Sports viewing via broadband will “fundamentally alter” TV

Live sport will play a “defining role” in determining the pace and extent of the shift from legacy to broadband TV, according to a US-based study published by The Diffusion Group.

The report states that sports viewing via broadband remains “under-represented” in comparison to sports viewing on traditional TV for two reasons: existing long-term sports broadcasting agreements; and fears of disrupting the flow of money market players associated with the status quo.

However, TGD predicts that the gap will gradually close over the next decade, with weekly per-capita broadband sports video viewing expected to grow tenfold – from less than half an hour in 2014 to four hours in 2025.

According to the report, the growing relevance of broadband distribution will present “significant strategic challenges,” as well as opportunities, to TV industry stakeholders – including sports leagues, networks and multichannel video programming distributors (MPDVs).

“Americans love sports and, most would agree, sports is the backbone of the TV industry in general and legacy pay-TV in particular,” said Joel Espelien, TDG senior advisor and author of the new report.

“Whether measured in ratings or revenue, TV coverage of live amateur and professional sporting events is big business.”

Espelien added that the “big money that defines sports programming will follow consumers” – viewers who engage broadband sports on all screens, not just the living room TV.