UPDATED 16:58 EST / DECEMBER 22 2022

APPS

Google purchases NFL Sunday Ticket streaming rights for reported $2B a year

Google LLC today announced that it will make the National Football League’s Sunday Ticket game streaming package available on YouTube.

The deal will see Google pay about $2 billion per year for the streaming rights, according to the Wall Street Journal. Google is said to have licensed the Sunday Ticket package for seven years. The search giant reportedly secured the deal after winning a bidding contest that also included Amazon.com Inc. and Walt Disney Co.

According to the Journal, the annual value of the streaming deal could surpass $2 billion if “certain benchmarks are reached.” The Sunday Ticket package was until now licensed by DirecTV Inc., which reportedly paid $1.5 billion per year for the streaming rights. 

The Sunday Ticket package includes out-of-market NFL games played on Sunday afternoons. Out-of-market games are those played outside the city where a customer is located. Starting next year, the Sunday Ticket package will become available for consumers in the U.S. through the YouTube TV and Primetime Channels streaming services.

First introduced in 2017, YouTube TV enables users to access content from more than 100 television channels. Primetime Channels, the Google subsidiary’s other subscription offering, debuted earlier this year. It offers movies and TV shows from more than 30 channels.

Google’s licensing agreement with the NFL also includes other components besides the Sunday Ticket streaming package. As part of the deal, the NFL has agreed to enhance the content on its YouTube channel. Additionally, it will produce a new international show and launch a creator content program.

“YouTube has long been a home for football fans, whether they’re streaming live games, keeping up with their home team, or watching the best plays in highlights,” said YouTube Chief Executive Officer Susan Wojcicki. “Through this expanded partnership with the NFL, viewers will now also be able to experience the game they love in compelling and innovative ways through YouTube TV or YouTube Primetime Channels.”

Amazon, which competes with YouTube in the streaming market, has also increased its content investments over recent years. Last May, the company announced plans to make the NFL’s Thursday Night Football streaming package available through its Prime Video service. Amazon has reportedly agreed to pay $1 billion per year for the streaming package for 11 years.

More recently, Amazon acquired storied film studio MGM through a $8.45 billion deal that closed in March. As part of the acquisition, the company obtained a content library that includes more than more than 4,000 film titles and 17,000 TV episodes. To further grow its content library, Amazon reportedly plans to spend $1 billion a year on theatrical film releases.

Image: YouTube

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