ABSTRACT

The communication and media industries are in the midst of innovative change that promises great significance for the economic landscape surrounding the entire sports enterprise. Advancements in technology, particularly over the last two decades, have greatly increased the number and types of new media firms that are able to deliver sports content to consumers. Principally, the development of digital technology, and the distribution of media products over the Internet through high-speed broadband networks, has greatly increased the amount of sport broadcast channels. Consequently, the demand for the rights to sports broadcasting content has significantly increased and this has caused substantial increases in total sports media revenues. While media revenues grow as a proportion of total sport revenues, the business model for sports, clubs, leagues, and organizations, is likewise affected. Depending on the magnitude and distribution of these transformed revenue streams, sport consumers may expect changes in, not only in how they receive, and what price they pay to consume, their products, but perhaps transformations of the sports competitions themselves as the incentives of leagues and club owners are altered.