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The significance of HD self-sufficiency to ESPN

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  • The significance of HD self-sufficiency to ESPN

    I just had a conversation with a buddy who is in broadcast production with a top-tier cable network in LA who explained some and was about to write a post on it when I saw that m4t4d0r on CB had posted almost exactly what I was going to write.

    Here are his comments:
    ----------------------------------------------
    First off - I was one of the most vociferous on CB about how BYUTV could not be used as a commercial sports channel while staying within their contract with the Digital Satellite folks. I am very glad that there appears to be a new network dedicated to BYU sports as I think that is a much more elegant solution than trying to re-purpose BYUTV (and will require MUCH less paperwork from an FCC and distribution channel perspective)

    I spoke with a friend who does a lot of sports production work (X-Games stuff in the West) and talked to him about what BYU's HD production facilities would mean to a network like ESPN. He said that it would be a HUGE factor. From his perspective it could really make the complete difference to ESPN regarding profitability on BYU football games.

    When ESPN pays for an HD production (like at the Winter resorts for X-Games) they have to pay to get that truck there by the mile (huge distances to cover in the West - far away from ESPN's core markets on the E. Coast) and then they have to calculate the opportunity cost of not having that production equipment somewhere else. The ESPN folks, while remaining independent have all gotten a pretty strict B-School education from their Disney masters about running a tight ship. And so, the double-whammy of paying for the long-distance trek of a high-value asset PLUS the loss of the ability to use the equipment in the high-revenue opportunity timeframe of football season results in a premium having to be paid (whether to an independent HD production crew or to a corporate-owned crew).

    So, if BYU can provide all of the HD facilities for production and just require an ESPN satellite node for re-broadcast - this drops production costs to the point where ESPN has pretty huge margins and can pay BYU some better fees for the programming.

    Now for this to work for road games in the west, BYU will have to have their own HD production truck. Does anybody know if such a project is underway with the new broadcasting initiative @ BYU? If that's the case, the BYU can become the ND of the West - as long as there is self-sufficiency for HD productions. I would think that if BYU is investing to the level they are in a brick-and-mortar facility, then building a mobile capability would be within their budget and strategy. But, I have no insight into that.

    As a side note - my friend said that if BYU pulls this off, they will become the most prestigious feeder institution in the field of sports broadcasting. They would attract great talent as instructors and be able to place their students in some of the premier sports network production slots.

    If ESPN ponies up the $$, then this is a great deal for BYU.
    Ute-ī sunt fīmī differtī

    It can't all be wedding cake.

  • #2
    Originally posted by oxcoug View Post
    Here are his comments:
    ----------------------------------------------
    So, if BYU can provide all of the HD facilities for production and just require an ESPN satellite node for re-broadcast - this drops production costs to the point where ESPN has pretty huge margins and can pay BYU some better fees for the programming.

    Now for this to work for road games in the west, BYU will have to have their own HD production truck. Does anybody know if such a project is underway with the new broadcasting initiative @ BYU? If that's the case, the BYU can become the ND of the West - as long as there is self-sufficiency for HD productions. I would think that if BYU is investing to the level they are in a brick-and-mortar facility, then building a mobile capability would be within their budget and strategy. But, I have no insight into that.

    As a side note - my friend said that if BYU pulls this off, they will become the most prestigious feeder institution in the field of sports broadcasting. They would attract great talent as instructors and be able to place their students in some of the premier sports network production slots.

    If ESPN ponies up the $$, then this is a great deal for BYU.
    In Harmons's independence article a month ago he mentions an HD production truck.

    A high-definition TV truck for production and broadcast of sporting events. This truck is the most up-to-date found anywhere in the western United States and a tool ESPN would love to rent for events centered in the West.
    http://www.deseretnews.com/article/7...st-option.html

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    • #3
      So maintaining an HD truck is extremely expensive, even for a big network like ESPN. That makes sense.

      That begs the question: who is paying the bills for BYU's private HD truck? Why are we ignoring those costs in the analysis?
      "There is no creature more arrogant than a self-righteous libertarian on the web, am I right? Those folks are just intolerable."
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      • #4
        If college football has gotten to the point where fans speculate on tv production truck leasing costs, count me out. Maybe I'm in the minority here, but I don't give a shit how much money BYU or any other CFB team makes. I really don't. There probably is a correlation between the success of a team and athletic department revenue, but how strong is it? It still comes down to 4 quarters of well-played football.

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        • #5
          Originally posted by YOhio View Post
          If college football has gotten to the point where fans speculate on tv production truck leasing costs, count me out. Maybe I'm in the minority here, but I don't give a shit how much money BYU or any other CFB team makes. I really don't. There probably is a correlation between the success of a team and athletic department revenue, but how strong is it? It still comes down to 4 quarters of well-played football.
          Well since only a small percentage of programs actually turn a profit that correlation is pretty strong.
          "Nobody listens to Turtle."
          -Turtle
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          • #6
            Originally posted by YOhio View Post
            If college football has gotten to the point where fans speculate on tv production truck leasing costs, count me out. Maybe I'm in the minority here, but I don't give a shit how much money BYU or any other CFB team makes. I really don't. There probably is a correlation between the success of a team and athletic department revenue, but how strong is it? It still comes down to 4 quarters of well-played football.
            "The first thing I learned upon becoming a head coach after fifteen years as an assistant was the enormous difference between making a suggestion and making a decision."

            "They talk about the economy this year. Hey, my hairline is in recession, my waistline is in inflation. Altogether, I'm in a depression."

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            -Rick Majerus

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            • #7
              Originally posted by Jeff Lebowski View Post
              So maintaining an HD truck is extremely expensive, even for a big network like ESPN. That makes sense.

              That begs the question: who is paying the bills for BYU's private HD truck? Why are we ignoring those costs in the analysis?
              Good question. Spend $50M for a truck that enables us to realize an additional $10M-$20M in football revenue over the next 5 or 10 years. Maybe some other cost center is going to get the crap kicked out of it besides the athletic department.
              Everything in life is an approximation.

              http://twitter.com/CougarStats

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              • #8
                Originally posted by Indy Coug View Post
                Good question. Spend $50M for a truck that enables us to realize an additional $10M-$20M in football revenue over the next 5 or 10 years. Maybe some other cost center is going to get the crap kicked out of it besides the athletic department.
                Do you really believe the broadcast center and HD truck were built/acquired primarily to be used for BYU football?
                If we disagree on something, it's because you're wrong.

                "Somebody needs to kill my trial attorney." — Last words of George Harris, executed in Missouri on Sept. 13, 2000.

                "Nothing is too good to be true, nothing is too good to last, nothing is too wonderful to happen." - Florence Scoville Shinn

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                • #9
                  Originally posted by SoCalCoug View Post
                  Do you really believe the broadcast center and HD truck were built/acquired primarily to be used for BYU football?
                  I don't know but you've got to cost-justify a $50M+ expenditure somehow, don't you? You think that Cross Stitch Memories, Pearl of Great Price Discussions and General Conference HD broadcasts are going to generate the ROI for that kind of expenditure?
                  Everything in life is an approximation.

                  http://twitter.com/CougarStats

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                  • #10
                    Totally honest question:

                    What was the original impetus behind BYU's investment in the "HD Truck?"

                    I mean, for purported $50M truck that is supposedly expensive to maintain and move, I can’t believe that the LDS Church fronted the cash just for the hell of having a totally rad HD truck, right? There had to be a designated use and purpose. Maybe the decision makers on the magic HD truck were thinking of football down the road, but I doubt it.

                    Which leads me to my question: how many of these BYU communications assets that reports claim the athletic department is dangling in front of the Big 12, ESPN, etc., are really usable for football? Will they schedule out the HD truck between the communications and athletic departments like a ward cultural hall?

                    Also, what happens when ESPN has a killer TV opportunity with a quality west coast opponent that is totally on board but the only available date is on general conference weekend? How long before ESPN tires of scheduling around the filming of the new installation of the “Testaments Movie?” (Assuming that the Church doesn’t have its own fleet of HD trucks in downtown SLC)

                    These are honest questions that I just don’t know enough about BYU to ask intelligently. I assume that the athletic department has done its due diligence internally to avoid “over-promising” the universities assets, but I don’t know why the BYU would’ve bought a state-of-the-art HD truck that wasn’t projected to be heavily used before all of this independence talk.

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                    • #11
                      Originally posted by Indy Coug View Post
                      I don't know but you've got to cost-justify a $50M+ expenditure somehow, don't you? You think that Cross Stitch Memories, Pearl of Great Price Discussions and General Conference HD broadcasts are going to generate the ROI for that kind of expenditure?
                      Isaiah 55:8–9
                      For My thoughts are not your thoughts, neither are your ways my ways, saith the Lord. For as heaven is higher than earth, so my ways are higher than your ways, and my thoughts than your thoughts.
                      Dio perdona tante cose per un’opera di misericordia
                      God forgives many things for an act of mercy
                      Alessandro Manzoni

                      Knock it off. This board has enough problems without a dose of middle-age lechery.

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