The ongoing Writers Guild of America (WGA) strike has brought all scripted television to a standstill. With late-night shows off the table and other productions stymied and stalled, there’s been one clear beneficiary to the shift of advertising dollars.
Sports have become a much-needed booster to television, with the NBA and NHL playoffs bringing in strong viewership for Disney-owned networks ABC and ESPN, as well as Warner Bros Discovery’s TNT.
Despite some lopsided series, both basketball and hockey have seen relatively few sweeps, adding to the excitement. TNT’s broadcast of Game 7 of the NBA Eastern Conference Finals between the Miami Heat and the Boston Celtics garnered 11.9 million viewers, ranking as the network’s third-highest NBA rating of all time.
Overall, the NBA playoffs have experienced their best viewership since 2012, while hockey playoffs have seen its largest audience in four years. Advertisers have taken advantage of the ratings momentum, with Disney and Warner Bros Discovery securing ad sales during the playoffs, with a major genre upset. As streaming wars heat ups Television and Cable has outpaced Beer on the list of top buyers during the NBA Finals.
Looking ahead, the networks face important financial decisions as their current rights deals approach expiration. Negotiations for the NBA rights deals are set to open next year, and while streaming players could potentially enter the mix, the potentially $75 billion price tag could be a challenge for Disney and Warner Bros Discovery, who have recently focused on cost reduction.
In contrast, the NHL has already secured multi-year rights deals with Warner Bros Discovery and Disney, providing more stability. The NBA’s future rights deals may involve the league exploring streaming options or structuring deals similar to the Phoenix Suns’ model, which combines subscription streaming and free broadcast network telecasts. Warner Bros Discovery’s CEO, David Zaslav, mentioned the possibility of finding a revamped deal that satisfies multiple parties, referring to the company’s UK agreement with BT/EuroSport, where both parties benefit economically.
