I do not like their valuation on an SEC Network. Alabama earns a lot more than that per year in tier 3 revenue, and Texas earns ten million per year off their network. 21 million total for the conference is ridiculously low. The Big Ten Network had a profit of 79 million in 2011. If the SEC can't crack 50 million profit with a network, not only are they doing something wrong, but Alabama would be taking a loss.
Last edited by KrAzY3; January 16th, 2013 at 02:41 PM.
Does anybody know how the SEC network will work?
Will it just be another channel, like an off shoot of ESPN that shows SEC sporting events?
Looks like the money and power is just gone get bigger in the future for the SEC.
Anyway, Alabama earns the most tier 3 revenue of any SEC program. In some cases, it's not even close, Alabama more than double than most of the SEC and in some cases we're talking 8 or 9 times as much. So, the SEC can have a deal that earns most schools more money while Alabama makes less.
Alabama is worth close to what Texas gets, if they end up with 1.5 million it's an insult and a huge drop in revenue. It might explain why this thing hasn't been announced yet, but I don't believe Alabama could veto a network since it would be a league vote presumably.
I think it's safe to say Texas was vastly over paid for their network by ESPN when you look at how many people have actually paid for the network. They aren't going to make that mistake again.