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NFL Fights To Save TV Blackout Rule Despite $9 Billion Revenue

An anonymous reader writes with word of new movement on an old front: namely, the rule that makes it hard for sports fans to see coverage of local teams. The 39-year-old blackout rule basically "prevents games from being televised locally when tickets remain unsold." The Federal Communications Commission (FCC), in response to a 2011 petition by consumers, has decided to consider abolishing this rule. The National Football League (NFL) has of course objected, claiming that the rule allows it to keep airing their games on free TV. If that were to change and they would have to move to cable, they argue, the "result would represent a substantial loss of consumer welfare." In their petition to the FCC, consumers point out that the NFL charges "exorbitant prices for tickets" which results in lower attendance. The blackout rule, they claim, therefore punishes fans by preventing them from watching the game if the NFL can't sell enough stadium tickets. NFL yearly profits reportedly number in the billions. Even if the FCC supports the petition, however, sports leagues can and probably will privately negotiate blackouts to boost their revenue.

42 of 216 comments (clear)

  1. Punishes fans? by TrollstonButterbeans · · Score: 5, Insightful

    "NFL charges exorbitant prices for tickets" ...

    " punishes fans by preventing them from watching the game if the NFL can't sell enough stadium tickets"

    "NFL yearly profits reportedly number in the billions.".

    Sounds like the obvious answer is "Then don't watch it."

    But I can see this article isn't about rationality, but about "I want to watch it" and "I want it to be free" and "I want it available under my terms".

    --
    Priest: "Universe from nothing, no laws of physics, sped up time"+ huge discrepancies. Creationism? No. Big Bang Theory
    1. Re:Punishes fans? by gl4ss · · Score: 4, Interesting

      I don't understand how the rule that prevents airing the matches keeps them on free air channels?

      I mean, if NFL wants, they sure as fuck can put on a rule that causes them to be always available for broadcasting? and the other way too for that matter.

      I mean, the "if tickets not sold then no show" as a rule sure sounds like it only makes it harder for them to show the matches if they want.

      furthermore, WHAT THE FUCKING KIND OF RULE IS THAT!?!? shouldn't the organizer of the event -any event- get to choose if it can be broadcast or not, since aren't they in control of the copyright of the recording????

      --
      world was created 5 seconds before this post as it is.
    2. Re:Punishes fans? by sjames · · Score: 5, Interesting

      There is a very high probability that the team has received many valuable considerations from the local government including having the stadium built for them. It's not so unreasonable that the local citizens might expect a return on the investment.

    3. Re:Punishes fans? by dk20 · · Score: 5, Insightful

      They can also do what Toronto, Ontario did with its skydome.
      Taxpayer funded cost of construction: $570 million
      Sale price to private corporations: $151 million

      So yeah, i can see how the taxpayers might want something after taking a $400 million dollar loss. The kicker is this is not the only "stadium" for such a small city.

      A lot of sports is all about taxpayer subsidies and huge player salaries.

    4. Re:Punishes fans? by Gogo0 · · Score: 4, Insightful

      pro football is like smoking crack, only harder to kick.

      the NFL hates its fans with a *passion*, as evident by their business practices, and they punish us every way they can find (new terrible red zone ads, EA madden exclusivity, directv/verizon exclusivity, ~$90 preseason game ticket prices, $200 streaming games only outside the USA [NHL is $50, MLB similar -both available in the USA], etc).

      if anyone (myself included) *could* quit enjoying seeing their team play, we would have already, and the NFL knows. the NFL is a shit organization, but we the fans have made it clear that we will put up with whatever bullshit they throw at us.

      anyway, i dont think its unreasonable to want to be able to watch a game on tv. watching at home and attending a game are entirely different things. no one says 'lets not go to the game, it's on tv".
      its very telling that the NFL needs a *law* to force people to go to games and pay their exhorbitant ticket costs.

    5. Re:Punishes fans? by Sarius64 · · Score: 4, Insightful

      Not to mention the billions in free taxes from the feds, state, county, and city governments. Because billionaires have it so hard.

    6. Re:Punishes fans? by Shakrai · · Score: 5, Informative

      Toronto is a small city? It's the largest city in Canada and the 4th largest in North America, after Mexico City, New York, and Los Angeles.

      --
      I want peace on earth and goodwill toward man.
      We are the United States Government! We don't do that sort of thing.
    7. Re:Punishes fans? by jbolden · · Score: 2

      All the things you listed as punishment are getting you to pay more money to them. They aren't punishing you they are however charging you for a service you like a lot. I suspect having local games often not be on TV is a way to encourage people to have season tickets. It doesn't matter on an individual level if collectively that behavior raises ticket prices.

    8. Re:Punishes fans? by ShanghaiBill · · Score: 4, Informative

      Yes. And the best thing for them have done would have been to buy the team and make it a municipal asset in full or in part.

      Green Bay, Wisconsin has done exactly that. Their football team is the only community owned professional sports team in the US.

    9. Re:Punishes fans? by Anonymous Coward · · Score: 5, Insightful

      No, you can't claim that the NFL is just doing business and the customers should take it or leave it. The fact is that the NFL is the beneficiary of some rather unique laws, lobbied just for them. Take away their tax breaks. Take away their stadiums paid for by government money. Take away their excessive copyright laws. And then you can make your laissez faire claims.

    10. Re:Punishes fans? by Anonymous Coward · · Score: 2, Informative

      The same thing happened in Dunedin, New Zealand. About 86% of the population were against building a stadium for a city of no more than 120,000 people, so they spent quarter of a billion dollars on it promising it would be paying its own way within a few years.

      It's not, it won't, and they keep borrowing millions from the rates of the city.

      The local Highlanders rugby team are constantly whinging that they have to pay to use it, even though they're getting a large subsidy and constant gifts of cash - not too many years after they went bankrupt after spending thousands on parties.

      Professional sports is a fucking rip-off.

    11. Re:Punishes fans? by Anonymous Coward · · Score: 4, Insightful

      So just stop watching it, then.

      I didn't like the way a TV show I was watching from the start was going, I got angry about it, how it recycled plots and stole them from other shows, the stupid dialogue, the ridiculous way the story arc went and how the fans were being ignored, so I stopped watching it.

      Took a few weeks to get over it - I realised after the first week that I was only watching it out of habit, or ritual. I couldn't think of anything else to do so I'd just turn it on. Once I got through that, I realised something:

      I didn't really give a shit about it. It just wasn't that important.

      I think you'll find the same, if you just give it up. You'll struggle for the first game or two, then it'll get easier, than you'll realise that it just doesn't matter.

      Because it doesn't matter.

    12. Re:Punishes fans? by AchilleTalon · · Score: 2

      However, if you consider the metropolitain area, it is the 14th largest metropolitain area in North America.

      --
      Achille Talon
      Hop!
    13. Re:Punishes fans? by the_other_chewey · · Score: 2

      I don't understand how the rule that prevents airing the matches keeps them on free air channels?

      Because the NFL has been forced to allow at least that.

      I mean, if NFL wants, they sure as fuck can put on a rule that causes them to be always available for broadcasting? and the other way too for that matter.

      Yup, absolutely. That's why Blackout Rule is an NFL rule.

      I mean, the "if tickets not sold then no show" as a rule sure sounds like it only makes it harder for them to show the matches if they want.

      furthermore, WHAT THE FUCKING KIND OF RULE IS THAT!?!? shouldn't the organizer of the event -any event- get to choose if it can be broadcast or not, since aren't they in control of the copyright of the recording????

      They are. And again, it's an NFL rule preventing the broadcasting.
      In fact, the NFL had to be forced by law (Public Law 93-107) to at least allow broadcasting
      in those instances where a game is sold out 72h in advance.

      I do understand your confusion though, the summary does a horrible job at explaining what's going on.

    14. Re:Punishes fans? by the_other_chewey · · Score: 4, Interesting

      its very telling that the NFL needs a *law* to force people to go to games and pay their exhorbitant ticket costs.

      It's the law forcing a limiting of the Blackout Rule on the NFL, not
      the NFL being forced to use the Blackout Rule by the law.

      The NFL doen't even care about people coming to the stadiums:
      The teams are allowed to purchase remaining seats to "unlock"
      the broadcasting for the price of the league's share of the ticket sales.

      So it's the NFL trying to force maximum revenue per game (for the NFL, that is).

    15. Re:Punishes fans? by AthanasiusKircher · · Score: 2

      Depends on whose stats you look at. If you look at "metropolitan area," recent stats I see come up with around rank 8 (similar size to Houston and Washington DC). If you look at urban "agglomeration" (which actually measures connected urban land, rather than "metro areas" which are usually defined by surrounding municipal structures and may include more rural or disconnected surrounding areas), then Toronto may be more like 5th. But no matter how you calculate, it's one of the most populous cities/areas in North America -- it's not in any sense "small" as GGP termed it.

    16. Re:Punishes fans? by Gogo0 · · Score: 2

      thats the logical solution, but people tend to be illogical when it comes to things like religion and sports as someone above already remarked.
      at least i've only got the one monkey on my back

    17. Re:Punishes fans? by dreamchaser · · Score: 2

      The NFL, like most professional sport leagues, gets special anti-trust exemptions from the Government. In return the Government gets some say in how they operate.

    18. Re:Punishes fans? by pepty · · Score: 4, Interesting

      And the leagues banned this type of ownership (corporate, both public and private) to keep it from happening again. A team has to be owned by a maximum of 32 people (not corporations), one of which must own at least 30% of the team.

    19. Re:Punishes fans? by GIL_Dude · · Score: 3, Informative

      no one says 'lets not go to the game, it's on tv"

      Bzzt! Wrong! Maybe not many folks do, but I sure do. When presented with an opportunity to go I always decline and say that I would rather see it on TV. (Sometimes this has even been with free tickets). At home, there is no a-hole standing up in front of me the whole game. At home, no jackass behind me spills their beer on me. At home, the noise level is very low. At home, I can see the play and can see it from multiple angles with amazing replays. At home, the beer doesn't cost $10. At home, the bathroom is clean and safe and doesn't consist of a long metal trough. At home, I am unlikely to get attacked by some crazy drunk asshole and my car is unlikely to get vandalized. At home, the parking doesn't cost $25. Yeah, I've BEEN to pro football games twice. Never again.

    20. Re:Punishes fans? by Fnord666 · · Score: 2

      Also the horses become much more pleasant to be around when they are breeding.

      Funny, I'm the same way.

      --
      'The tyrant will always find pretext for his tyranny.' - Aesop's Fables
  2. NFL is a business/monopoly by Monoman · · Score: 2

    FCC should pull the rule to let supply and demand work it out.

    --
    Keep the Classic Slashdot.
    1. Re:NFL is a business/monopoly by gnupun · · Score: 2, Interesting

      Whoever gave the NFL monopoly rights (resulting in price gouging tickets) over all football matches in the country is at fault. So the solution is to increase supply by allowing more associations to form alternative football organizations. This competition will likely reduce ticket prices everywhere even if their playing quality won't be as good as the NFL players.

      But forcing the NFL to give their content away for free (i.e. abolishing the blackout rule) will mean fewer people will pay stadium prices and is unethical, unfair and communist.

    2. Re:NFL is a business/monopoly by AK+Marc · · Score: 3, Interesting

      But forcing the NFL to give their content away for free (i.e. abolishing the blackout rule)

      Abolishing the blackout rule will do no such thing. The FCC used to enforce a private blackout rule against the NFL (at the NFL's request). Now, the NFL is free to enforce the rule themselves. This is more freedom for the NFL, not less.

      It was spelled out in TFS, you didn't even need to read TFA.

  3. Why would anyone go willingly to the stadium? by Opportunist · · Score: 4, Insightful

    That's the main problem you have there. At home, on the screen, you simply and plainly get the better experience. Now, I'm no expert on sports, but it doesn't take an avid watcher to notice the immediate advantage of sitting at home over going to the game.

    1. Cheap drink & snacks. No need to explain. You understand it even if you don't care about sports, you have the same deal with movies.
    2. Better view. Even if you have a front row seat right at the 50 yards sideline, you can't compete with a dozen cameras showing the game from every possible angle. You get an overview to see how the play unfolded, you get a closeup of the catch, hell, even the referees don't have that kind of luxury overview you get on TV.
    3. No hassle getting to or from the game.
    4. If the game stinks, just flip over to some movie and keep flipping back now and then to see whether it improves.
    5. And of course you can do something while watching your game on TV. Personally I can't really concentrate on watching something if it's fractured like football or, worse, baseball, where moments of action are interrupted by long times of boredom for too long without getting incredibly bored.

    So, tell me again, why the fuck should I go to the stadium, pay a fortune for a ticket where I'll then sit next to Bob who had onions for lunch, somewhere about a mile from the field where the players look like they are sprites of a badly done C64 game?

    --
    We used to have a Bill of Rights. Now, with the rights gone, all we have left is the bill.
    1. Re:Why would anyone go willingly to the stadium? by Dutch+Gun · · Score: 5, Insightful

      At home, on the screen, you simply and plainly get the better experience.

      From a purely logical or intellectual viewpoint, you're absolutely correct. But watching sports isn't an intellectual exercise, and I don't mean that in a disparaging way.

      Have you ever been to a live concert? A magic show? A broadway musical or play? How about a technical conference or lecture where you listen to someone really interesting speaking? There's nothing at those events that, objectively speaking, couldn't be better delivered to your home entertainment system in the comfort and safety in your own home.

      Human beings are social creatures, and enjoy experiencing interesting and entertaining events while in the company of others. For a sports event, sharing the thrill of possible victory or defeat with thousands of other fans around you is also about sharing in a certain camaraderie. Unless you're a fan yourself and already enjoy the game, or if you really hate crowds in general, it's probably hard to understand the appeal.

      I can strike up a friendly conversation with anyone wearing my home team colors and feel pretty confident that we have something in common to talk about. When my team comes back from near-certain defeat and wins the game in overtime, I'm in my seat, shouting and cheering, and giving high-fives to other like-minded fans around me whether I know them or not. The roar of the crowd is a visceral experience, adding to the excitement and helping to create an experience that's very different than watching the game from home. It feels more like you're a bit closer to participating in the game itself, because you know your home team can hear you cheering for them - not individually, of course, but certainly collectively.

      Football season is almost here. This 12 is ready. Go Hawks!

      --
      Irony: Agile development has too much intertia to be abandoned now.
    2. Re:Why would anyone go willingly to the stadium? by Afty0r · · Score: 4, Insightful

      You are clearly one of a VERY small minority of people who prefer to NOT socialise.

      Most of the rest of us enjoy doing things in groups, it's a primal thing and appeals to our base urges, especially if we get to be all tribal about it.

  4. Comment removed by account_deleted · · Score: 5, Insightful

    Comment removed based on user account deletion

  5. Wrong Organization by Anonymous Coward · · Score: 5, Interesting

    If one were to, you know, look at FCC's Rules on Sports Blackouts, you'd notice that basically the only blackouts the FCC requires involving sports involve exclusive broadcast rights on broadcast TV requiring blackouts on cable/satellite (and even then:

    Sports programming that originates on broadcast television (programming that originates on cable or satellite channels or systems is not affected); and
    Cable systems with 1,000 or more subscribers, and satellite television systems with 1,000 or more subscribers within a certain zip code.

    )

    The short and long of it is that (1) the NFL has cornered the market on getting local governments to back stadium construction through loans and tax breaks and (2) cornered the market on exclusive broadcasting rights to effectively ban local broadcasts to allow ridiculous ticket prices for anyone local to actually watch the game--this latter part, btw, is likely what the local government wants anyways as it removes a lot of the plebs and grants a higher tax revenue when the tax breaks end (or are reduced).

    Going and whining to the FCC as if they're responsible entirely misses the point except in so far as the FCC may have some sort of obligation to demand that public broadcasts be used to allow local people to watch games they're effectively subsidizing in multiple ways (tax breaks for the stadium and broadcast rights for the tv stations). Yet, I think that too much of a stretch, personally, given that it's quite clear that the FCC's job is not to be some sort of universal enforcer on tv broadcasters. This, like the issue with Verizon's throttling, are issues the FTC should be taken to task to deal with as clearly the real issue in both cases are ones of fair trade.

  6. Government paid for stadiums by Firethorn · · Score: 4, Insightful

    I happen to agree with you. We're downright illogical about our sports, but given the number of government built stadiums out there that sports teams normally get dedicated access to for next to nothing, it's not out of line to expect some concessions.

    --
    I don't read AC A human right
  7. Re:We all pay either way by d0wnthe11235813 · · Score: 2

    this and the fact that the NFL is a registered non-profit organization. if they make $9b and block the broke local fans to try and shake out more money from those who help pay for the venue then i say to hell with that

  8. "a substantial loss of consumer welfare" by bistromath007 · · Score: 4, Funny

    I might never stop laughing.

  9. Here's a thought for the NFL by HangingChad · · Score: 3, Insightful

    If I don't get the games on terms I want, then I'll go do something else, watch movies on Netflix or play video games and your advertisers can go pound sand. What a bunch of arrogant, self-entitled bastards. Fuck you and the corporate jet you rode into town on.

    --
    That's our life, the big wheel of shit. - The Fat Man, Blue Tango Salvage
  10. As usual when businesses fuck their customer base by ruir · · Score: 2

    Boycott them. But them when we are talking about religion and sports people tend to be irracional about it.

  11. Re:We all pay either way by enjar · · Score: 2

    Local team games are always broadcast OTA when they are on NFL Network or ESPN. IIRC it's a FCC rule that they have to do it.

    Of course that has little to do with the public funding of private enterprises that are wildly profitable and make millions of dollars. I enjoy watching football, but there are many better things to spend public money on. Roads, bridges, schools, universities, libraries, etc. are all for more generally useful than a stadium that stays vacant the majority of the year.

  12. No it does not make 9 billion profit. by 140Mandak262Jamuna · · Score: 4, Interesting
    NFL is a non-profit organization. It does not make any profit. What you call 9 billion dollar profit, might look like profit, walk like profit, bark like profit, smell like profit, bite like profit. But it is NOT profit. IRS will not get a dime.

    America has been consistently electing politicians who promise to cut taxes. And they have been dutifully cutting the taxes for the richest people (and corporations which are people). But corporations are special citizens who can claim a non-profit status and exempt themselves from taxation. It is very expensive to create a new people-citizen. But corporate citizen is just a 25$ filing fee, no nine month waiting period, no active cooperation between two different people required. Corporation-people don't go to jail. They can be killed when it is suitable without any penalty. But corporation-people can be enslaved by other corporation-people and people-people. Corporation-people can have religious beliefs when it is profitable to have them. But they don't have religious responsibilities .

    Don't blame the politicians. Blame ourselves, collectively.

    --
    sed -e 's/Chuck Norris/Rajnikant/g' joke > fact
    1. Re:No it does not make 9 billion profit. by radicimo · · Score: 3, Interesting

      Don't blame the politicians. Blame ourselves, collectively.

      Yes, blame the politicians. To paraphrase Pogo, I have met the politician and he is us.

      NFL is a non-profit organization. It does not make any profit. What you call 9 billion dollar profit, might look like profit, walk like profit, bark like profit, smell like profit, bite like profit. But it is NOT profit.

      Damn straight Skippy!

      http://www.sportsonearth.com/a...

      That's the heart of the problem. Fsck the brain-dramaged NFL oligarchy. We the public have given them too much, and the real question is can we revoke what has been given? Do the lawyers and politicians really speak for the public good. Do they represent us (or at least some craven manifestation of our collective unconscious?)

      There is a subtle shift in power taking place within the sports world right now as evidenced by the lawsuits vs NCAA and NFL by players and former players, the ouster of Donald Sterling, and any number of other more minor incidents. Those are taking place between labor and management in the courts, and in public opinion, in as much as anyone is paying attention, which most probably do not as long as they get their sports fix on a metered dose.

      --
      100 REM PISS OFF CODE FASCISTS 200 GOTO 100
  13. 2,500 year old comment by nightcats · · Score: 2

    Lao Tzu, who seems to have a line for every human inanity compressed into his 81 little poems, said (in my translation):

    "There is no greater disaster, no blinder ignorance
    than not knowing when you have enough."

    --
    Development is programmable; Discovery is not programmable. (Fuller)
  14. The NFL is a NON-Profit Organization by DrTime · · Score: 2

    Why is the NFL permitted to operate as non-profit when it controls so much of the experience and generates so much revenue?

    That alone should get this rule changed.

    And as others have pointed out, tax payers build the stadiums for these teams, so we should be able to watch them.

    BTW - I am not a sports fan. I watch the super bowl only, and even then, I channel surf.

    Who cares about this stuff anyway?

  15. Its teams do though by tepples · · Score: 2

    NFL is a non-profit organization. It does not make any profit. [...] IRS will not get a dime.

    As I understand it, the NFL's not-profit goes straight back to the teams. The IRS sees the NFL's not-profit when each team pays income tax on its own profit.

  16. Opt Out by speedlaw · · Score: 2

    When my cableco hit me for a $5 per month "sports programming fee", or $60.00 per year, my response was to snip the cable cord-don't miss cable, with endless reality and infomercials, at all. Sports is the only thing they really have left, isn't it ?

  17. Blackouts in the Bay Area.. by HockeyPuck · · Score: 4, Interesting

    I live in the SanFrancisco area, home to two teams (niners and raiders)... and the blackout rules are killing me...

    *There's two primary time slots on Sundays when the majority of teams play (not including the Sunday night game).
    *The NFL will never schedule both teams to play at the same time.
    *If the game isn't sold out, it's not televised.
    *The NFL will not allow another game to be shown on TV if a local game is blacked out.

    If I lived in Nebraska, I would have the option of watching four games (2 early games and 2 later games). However, I've had more than enough Sunday's whereby both the niners and the raiders didn't sell enough tickets and thus BOTH slots were blacked out.

    I'm not going to watch a game at the Oakland Colesium and having visited the new Levis Stadium, I won't be going there either (transportation is a disaster). They'd get my advertising dollars by watching them on TV tho.