Mlb To Disappear From Terrestrial Radio

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MLB to Disappear from Terrestrial Radio?


Summary


The shift in how MLB games are broadcast on TV raises questions about the future of radio broadcasts. Currently, only 23% of MLB games are shown on local TV, with some teams opting for cable exclusivity. This trend could extend to radio, moving towards a subscription-based model.

Key Points


MLB games are increasingly moving from local TV to cable, suggesting a similar shift could occur with radio broadcasts. According to Larry Rosin, President of Edison Media Research, transitioning to a 100% subscription model for baseball radio is "probably inevitable" due to its profitability. This would benefit digital satellite radio providers like XM Satellite Radio and Sirius, as XM holds exclusive rights to MLB games. As interest in MLB is substantial in the U.S., this move could greatly enhance the development of satellite radio.

MLB Radio and XM Radio


MLB already offers a subscription-based online radio channel and would likely benefit if radio follows TV's path. With satellite radio still growing, moving broadcasts to a subscription model could accelerate its development. Revenue from XM Radio is split equally among MLB's 30 teams, highlighting economic incentives to make games exclusive to satellite radio. Currently, about 23% of XM subscribers receive MLB broadcasts, indicating potential for growth.

Implications


Opinions on this potential shift are mixed. Some believe it's insignificant, as baseball is primarily a TV sport. However, others argue that moving broadcasts from AM radio could alienate local fans and reduce audiences more than the exclusive fees would justify. Comparisons to the NFL's shift to Sirius Radio suggest that while it attracted new listeners, it wasn't transformative, and given MLB's popularity, a similar outcome could unfold.

Despite TV's dominance, many enjoy listening to games on the radio while engaging in other activities, especially during the summer. This underscores baseball's unique appeal via radio. While signs suggest a potential shift to satellite radio, the ultimate direction depends on public and corporate response.

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