseball (MLB) media rights. Sources indicate that a meeting is tentatively scheduled for next week between DAZN and MLB representatives. The outcome could significantly influence the future of Main Street and potentially impact the rights to nine MLB teams, establing DAZN as the primary streaming provider for MLB by 2028.
Current State of Main Street
Main Street is facing financial difficulties, prompting it to reach out to its associated teams across the NBA and NHL. These 20 teams are eager for clarity regarding DAZN’s intentions, as they consider their own contingency strategies should Main Street fail to secure new financing.
- Teams did not receive their payments on January 1.
- Main Street has requested a 20% reduction in rights fees.
- Payments have been deferred until Q2 or Q3 of this year.
All NBA and NHL teams under Main Street are concerned about deteriorating financial conditions. If no new financing is secured by February 1, several teams may have to seek alternative broadcasting arrangements. The nine MLB teams affected include the Braves, Reds, Tigers, Royals, Angels, Marlins, Brewers, Cardinals, and Rays.
Contingency Plans in Motion
The NBA teams are preparing for a possible transition to local over-the-air broadcasts. Teams such as the Cavaliers and Hawks are considering local networks for continuity. Other teams have previously aired games locally, which could provide a viable backup. The NBA’s strategy includes streaming options for fans through NBA League Pass to maintain viewership.
- Cavaliers: Possible broadcasts on Rock Entertainment Sports Network.
- Hawks: Potential shift to Gray’s Peachtree TV.
For NHL teams, similar strategies are being implemented. Teams may prioritize over-the-air models to ensure continued viewership. Some teams have already embraced streaming platforms, indicating that a shift could occur across the league.
Challenges Ahead
Despite DAZN’s interest in Main Street, skepticism remains regarding the viability of a successful acquisition. Both MLB and NBA are in the early stages of planning their own national streaming networks for the coming years. If DAZN acquires Main Street, it may face an uphill battle in solidifying long-term contracts with the teams.
- Six MLB teams are likely to finalize agreements if a guarantor is found.
- The Cardinals are expected to move their broadcasts to MLB Media.
As negotiations continue, the pressure mounts on Main Street to secure either DAZN or an alternative buyer. Although some reports suggest another potential buyer exists, Fubo is no longer considered a viable candidate.
Conclusion
DAZN’s efforts to acquire Main Street Sports Group come at a crucial time for the associated MLB, NBA, and NHL teams. The upcoming week will be pivotal for determining the future of sports broadcasting in these leagues. Teams are poised for either a seamless transition or a challenging restructuring based on the outcome of these negotiations.
