June 24, 2024

Read in Browser [[link removed]]

POWERED BY

The nearly monthlong $21 billion NFL Sunday Ticket trial may hit its final stages this week. … As the Stanley Cup Final heads to a dramatic Game 7 on Monday night, the NHL’s future in Arizona gets even murkier. … ESPN Bet hasn’t even been live for a year, but its operator could be getting new ownership. … Front Office Sports Today explores a rising sports streamer. … And we look back at one of the most influential rebrandings in sports history.

— David Rumsey [[link removed]], A.J. Perez [[link removed]], and Eric Fisher [[link removed]]

NFL Sunday Ticket Trial Nears End: Latest on $21 Billion Antitrust Battle [[link removed]]

Jay Biggerstaff-USA TODAY Sports

The ongoing NFL Sunday Ticket trial [[link removed]] in Los Angeles may be drawing closer to a conclusion entering its fourth week, as the league continues its efforts to fend off an antitrust lawsuit that could ultimately cost $21 billion and, perhaps more important, put a major wrench in a longtime, lucrative media-rights strategy.

Closing statements could come this week, with the last scheduled witness, an economist from Stanford University, set to finish [[link removed]] his testimony Monday. Other witnesses who have taken the stand include NFL commissioner Roger Goodell (above) and Cowboys owner Jerry Jones. Patriots owner Robert Kraft was among those to give a deposition.

Trial Twists and Turns

For those getting caught up on the situation, here are some of the major storylines that Front Office Sports has been following:

The NFL wouldn’t let ESPN, which wanted to bid for Sunday Ticket, drastically reduce the price [[link removed]] of the package. Goodell took a shot [[link removed]] at the quality of NFL Network game broadcasts. The league entered the trial with an uphill battle [[link removed]]. Testimony from key figures like Goodell and Jones showed the gravity [[link removed]] of the situation.

U.S. District Judge Philip Gutierrez, who is overseeing the case, last week said he was upset with how the plaintiffs have handled the lawsuit, which in his mind has become too complicated.

“This case has gone in a direction it shouldn’t have gone,” Gutierrez said [[link removed]]. Should the case go to a jury verdict, and the NFL loses, the league will still be able to appeal all the way up to the Supreme Court, if it chooses to do so.

Where Did This Begin?

The Sunday Ticket lawsuit was originally brought forward by a pub in San Francisco called Mucky Duck in 2015. The bar felt it was being taken advantage of by the league when purchasing the out-of-market package of games. But its owner, Jason Baker, has not testified in the case. Now, it is a class action suit, which can be viewed here [[link removed]], and includes many other restaurant owners and individual citizens as plaintiffs.

Coyotes’ Latest Setback Casts Doubt on the NHL’s Future in Arizona [[link removed]]

Mark J. Rebilas-USA TODAY Sports

On Friday, a Coyotes spokesperson told Front Office Sports that the team was “committed to winning the land auction,” a pivotal step for securing any future of an NHL team in Arizona.

Roughly an hour later, though, the Arizona State Land Department canceled [[link removed]] Thursday’s auction—a move that intensified doubts over Coyotes owner Alex Meruelo’s ability to relaunch the dormant franchise. The Coyotes, in a statement later Friday, said that the cancellation of the auction “seriously jeopardizes the future of NHL hockey returning to the desert.”

But even if the land auction proceeded—one that was expected to fetch around double the $68.5 million appraised value of the land—and Meruelo won the auction, he still faced plenty of obstacles before the Coyotes would be reborn.

“Hopefully, he will finally bow out so that the NHL can begin discussions with other real potential owners,” former Coyotes executive Rich Nairn wrote on X [[link removed]].

Meruelo, under pressure from the NHL, sold all but the team’s name in April to Utah Jazz owner Ryan Smith, a $1.2 billion deal that relocated the team to Salt Lake City. But Meruelo was given the exclusive rights [[link removed]] to NHL hockey in the Phoenix area as part of the transaction as long as he built a suitable arena to bring the Coyotes back as an expansion franchise within five years.

There were whispers around the NHL and in Arizona that Meruelo lacked the allies to make that a reality—and the Coyotes didn’t win the hearts and minds with their statement that included the team was “exploring all of our legal options” over the canceled auction.

That didn’t seem to nudge the Arizona State Land Department when it came how soon the auction would be back on.

“We don’t yet know if or when it will be rescheduled,” a land department spokesperson told FOS via email on Saturday.

What Latest Blow Means

This would be the third major setback for the Meruelo over the last 13 months. In May 2023, Tempe voters rejected [[link removed]] three ballot propositions that would have cleared the way for a new home of the Coyotes as part of an entertainment district. That meant the Coyotes would head into their second season at Arizona State’s Mullett Arena with no solidified plans to get out of the 5,000-seat venue.

The Coyotes filed for an application for 200 acres of land—that included the acreage in the canceled auction—in June 2023. But when infrastructure costs exceeded projections, the Coyotes yanked that application and narrowed down a proposal to 110 acres, delaying the land auction for several months.

This latest setback could, at long last, be Meruelo’s final one.

SPONSORED BY GOLFSUITES

This Shark Sees a Masterful Investment

The sports world may still be buzzing from Bryson DeChambeau’s U.S. Open chip, but the biggest trend in golf is happening away from the golf course.

For the first time in history, more people played golf at an off-course venue than on a golf course last year.

That’s a massive opportunity for GolfSuites [[link removed]]. In fact, Kevin Harrington, an original shark from Shark Tank, says investing in GolfSuites is one of his “favorite opportunities [[link removed]]right now.”

Why?

Its elite venues, from outdoor ranges to downtown bars, bring golf nearly anywhere. And every venue it has opened is already profitable. Now it’s ready to expand to more than 200 cities.

Don’t miss your chance. Click here [[link removed]]to learn more about the GolfSuites investment opportunity today.*

ESPN Bet’s Operator Is Reportedly Being Eyed in a Potential Takeover [[link removed]]

Kirby Lee-USA TODAY Sports

The difficult task of achieving scale in a sports betting market dominated by FanDuel and DraftKings could help prompt more large-scale dealmaking among the industry’s challengers.

Casino operator Boyd Gaming has approached Penn Entertainment, the operating partner [[link removed]] of ESPN Bet, about a potential takeover, according to a Reuters report [[link removed]]. The proposed deal—likely premised in part on Boyd Gaming’s interest in Penn Entertainment’s land-based casinos—still faces a variety of obstacles, including the need for approval from regulators and ESPN parent Disney. But the fact it’s even being discussed shows the pressure that exists in this consolidating business [[link removed]]. No specific prices for an acquisition have been disclosed; the two companies have a combined market value of nearly $17 billion.

Despite Penn Entertainment’s stated intent [[link removed]] to reach a 20% market share with ESPN Bet by 2027 in its $2 billion deal with the sports media giant, early progress in many key states shows the big gap that still remains. In key states such as Pennsylvania, Massachusetts, and Illinois, ESPN Bet is claiming about 5–6% of the market. The brand is set to debut [[link removed]] in New York later this year, but the steep uphill climb persists for ESPN Bet and every other market upstart. Industry titans FanDuel and DraftKings, meanwhile, continue to control about 75% of the market combined.

In part because of those factors, activist investor The Donerail Group recently wrote [[link removed]*zc5862*_gcl_au*MTg2NjI5NDg0LjE3MTg5OTYyOTU.*_ga*ODcyOTc1NTg5LjE3MTg5OTYyOTU.*_ga_ZQWF70T3FK*MTcxODk5NjI5NC4xLjAuMTcxODk5NjI5NC42MC4wLjA.] the Penn Entertainment board, questioning whether the directors “are really just riverboat gamblers, content with doubling down after each loss—of shareholder capital, of management confidence, of board credibility.”

Market Moves

News of Boyd Gaming’s approach drove Penn stock up by nearly 10% on Thursday. The following day, shares settled, closing down 1% to $19.05 per share. For the year to date, the stock is down by nearly 24%, and the company’s issues have even been the subject [[link removed]] of derision on The Pat McAfee Show. By comparison, DraftKings stock is up by 25% this year, while shares [[link removed]] in FanDuel parent Flutter Entertainment are up by 8%.

Penn National has not commented on the reported interest from Boyd. But after missing analyst projections in its most recent quarter, CEO Jay Snowden acknowledged [[link removed]] that “we have not been as tight and accurate with our financial forecasting in the early days of ESPN Bet.”

Boyd Gaming owns a 5% stake in FanDuel, a holding that would likely need to be sold should the Penn National acquisition happen.

FRONT OFFICE SPORTS TODAY Media Platforms in Cord-Cutting Age

The Augusta Chronicle

As legacy media companies and tech giants duke it out for customers, Roku is positioned as one of the platforms on which that battle is playing out. Roku’s head of sports Joe Franzetta joins the show to give his take on the media landscape, how the company is positioned to survive through the cord-cutting era, and why Roku is adding sports rights of its own.

🎧 Watch, listen, and subscribe on Apple [[link removed]], Google [[link removed]], Spotify [[link removed]], and YouTube [[link removed]].

TIME CAPSULE June 24, 1922: A Giant Is Born

Stephen Lew-USA TODAY Sports

On this day 102 years ago: The American Professional Football Association renamed itself the National Football League, representing one of the greatest rebranding moves in sports history. Modern marketing wasn’t necessarily top of mind then, certainly in those simpler times, as the fledgling two-year-old league was aiming at a meeting [[link removed]] in Cleveland to solidify several other matters—including stopping teams from using players still in college. Led in part by Bears owner and founder George Halas, the name shift was designed to help signify the league’s growing ambitions, even as it was then concentrated heavily in the U.S. Midwest.

Just three teams from the 1922 NFL season have survived to this day: the Bears, Packers, and what are now the Arizona Cardinals. But the name shift helped set in motion a rise for the NFL into what is now by far the most dominant pro sports league in the U.S., and one of the most valuable properties anywhere in the world.

SPONSORED BY WENDY’S

Wendy’s New $3 English Muffin Deal

[[link removed]]

With Wendy’s $3 English Muffin Deal [[link removed]], you get your choice of a tasty grilled sausage or applewood-smoked bacon English Muffin Sandwich with a fresh-cracked egg and gooey cheese. But wait! There’s more!

This breakfast wouldn’t be complete without a small side of crispy Seasoned Potatoes [[link removed]], which are truly worth waking up for. Oh, and did we mention you get all that for just three bucks? So, grab a proper breakfast with Wendy’s new $3 English Muffin Deal at your earliest, literally, convenience.

Limited time only. U.S. price and participation may vary. Select or request an English Muffin Deal [[link removed]] to obtain the discount. Not valid for à la carte or combo orders. Single item at regular price. Prices are higher in AK and HI.

Conversation Starters French Open champion Carlos Alcaraz is set to receive [[link removed]] his own Nike logo along with a lucrative $200 million contract. Nike and Hyperice are teaming up to introduce a cutting-edge recovery boot featuring instant heating and cooling as well as dynamic air compression massage, and it will be worn by several Team USA athletes at the Paris Olympics. Check it out [[link removed]]. Think you can make a dynasty out of a small school? We’re giving away two copies of the highly anticipated EA Sports College Football 25 video game. Enter here [[link removed]] for a chance to win. See rules here [[link removed]]. Editors’ Picks Sports Betting Money Won’t Bail Out Cash-Hungry College Athletic Departments [[link removed]]by Amanda Christovich [[link removed]]Schools are desperate for money, but they won’t be partnering with gambling operators. Organizers Shake Up 2028 Los Angeles Olympics With Swimming at SoFi Stadium [[link removed]]by Alex Schiffer [[link removed]]The Los Angeles Olympics are jumping into the deep end. Why the World’s Best Amateur Golfer Started His Pro Career With a Gamble [[link removed]]by David Rumsey [[link removed]]Christo Lamprecht made an unconventional decision after his college career ended. DISCLAIMER

*This is a paid advertisement for GolfSuites 1 Inc Regulation A Offering. Please read the offering circular at invest.golfsuites.com [[link removed]]. Source for off-course golf surpassing on-course golf: National Golf Foundation.

Advertise [[link removed]] Awards [[link removed]] Learning [[link removed]] Video [[link removed]] Podcast [[link removed]] Sports Careers [[link removed]] Written by David Rumsey [[link removed]], A.J. Perez [[link removed]], Eric Fisher [[link removed]] Edited by Matthew Tabeek [[link removed]], Catherine Chen [[link removed]]

If this email was forwarded to you, you can subscribe here [[link removed]].

Update your preferences [link removed] / Unsubscribe [link removed]

Copyright © 2024 Front Office Sports. All rights reserved.

460 Park Avenue South, 7th Floor, New York NY, 10016