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DIRECTV Announces Renewed NFL Sunday Ticket Deal

DIRECTV Announces Renewed NFL Sunday Ticket Deal

Negotiations have finally ended between DIRECTV and NFL, with a deal between the two corporate giants that both side claim is beneficial for all involved. While this news is great for fans and DIRECTV customers, the information released about the deal leaves many questions unanswered, and has people wondering what is really going on here.

Since the new deal is worth approx. $1.5 billion a year, which is almost 500 million dollars more per year than the previous contract, are customers going to be eating this increase? Will the price for the Sunday Ticket go up for existing customers? Will the price increase only for new customers? How much of an increase are we talking about here.

Currently if you want the NFL Sunday Ticket, you either have to be a DIRECTV customer, or you have to be able to prove that you are unable to get satellite signal at your home, which will allow you to stream the service. With this new deal and the increased payments owed to the NFL each year, will DIRECTV open the doors a bit here to higher revenues by allowing anyone to order this subscription service? Obviously they would be able to recoup their costs much faster by opening the floodgates and allowing anyone with a high speed internet connection to pay their annual fee and become streaming customers, but will they?

With the increased payments to the NFL, will DIRECTV be adding more content channels to their line up for this service to attract more customers? Fans are hoping that there will be more offered, and it would only make sense to do so from their stand point as well, since it would make the package more attractive to new potential customers. More customers equals more revenue which is what any for-profit company is looking to gain.

One final question surrounding this deal involves the merger between DIRECTV and AT&T. If this monster merger is approved by the federal government, how will this affect AT&T’s current customers? AT&T currently has over six million subscribers that pay for access to programming content. Will these customers have access to the Sunday Ticket if and when the merger is approved? Was DIRECTV even forward thinking enough to bring this matter to the negotiating table with the NFL when this new deal was being struck between them? When asked about this part of the deal between the two corporate giants, the NFL brushed this off and said to refer all questions of this nature to DIRECTV.

 

One has to wonder what all is covered in this deal, how it will affect current and future customers, and how much it will eventually end up costing customers in the long run. Sparse press releases like this always end up creating more questions than answers, but hopefully in the coming weeks, all of these will be answered in a way that does not leave fans upset and wondering if the price they are paying is too much.

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