What is the main reason for DAZN's acquisition of ViewLift?
To enhance DAZN's streaming technology and strengthen its position in the U.S. sports market, particularly for securing NBA and NHL regional streaming rights.
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Media / Streaming
DAZN Acquires ViewLift to Expand Streaming Capabilities
DAZN has acquired ViewLift for approximately $100 million to enhance its streaming technology and strengthen its position in the U.S. sports market, particularly for securing NBA and NHL regional streaming rights. This move aims to provide...
Key Insights
- DAZN acquired ViewLift for around $100 million in cash and equity.
- The acquisition aims to enhance DAZN's streaming capabilities and attract NBA and NHL teams seeking local broadcast solutions.
- ViewLift's existing clients include the Nuggets, Avalanche, Wizards, Capitals, Red Sox, Rockets, Astros, Bulls, Blackhawks, and White Sox.
- DAZN is offering minimum guarantees between $8M and $15M to teams for simulcasting games on local OTA channels or behind a paywall.
- The deal allows DAZN to potentially create an aggregated hub for regional sports networks (RSNs), similar to the NBA's streaming platform plans.
In-Depth Analysis
DAZN's acquisition of ViewLift marks a strategic move to consolidate its presence in the U.S. streaming market. ViewLift, known for powering direct-to-consumer (DTC) services for sports teams and leagues, brings valuable technology and expertise to DAZN. This allows DAZN to offer a range of options, from a classic DTC model to a subscription-based streaming service.
The deal comes as many NBA and NHL teams are seeking new broadcast solutions following the expected shutdown of Main Street Sports Group. DAZN's ability to provide minimum guarantees and create an aggregated streaming hub could be particularly appealing to these teams. The acquisition also positions DAZN to compete with other major players like Amazon, ESPN, Fubo, and YouTube TV, who are also vying for team and league streaming rights.
*Actionable Takeaway:* Sports teams and leagues should evaluate the different streaming options available to them, considering factors such as revenue guarantees, reach, and control over their content.
FAQ
How much did DAZN pay for ViewLift?
Approximately $100 million in cash and company equity.
What options are available to teams considering partnering with DAZN and ViewLift?
Teams can join ViewLift’s current model, opt for DAZN’s streaming subscription model, or explore a DAZN-created aggregated hub for RSNs.
Takeaways
- DAZN's acquisition of ViewLift provides sports teams and leagues with more options for streaming their content.
- The deal could lead to the creation of a centralized streaming platform for regional sports networks.
- This move signifies DAZN's serious commitment to expanding its presence in the U.S. sports market.
Discussion
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Sources
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