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February 5, 2004

RealNetworks and MLB.com internet radio deal breaking off

default — by TDavid @ 7:06 am PST
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Apparently, there will not be Major League Baseball games broadcast via Real very soon. The past two years I’ve subscribed to their package because it was like 20 bones to be able to listen to all the games from all the teams for the entire 162 game season. It was one of the very few things Real has done that I enjoyed and was willing to pay for. Now it appears that this will be gone too. $20 million for exclusive rights for three years (2001, 2002, 2003) sounds a little spendy to me though considering that in order to just break even on that deal at $19.95 per subscription they would have to sell over 1 million MLB subscriptions, or at least 333,333 subscriptions per year. Even with the good deal, I’m not sure that is a likely scenario. Probably, Real was banking on selling it’s other services and using the exclusive MLB internet radio streaming as a loss leader. Not any more. I wonder if MLB will put out its own streams or what will happen this year … will Yahoo get the streams back? Will Microsoft step in with a Windows Media deal?

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