The NFL was found guilty of breaking the Sunday ticket antitrust law. They are now ordered to pay more than $4.7 billion in damages for its “Sunday Ticket” subscription service. Legal reporter Meghann Cuniff reports that the NFL was ordered to pay $4.7 billion to residential customers. As well as $96 million to commercial subscribers. Which include pubs and restaurants. By federal antitrust law, the damages might increase to over $14 billion. In contrast, the NFL declared its intention to challenge the ruling.
Out Of Market Games
The jury found that the NFL colluded with network partners to increase fees for the “NFL Sunday Ticket”. The subscription program for out-of-market games.
“We continue to believe that our media distribution strategy. Which features all NFL games broadcast on free over-the-air television. In the markets of the participating teams and national distribution of our most popular games. Supplemented by many additional choices. Is by far the most fan-friendly distribution model in all of sports and entertainment,” the NFL stated.
Cuniff pointed out that the jury might have given damages of up to $7 billion. So that would have increased to $21 billion under antitrust legislation. Joe Reedy of the Associated Press, says the class-action lawsuit included 48,000 businesses and 2.4 million residential customers. That all bought the bundle from the NFL and DirecTV between 2011 and 2023.
Lower Price
The plaintiffs contended that in reality, the NFL declined several chances to lower the cost of the subscription bundle. Said Alex Schiffer of Front Office Sports. The jury was informed throughout the trial about a recent ESPN proposal. In reality, that proposal would have reduced the cost of the Sunday Ticket to $70 annually.
Currently, YouTube TV customers must pay $349 a year for the service. Sports broadcasting is excluded from federal antitrust laws. As a result, plaintiffs argued that subscription packages are not covered by this exception. However, it only applies to over-the-air transmissions.
What’s Next
Cuniff reports that the Sunday Ticket package, for which Google-owned YouTube TV bought the rights as of last year. May not survive as a result of the decision.
According to Reedy, U.S. District Judge Philip Gutierrez stated last week that the plaintiffs’ case had “turned into 25 hours of depositions and gobbledygook.” To point out his dissatisfaction with the case.
Even though Cuniff stated that the verdict “will make it harder for him” to support the NFL. However, the judge could still reject the jury’s decision because there was insufficient evidence.
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