April 18, 2022

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We’re looking for the next 25 rising stars in the sports industry! If you know someone deserving, shoot your shot and nominate them! Today is the final day for submissions, so make yours here [[link removed]] by 11:59 p.m. ET. See additional details below.

Apple May Already Have ‘NFL Sunday Ticket’ Deal

Kevin Jairaj-USA TODAY Sports

Apple’s deal to stream live baseball games may pale in comparison to what comes next: The tech giant is reportedly close to securing a deal for “NFL Sunday Ticket.”

The deal for the out-of-market broadcast package is on the cusp of completion, according to The Puck, with one source saying it’s done [[link removed]] already. The announcement is being delayed to better fit Apple’s timing, per the insider.

The deal could earn the NFL around $2.5 billion annually.Sources told Front Office Sports in March that Apple is interested in bundling [[link removed]] “NFL Sunday Ticket,” mobile streaming rights, and a stake in NFL Media.A deal could see Apple take on up to 49% of NFL Media.

The NFL is also reportedly exploring [[link removed]] launching its own streaming service, which could offer out-of-market games for $5 per month.

Apple’s Big Moment

Apple announced its seven-year MLB deal worth an annual $85 million during a product event in March. It could seek to do the same for an NFL-related announcement.

Its next such event is the Worldwide Developer Conference, scheduled for June 6-10.

A January report from investment firm Wedbush said that Apple was preparing to spend billions of dollars on live sports to drive subscriptions to Apple TV+.

Commanders Label Allegations ‘Implausible’ in Response to FTC

Geoff Burke-USA TODAY Sports

The Washington Commanders’ legal team called the allegations made by a former team ticket employee “uncorroborated and implausible” in Monday’s 102-page letter to the Federal Trade Commission.

The document obtained by Front Office Sports — which included email exchanges, spreadsheet, and affidavits from former Commanders general counsel David Donovan and former team COO Mitch Gershman — served as response to last week’s letter [[link removed]] sent by the House Oversight Committee to the FTC.

Jordan Siev, a partner at the firm Reed Smith who represents the Commanders, wrote that the team was not given “any mechanism whatsoever for the team to address the truth of the allegations.”

The Commanders’ Rebuttal

In the letter, Oversight Committee chair Rep. Carolyn Maloney wrote that team executives and owner Dan Snyder “may have engaged in a troubling, long-running, and potentially unlawful pattern of financial conduct.”

The Commanders’ legal team wrote that auditors “unsurprisingly” didn’t find anything amiss with how revenue from a Navy-Notre Dame game or a Kenny Chesney concert was accounted for, as Jason Friedman, the ex-employee, claimed. The team claimed it didn’t intentionally underreport Commanders ticket revenue and thus didn’t, short revenue sharing requirements under NFL bylaws. The Commanders say deposits for club seats were not converted into team revenue, as Friedman alleged.

Allegations that the Commanders held back ticket revenue from the NFL were first reported [[link removed]] by FOS on April 2 and those claims were part of the Oversight Committee’s letter to the FTC, using evidence provided by Friedman.

SPONSORED BY FIDELITY

Reinvention Through Positivity

Drafted 8th overall in the 1988 NBA Draft, Rex Chapman was a star. He left Kentucky as a legend, named to the All-SEC Team and All-American Team in his final season.

Chapman went on to play 12 seasons in the NBA for four different teams. Injuries plagued the latter half of Chapman’s career however, and the road that followed his retirement was a difficult one.

Now Rex Chapman is well known for his light-hearted content on social media and is excited to continue his Second Act in media as host of a new show on CNN+, where he’ll interview athletes, entertainers and everyday heroes as Chapman looks for the silver lining beyond today’s toughest headlines.

Check out our latest episode of Second Acts [[link removed]], presented by Fidelity [[link removed]], to learn more about Rex’s story of reinvention.

SeatGeek Posts Record $82.5M in Q4 Revenue

Vincent Carchietta-USA TODAY Sports

Ticketing platform SeatGeek reported record fourth-quarter revenue in the company’s latest earnings report.

SeatGeek generated [[link removed]] a record $82.5 million in revenue in Q4 2021, up from $4.8 million for the same period the year prior, by providing ticketing services to teams including the Dallas Cowboys, Brooklyn Nets, and Liverpool FC.

The strong results follow an underwhelming FY2020 for SeatGeek. The company saw its revenue drop from $142 million in 2019 to $33 million in 2020 largely due to the pandemic and fan limitations at in-person events. SeatGeek rebounded with $186.3 million in revenue in FY2021.

SeatGeek continues to diversify its portfolio through multiple sports in 2022.

It secured [[link removed]] a deal in January with Daytona International Speedway for the Daytona 500.In February, it agreed [[link removed]] to a multiyear deal with the NWSL’s Kansas City Current.Earlier this month, it inked a multiyear partnership [[link removed]] with the Citi Open tennis tournament.

In October 2021, SeatGeek went public [[link removed]] via a merger with RedBall Acquisition Corp., valuing the combined entity at $1.35 billion. The merger with RedBall, a SPAC co-founded by Oakland A’s executive and minority owner Billy Beane, included a $100 million investment from Kevin Durant’s Thirty Five Ventures, Utah Jazz owner Ryan Smith, and other investors.

Piece of the Pie

SeatGeek has increased its market share year-over-year since 2017. The company has jumped from a 5% to 12% share of a live entertainment market valued [[link removed]] at $126 billion.

Conversation Starters In The Leadoff, AC Milan is reportedly in exclusive talks to be purchased by a Middle East sovereign wealth fund, Qatar World Cup ticket sales are on pace for the best since 2014, the average MLB salary has increased by 5.9%, and the Carolina Panthers’ pause on their $800 million facility project jeopardizes tax credits. Click here to listen [[link removed]]. Former NFL running back Marshawn Lynch and rapper Macklemore have become minority investors [[link removed]] in the NHL’s Seattle Kraken, which is valued at $875 million, according to Forbes. The minority equity stake deals are estimated to be for 1% or less. Five prospective buyers who have submitted non-binding bids for the Denver Broncos will have in-person meetings [[link removed]] with team leadership in May. Roki Sasaki is also known as Mr. Perfect and could soon be the most talked-about — and expensive — Japanese import in baseball. On April 10, Sasaki threw the first perfect game [[link removed]] in Nippon Professional Baseball since 1994 — then followed it up with eight more perfect innings on Sunday for the Chiba Lotte Marines. Subscribe to Scoreboard for more [[link removed]] on the 20-year-old phenom.

SPONSORED BY ANHEUSER-BUSCH

Last Call for Nominations

Just hours left to nominate an up-and-coming young professional changing the game in the business of sports.

The Front Office Sports Rising 25 Award [[link removed]], presented by Anheuser-Busch, celebrates the careers of the brightest young stars in the business of sports. To date, we’ve honored 125 individuals and we’re looking for our next group of young stars.

Nominations are open through 11:59 p.m. ET TONIGHT. Winners will be announced in June and honored at a celebration in New York City this fall.

Nominate, today [[link removed]]!

Market Movers

U.S. stocks experienced gains across all three major indexes on Monday. Here’s a look at how sports-related stocks performed:

UA [[link removed]]

Under Armour Inc

[[link removed]]

$14.82

[[link removed]]

+0.03%

[[link removed]] FL [[link removed]]

Foot Locker Inc

[[link removed]]

$30.32

[[link removed]]

-0.25%

[[link removed]] MGM [[link removed]]

MGM Resorts International

[[link removed]]

$41.14

[[link removed]]

-0.41%

[[link removed]] ARMK [[link removed]]

Aramark

[[link removed]]

$36.79

[[link removed]]

-0.51%

[[link removed]] RCI [[link removed]]

Rogers Communications Inc.

[[link removed]]

$58.67

[[link removed]]

-0.83%

[[link removed]] (Note: All as of market close on 4/18/22) What to Watch

The Toronto Raptors (48-34) face the Philadelphia 76ers (51-31) on Monday at Wells Fargo Center.

How to Watch: 7:30 p.m. ET on TNT

Betting Odds: 76ers -7.5 || ML -320 || O/U 215.5*

Pick: Expect the 76ers to build on Saturday’s win. Take Philadelphia to cover.

Refer Friends to Score Your Favorite Team’s Jersey

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Written by Owen Poindexter [[link removed]], A.J. Perez [[link removed]], Justin Byers [[link removed]]

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