1 00:00:00,280 --> 00:00:03,360 Speaker 1: This is the business of sports. Let's talk Super Bowl 2 00:00:03,520 --> 00:00:06,600 Speaker 1: and Fox Sports, every single thing that occurs. I want 3 00:00:06,600 --> 00:00:08,880 Speaker 1: people to remember, this is a business. Guaranteed money isn't 4 00:00:08,880 --> 00:00:13,440 Speaker 1: necessarily guaranteed. Michael Ball, how high can these valuations got? 5 00:00:14,800 --> 00:00:17,920 Speaker 1: Everybody loves rooting against him? Right, Evan nobody Williams Off 6 00:00:17,920 --> 00:00:19,840 Speaker 1: the field, the NBA has never been buzzier. And the 7 00:00:19,960 --> 00:00:23,080 Speaker 1: leaders in the sports industry Major League Baseball Commissioner Rob 8 00:00:23,079 --> 00:00:26,360 Speaker 1: Manfredd Mike Riscoe is the commissioner of the American Athletic Conference. 9 00:00:26,400 --> 00:00:28,960 Speaker 1: Here In Smith, president of Ticketmasters in the Race Card 10 00:00:29,080 --> 00:00:32,560 Speaker 1: driver Elio Castro, and Evans Bloomberg Business of Sports from 11 00:00:32,640 --> 00:00:36,159 Speaker 1: Bloomberg Radio. Hello, I'm Scott Sshman. I'm Evan Novie Williams. 12 00:00:36,159 --> 00:00:38,480 Speaker 1: Over the next hour, we will explore the big money 13 00:00:38,520 --> 00:00:40,239 Speaker 1: issues in the world of sports and talk to some 14 00:00:40,280 --> 00:00:42,680 Speaker 1: of the biggest players in the industry. Up later on 15 00:00:42,720 --> 00:00:45,280 Speaker 1: the show, we sit down with Hag Rattner, the former 16 00:00:45,400 --> 00:00:49,080 Speaker 1: CEO of Madison Square Garden and founder of Ratner Ventures. 17 00:00:49,120 --> 00:00:51,920 Speaker 1: That's straight ahead on Bloomberg Business of Sports. But first, 18 00:00:52,040 --> 00:00:54,320 Speaker 1: Mr Novie Williams, let's take a look at some of 19 00:00:54,320 --> 00:00:59,840 Speaker 1: the top stories of the week. Beginning and ending stories one, two, three, 20 00:01:00,120 --> 00:01:05,480 Speaker 1: down to ten. The National Basketball Association suspending its season 21 00:01:06,080 --> 00:01:11,680 Speaker 1: after the nightmare scenario becomes reality and a player, Rudy 22 00:01:11,680 --> 00:01:16,120 Speaker 1: Gobert of the Utah Jazz, test positive for coronavirus. Yeah, 23 00:01:16,160 --> 00:01:18,840 Speaker 1: the the entire sports world, in a span of what 24 00:01:18,959 --> 00:01:22,600 Speaker 1: felt like twenty four hours of rushes of news, has 25 00:01:22,760 --> 00:01:24,560 Speaker 1: seems to have finally woken up that, you know, the 26 00:01:24,600 --> 00:01:27,759 Speaker 1: games can't go on as normal. And that is everything 27 00:01:27,800 --> 00:01:30,840 Speaker 1: from maybe hosting events without fans, as a number of 28 00:01:30,840 --> 00:01:34,639 Speaker 1: sports unities are doing, canceling events, as as the NBA 29 00:01:34,840 --> 00:01:36,640 Speaker 1: was was the first to do on such a such 30 00:01:36,680 --> 00:01:39,200 Speaker 1: a wide scale. Um. And again, as we've been talking 31 00:01:39,240 --> 00:01:40,840 Speaker 1: about over the you know, the past couple of weeks 32 00:01:40,840 --> 00:01:43,040 Speaker 1: on this podcast, it still feels like we are in 33 00:01:43,440 --> 00:01:46,200 Speaker 1: kind of the very early stages of how deep the 34 00:01:46,240 --> 00:01:48,960 Speaker 1: impact on on the U S sports world, you know, 35 00:01:49,000 --> 00:01:51,800 Speaker 1: let alone the global sports world is because of the 36 00:01:52,200 --> 00:01:54,000 Speaker 1: spread of the virus. Now, you and I have been talking, 37 00:01:54,040 --> 00:01:56,360 Speaker 1: of course throughout the week, sitting next to each other 38 00:01:56,360 --> 00:01:57,920 Speaker 1: every time we see a bit of news coming in, 39 00:01:58,360 --> 00:01:59,800 Speaker 1: and I sent you and I don't want to pick 40 00:01:59,840 --> 00:02:02,800 Speaker 1: on monumental sports and temples. You know friends of the show, 41 00:02:02,880 --> 00:02:06,000 Speaker 1: great owners, but they put out that press release that said, 42 00:02:06,560 --> 00:02:08,720 Speaker 1: like in paragraph three of the release, it was like, 43 00:02:08,720 --> 00:02:12,760 Speaker 1: the health officials recommend no large gatherings, and then paragraph 44 00:02:12,840 --> 00:02:17,399 Speaker 1: four said, we are going to go ahead and and play. 45 00:02:17,440 --> 00:02:19,760 Speaker 1: I do hope that we don't. You know, in two 46 00:02:19,840 --> 00:02:23,519 Speaker 1: or three weeks, look back on this week and think, man, 47 00:02:23,600 --> 00:02:28,200 Speaker 1: everybody should have acted sooner weeks sooner you know you're 48 00:02:28,240 --> 00:02:31,440 Speaker 1: right and the you know, the Washington teams are not alone. 49 00:02:31,720 --> 00:02:34,840 Speaker 1: We were in this period. I don't want to everybody. 50 00:02:35,000 --> 00:02:37,840 Speaker 1: Health officials and governments were saying a large crowd should 51 00:02:37,840 --> 00:02:41,240 Speaker 1: not be gathering. I'm recommending, I'm asking that crowds of 52 00:02:41,280 --> 00:02:45,160 Speaker 1: more than a thousand not happen, and sports teams, minutes 53 00:02:45,280 --> 00:02:49,239 Speaker 1: or hours later, we're putting out releases saying we understand 54 00:02:49,240 --> 00:02:52,000 Speaker 1: the concerns, but for now, fans will be allowed into 55 00:02:52,040 --> 00:02:54,440 Speaker 1: the arena. The Golden State Warriors had to be forced 56 00:02:54,919 --> 00:02:57,639 Speaker 1: to agree to play game with no fans, and obviously 57 00:02:57,720 --> 00:02:59,360 Speaker 1: that never happened, but they had to be forced to 58 00:02:59,360 --> 00:03:01,880 Speaker 1: do it, and in some ways, kudos to the NBA 59 00:03:01,960 --> 00:03:05,160 Speaker 1: for being the first league to at least recognize I 60 00:03:05,200 --> 00:03:08,040 Speaker 1: think the severity of where things are expect it. Where 61 00:03:08,040 --> 00:03:10,399 Speaker 1: would they have been had Rudy Gobert not tested positive 62 00:03:10,840 --> 00:03:14,200 Speaker 1: and and we just move forward with the plans of 63 00:03:14,280 --> 00:03:16,200 Speaker 1: let's play an empty arenas. I mean, it seemed like 64 00:03:16,240 --> 00:03:18,360 Speaker 1: that's where it was most. I think it would have 65 00:03:18,400 --> 00:03:21,720 Speaker 1: been some period of time where games happened without fans, 66 00:03:21,760 --> 00:03:24,360 Speaker 1: and then inevitably something was going to happen, whether it 67 00:03:24,360 --> 00:03:27,600 Speaker 1: was a player testing positive or a referee testing positive, 68 00:03:27,840 --> 00:03:29,480 Speaker 1: that was gonna throw the whole thing, you know, out 69 00:03:29,520 --> 00:03:31,400 Speaker 1: of whack. And this is you know, other leagues are 70 00:03:31,440 --> 00:03:34,720 Speaker 1: going to have to follow the NBA's lead because of 71 00:03:34,760 --> 00:03:37,960 Speaker 1: this scenario right in the In the fourteen days before 72 00:03:38,280 --> 00:03:41,200 Speaker 1: Rudy Gobert took took the court on Wednesday night, he 73 00:03:41,280 --> 00:03:45,640 Speaker 1: played six games against six other teams. He the referees 74 00:03:45,680 --> 00:03:48,360 Speaker 1: from those games work fly around the country. They worked 75 00:03:48,400 --> 00:03:51,440 Speaker 1: tons of other games. Uh, just the web of people 76 00:03:51,680 --> 00:03:57,160 Speaker 1: around the NBA. He touched his own teammates, opponent, opposing players, referees, fans, 77 00:03:57,400 --> 00:04:00,800 Speaker 1: team personnel, they go out. It just spreads around so quickly. 78 00:04:00,840 --> 00:04:02,960 Speaker 1: How about the worst part of it, Remember the way 79 00:04:03,000 --> 00:04:05,240 Speaker 1: that this one of the first actions the league took 80 00:04:05,320 --> 00:04:08,280 Speaker 1: was to separate players from the media to close off 81 00:04:08,400 --> 00:04:12,200 Speaker 1: the locker room to anyone not closely associated associated with 82 00:04:12,240 --> 00:04:15,680 Speaker 1: the team. So I guess the media sessions were happening 83 00:04:15,680 --> 00:04:18,360 Speaker 1: a six to eight foot distance, and it was, of 84 00:04:18,400 --> 00:04:22,040 Speaker 1: course just in the worst case scenario. I guess Rudy Gobert, 85 00:04:22,400 --> 00:04:25,520 Speaker 1: in a show of solidarity for the media, was trying 86 00:04:25,520 --> 00:04:28,239 Speaker 1: to make a point or a joke, and he touched 87 00:04:28,400 --> 00:04:33,400 Speaker 1: every single tape recorder that was put before him that day. You, 88 00:04:33,520 --> 00:04:36,640 Speaker 1: I mean, you could not write, you could not write 89 00:04:36,640 --> 00:04:40,240 Speaker 1: that right, that script um and yes, that's I mean that. 90 00:04:40,640 --> 00:04:43,280 Speaker 1: Imagine if one of those reporters gets it right. The 91 00:04:43,920 --> 00:04:47,440 Speaker 1: we haven't face We haven't talked much about kind of 92 00:04:47,480 --> 00:04:50,960 Speaker 1: all the legal questions surrounding this, but I'm sure and 93 00:04:51,160 --> 00:04:54,320 Speaker 1: the NBA Adam Silvery owners are, every league is as well, 94 00:04:54,640 --> 00:04:57,080 Speaker 1: you know, are what are we liable for? You know 95 00:04:57,120 --> 00:05:00,760 Speaker 1: what happens when you know the way epid emologists kind 96 00:05:00,760 --> 00:05:03,159 Speaker 1: of trace a lot of these outbreaks, They sometimes do 97 00:05:03,200 --> 00:05:06,359 Speaker 1: a very good job of determining, you know, where someone 98 00:05:06,400 --> 00:05:09,920 Speaker 1: got something, what's the common thread, etcetera. If it does 99 00:05:10,000 --> 00:05:13,360 Speaker 1: come down that a sporting event or you know, let alone, 100 00:05:13,760 --> 00:05:16,280 Speaker 1: a player could have been patient zero for for something 101 00:05:16,320 --> 00:05:19,280 Speaker 1: like that, that is that is the absolute absolute worst time. 102 00:05:19,360 --> 00:05:20,760 Speaker 1: You know what, I get a lot of these days, 103 00:05:21,320 --> 00:05:24,600 Speaker 1: don't they have insurance? I get everybody says that. So, 104 00:05:24,839 --> 00:05:27,680 Speaker 1: you know, we dug around into the labor contract, and 105 00:05:27,960 --> 00:05:34,200 Speaker 1: interestingly enough, the better case scenario might be no games 106 00:05:34,839 --> 00:05:39,359 Speaker 1: for the NBA because uh, a forced masure contract in 107 00:05:39,440 --> 00:05:42,840 Speaker 1: the labor deal that was inserted after nine eleven covers 108 00:05:42,880 --> 00:05:49,680 Speaker 1: things like hurricanes and explosions, but specifically also includes epidemics. 109 00:05:49,720 --> 00:05:52,640 Speaker 1: So you think that that comes into play here, and 110 00:05:53,000 --> 00:05:56,279 Speaker 1: all of the players for games that for each game 111 00:05:56,279 --> 00:05:58,480 Speaker 1: that is docked, they lose about one percent of their salary. 112 00:05:58,839 --> 00:06:01,680 Speaker 1: So the players the biggest expense that owners have the 113 00:06:01,720 --> 00:06:04,760 Speaker 1: player contracts, that's taking care of. By the way, kudos you. 114 00:06:04,839 --> 00:06:07,080 Speaker 1: I mean, you wrote that story a week ago, and 115 00:06:07,120 --> 00:06:08,520 Speaker 1: I feel like when it when it came out, a 116 00:06:08,560 --> 00:06:10,480 Speaker 1: lot of people were thinking, man, we're already talking Why 117 00:06:10,480 --> 00:06:12,520 Speaker 1: are we talking about NBA canceling games. We're not even 118 00:06:12,520 --> 00:06:14,280 Speaker 1: close to that yet, you know. And and fast forward 119 00:06:14,320 --> 00:06:17,200 Speaker 1: a week suddenly all the games are are are are postponed, 120 00:06:17,560 --> 00:06:19,080 Speaker 1: and you're right, you know this is gonna this is 121 00:06:19,120 --> 00:06:26,280 Speaker 1: gonna affect TV contract everything stadium lease agreements, sponsorship. Yeah, 122 00:06:26,360 --> 00:06:28,320 Speaker 1: this is this one is you have to hold you 123 00:06:28,360 --> 00:06:31,599 Speaker 1: What you're hoping here is that your long standing relationships 124 00:06:32,200 --> 00:06:34,240 Speaker 1: hold strong and that you figure out a way to 125 00:06:34,279 --> 00:06:36,560 Speaker 1: help each other out. Yes. Um, and kudos by the 126 00:06:36,560 --> 00:06:39,440 Speaker 1: way to Mark Cuban, I thought he did you know 127 00:06:39,520 --> 00:06:42,679 Speaker 1: in and then literally the moments after he found out 128 00:06:43,040 --> 00:06:45,440 Speaker 1: didn't have advanced warning, because there's video of him getting 129 00:06:45,440 --> 00:06:47,520 Speaker 1: the email. The moments after he found out that the 130 00:06:47,560 --> 00:06:51,279 Speaker 1: league was suspending operations for at least two weeks, he 131 00:06:51,520 --> 00:06:53,760 Speaker 1: went right on ESPN. I thought he did a very 132 00:06:53,760 --> 00:06:57,520 Speaker 1: good job kind of elucidating how important other things were 133 00:06:57,560 --> 00:07:00,520 Speaker 1: besides basketball, and his comments about the hourly wage workers. 134 00:07:00,560 --> 00:07:02,440 Speaker 1: I thought all that was great, All right, Evan, Let's 135 00:07:02,480 --> 00:07:05,880 Speaker 1: turn to US Soccer, which put a giant cleat in 136 00:07:05,920 --> 00:07:08,600 Speaker 1: its mouth in a legal filing. Yeah. I think this 137 00:07:08,640 --> 00:07:12,120 Speaker 1: would be a massive story if there was not one much, 138 00:07:12,200 --> 00:07:14,960 Speaker 1: much bigger story happening right now. Uh in sports business. 139 00:07:15,000 --> 00:07:18,240 Speaker 1: The ongoing saga right now between the women's national soccer 140 00:07:18,280 --> 00:07:21,920 Speaker 1: team and US Soccer over equal pay got a bit 141 00:07:22,040 --> 00:07:25,600 Speaker 1: uglier this week, and in a new filing, US Soccer, 142 00:07:25,880 --> 00:07:28,280 Speaker 1: you know, kind of clarified its arguments that it's made, 143 00:07:28,360 --> 00:07:31,440 Speaker 1: you know, for a while now trying to make the 144 00:07:31,720 --> 00:07:34,200 Speaker 1: case that the men's national team and women's national team 145 00:07:34,200 --> 00:07:37,440 Speaker 1: are paid differently because they have fundamentally different jobs. And 146 00:07:37,560 --> 00:07:39,320 Speaker 1: even though, by the way, the mission statement of US 147 00:07:39,360 --> 00:07:44,040 Speaker 1: Soccer is UM, one of the arguments they made, or 148 00:07:44,040 --> 00:07:45,560 Speaker 1: a few of the arguments they made, is that the 149 00:07:45,600 --> 00:07:47,960 Speaker 1: men's game is a higher level of soccer. I don't 150 00:07:47,960 --> 00:07:50,880 Speaker 1: think anybody would disagree with that, but that you know, 151 00:07:50,960 --> 00:07:52,800 Speaker 1: the game is more intense, the opponents are better, and 152 00:07:52,840 --> 00:07:54,960 Speaker 1: as a result, it's a different job. They need more skill. 153 00:07:55,120 --> 00:07:58,880 Speaker 1: They also they also argue that the crowds that that 154 00:07:58,880 --> 00:08:00,760 Speaker 1: that the US men's team plays in front of our 155 00:08:00,760 --> 00:08:04,360 Speaker 1: often more hostile than the women's women's crowds, and as 156 00:08:04,360 --> 00:08:07,160 Speaker 1: a result, again, you know, pay should be different. And 157 00:08:07,200 --> 00:08:10,080 Speaker 1: that is a tough argument to make. And the sponsors, 158 00:08:10,080 --> 00:08:13,840 Speaker 1: which you almost never see sponsors are loath to come 159 00:08:13,840 --> 00:08:18,960 Speaker 1: out publicly and criticize the properties that they're partnered with UM, 160 00:08:19,000 --> 00:08:22,240 Speaker 1: and if they do, it's something so so egregious, they'll 161 00:08:22,240 --> 00:08:25,320 Speaker 1: come out together. But may Yeah, here's here's what Coke said. 162 00:08:25,360 --> 00:08:29,080 Speaker 1: Extremely disappointed with the unacceptable and offensive comments we've asked 163 00:08:29,080 --> 00:08:31,960 Speaker 1: to meet with them immediately to express our concerns. And 164 00:08:32,000 --> 00:08:34,079 Speaker 1: Coker is not alone here. There's a number of others. Deloitte, 165 00:08:34,280 --> 00:08:36,880 Speaker 1: it was out there. I think the visa UM, A 166 00:08:36,920 --> 00:08:39,040 Speaker 1: lot of people jumped immediately. Also, did you see the 167 00:08:39,280 --> 00:08:45,840 Speaker 1: player responds to this ridiculous argument belongs in the paleolithic era. 168 00:08:46,120 --> 00:08:49,520 Speaker 1: It sounds has been made by a cave. That is 169 00:08:49,840 --> 00:08:53,360 Speaker 1: that that is uh, that's that's strong. I like the 170 00:08:53,360 --> 00:08:57,840 Speaker 1: women posting videos of different shots, goals, things that happened 171 00:08:57,920 --> 00:09:00,480 Speaker 1: and and all just kind of referencing the comment Yep, 172 00:09:00,559 --> 00:09:03,200 Speaker 1: no skill here, no no nothing here. Did you see 173 00:09:03,240 --> 00:09:06,600 Speaker 1: what they did with their with their warm up uniforms? Yeah, 174 00:09:06,679 --> 00:09:10,160 Speaker 1: so they they essentially I guess they scratched off or 175 00:09:10,200 --> 00:09:13,800 Speaker 1: removed the US Soccer crest so it was just kind 176 00:09:13,800 --> 00:09:16,200 Speaker 1: of a blank patch, but left the four stars, which 177 00:09:16,240 --> 00:09:17,800 Speaker 1: you know, for folks who don't know, you put a 178 00:09:17,800 --> 00:09:19,520 Speaker 1: star in your uniform for every World Cup you win. 179 00:09:19,679 --> 00:09:24,040 Speaker 1: They left those up there to make a little less 180 00:09:24,040 --> 00:09:27,760 Speaker 1: than four no no stars. Um, but you know this 181 00:09:27,880 --> 00:09:29,480 Speaker 1: is again I think it would be a bigger story 182 00:09:29,520 --> 00:09:31,959 Speaker 1: if if there wasn't other stuff going on. Carlos Cordero, 183 00:09:32,080 --> 00:09:34,960 Speaker 1: the relatively newish head of US Soccer. You know people 184 00:09:34,960 --> 00:09:37,199 Speaker 1: are calling for him to step down. He issued the 185 00:09:37,240 --> 00:09:40,400 Speaker 1: apology that you were mentioning, essentially said he was embarrassed 186 00:09:40,440 --> 00:09:43,439 Speaker 1: that they had they had made that nobody proof read. 187 00:09:43,640 --> 00:09:47,960 Speaker 1: Was this done by an in house council, by outside counsel? Like? 188 00:09:48,120 --> 00:09:51,520 Speaker 1: Come on, do not think that people would read this 189 00:09:51,600 --> 00:09:55,800 Speaker 1: and think it was utterly absurd, especially sponsors. So yeah, 190 00:09:55,840 --> 00:09:59,080 Speaker 1: sponsors who have been so vocal recently about how much 191 00:09:59,120 --> 00:10:01,839 Speaker 1: they appreciate what the women's team has done on the field, 192 00:10:01,840 --> 00:10:06,120 Speaker 1: off the field, the growth areas they see in women's sports. Um, yes, 193 00:10:06,200 --> 00:10:08,280 Speaker 1: this is a it's a tone deaf. If you're you 194 00:10:08,280 --> 00:10:11,920 Speaker 1: can can't imagine if you're utilizing the women's team as 195 00:10:12,040 --> 00:10:16,480 Speaker 1: a sponsor as a vehicle of female empowerment. My lord, 196 00:10:16,920 --> 00:10:20,080 Speaker 1: you better speak up loud and clear. These are your customers. 197 00:10:20,360 --> 00:10:23,440 Speaker 1: Imagine if Visa didn't cut up the card. Yeah, I 198 00:10:23,440 --> 00:10:25,920 Speaker 1: can drink PEPSI forget it, I don't need coke. You 199 00:10:26,080 --> 00:10:31,360 Speaker 1: better be aligned with the morals of the women on 200 00:10:31,400 --> 00:10:34,600 Speaker 1: the team, agreed, and then the trial here begins May five. 201 00:10:35,040 --> 00:10:37,800 Speaker 1: I would imagine this doesn't necessarily help. It doesn't probably 202 00:10:37,920 --> 00:10:39,520 Speaker 1: doesn't hurt too much, but I'm sure it does not 203 00:10:39,600 --> 00:10:42,720 Speaker 1: help you a soccer's argument when that trial actually kicks off. 204 00:10:42,720 --> 00:10:45,440 Speaker 1: All right, let's move on name, image and likeness big 205 00:10:45,440 --> 00:10:49,439 Speaker 1: news in college sports. Seems like Nebraska is trying to 206 00:10:49,480 --> 00:10:53,559 Speaker 1: get a head start on perhaps helping its athletes take advantage. Yeah. 207 00:10:53,600 --> 00:10:56,640 Speaker 1: I kind of like this story. I mean, the college 208 00:10:56,679 --> 00:10:59,319 Speaker 1: world is chipping away at this idea that at some point, 209 00:10:59,480 --> 00:11:02,200 Speaker 1: very soon, and who knows how soon that is, college 210 00:11:02,200 --> 00:11:04,080 Speaker 1: athletes are going to be able to market themselves and 211 00:11:04,120 --> 00:11:07,600 Speaker 1: to sign contracts and get paid for endorsements, etcetera. Uh, 212 00:11:07,600 --> 00:11:09,880 Speaker 1: and Nebraska is taking it a step further than I 213 00:11:09,880 --> 00:11:13,360 Speaker 1: think any other any other athletic department out there. Right now, 214 00:11:13,440 --> 00:11:16,040 Speaker 1: they sign this partnership as you said, with open Doors. 215 00:11:16,120 --> 00:11:19,760 Speaker 1: Open Doors is a company that works with It's a 216 00:11:19,760 --> 00:11:23,319 Speaker 1: better tell everybody as the company is is open Doors 217 00:11:23,600 --> 00:11:27,840 Speaker 1: that it's actually founded by a former Nebraska Cornhusker football players, 218 00:11:27,880 --> 00:11:29,760 Speaker 1: so there's obviously some synergy there. I believe they're based 219 00:11:29,760 --> 00:11:32,400 Speaker 1: in Nebraska also. But what they do is they work 220 00:11:32,400 --> 00:11:35,520 Speaker 1: with professional athletes one in helping them kind of curate 221 00:11:35,559 --> 00:11:38,800 Speaker 1: their social media presence and give them advice on how 222 00:11:38,840 --> 00:11:41,360 Speaker 1: to draw more fans how to be more impactful. Uh. 223 00:11:41,400 --> 00:11:43,080 Speaker 1: And then the second thing they do is they connect 224 00:11:43,200 --> 00:11:46,040 Speaker 1: brands and athletes. So oftentimes I'll pick a random athlete. 225 00:11:46,080 --> 00:11:50,200 Speaker 1: But if you see Rob Gronkowski posting something about Tied, right, 226 00:11:50,240 --> 00:11:52,760 Speaker 1: there's a good chance that Rob Gronkowski got paid a 227 00:11:52,800 --> 00:11:55,080 Speaker 1: lot of money to do that. And Open Doors was 228 00:11:55,120 --> 00:11:58,200 Speaker 1: the medium through which you know, they connected Tied to 229 00:11:58,280 --> 00:12:00,000 Speaker 1: Rob and said listen, if you tweet this, we'll give 230 00:12:00,040 --> 00:12:02,600 Speaker 1: you two or fift and he tweets it, and and 231 00:12:02,679 --> 00:12:04,480 Speaker 1: that's the that's the thing there. So if the change 232 00:12:04,480 --> 00:12:05,880 Speaker 1: is coming, you might as well be prepared to take 233 00:12:05,880 --> 00:12:07,960 Speaker 1: advantage because bucks off of it. So that second thing 234 00:12:08,000 --> 00:12:10,240 Speaker 1: is not gonna happen from Nebraska athletes, yet it could 235 00:12:10,280 --> 00:12:14,120 Speaker 1: happen in the future if if neighbor imagine likeness passes 236 00:12:14,360 --> 00:12:16,040 Speaker 1: and players are allowed to do this, you could certainly 237 00:12:16,040 --> 00:12:23,000 Speaker 1: see a local Because you and I have discussed this realistically, 238 00:12:23,920 --> 00:12:27,959 Speaker 1: how many athletes are in line for big pay days 239 00:12:28,400 --> 00:12:30,240 Speaker 1: off of this? Like and the one we always go 240 00:12:30,320 --> 00:12:33,840 Speaker 1: back to when he was in college was Johnny Manziel. 241 00:12:34,280 --> 00:12:40,960 Speaker 1: Like Johnny was a huge national name, UH, with national 242 00:12:41,120 --> 00:12:45,760 Speaker 1: relevance and significance on a team that had gotten plenty 243 00:12:45,800 --> 00:12:48,760 Speaker 1: of exposure, which is the ingredients you need. But I 244 00:12:48,840 --> 00:12:52,000 Speaker 1: just can't think of too many other athletes, even at 245 00:12:52,040 --> 00:12:55,160 Speaker 1: the biggest universities, whether we're talking Ohio State, Michigan, Notre Dame, 246 00:12:55,360 --> 00:12:58,680 Speaker 1: USC whatever, that had that kind of national presence. So 247 00:12:58,760 --> 00:13:00,560 Speaker 1: it's going to be more of that regional local deal 248 00:13:00,640 --> 00:13:04,319 Speaker 1: without question. And Nebraska has six hundred and fifty uh, 249 00:13:04,360 --> 00:13:06,360 Speaker 1: it's student athletes at a certain point right all of 250 00:13:06,400 --> 00:13:08,480 Speaker 1: them are going to have access to open doors. You know, 251 00:13:08,520 --> 00:13:11,079 Speaker 1: it will give them advice on things they're posting that 252 00:13:11,120 --> 00:13:12,920 Speaker 1: are doing well, things are not doing well, things that 253 00:13:12,960 --> 00:13:15,360 Speaker 1: could be doing differently. It's not a it's a service 254 00:13:15,400 --> 00:13:17,959 Speaker 1: that is, you know, not unlike influencer, which we've talked 255 00:13:18,000 --> 00:13:19,760 Speaker 1: about and shout out to Jim Cavali out there that 256 00:13:19,760 --> 00:13:22,200 Speaker 1: the stuff they're doing is is great as well. Um, 257 00:13:22,240 --> 00:13:24,960 Speaker 1: but yes, there is this ground swell right now about 258 00:13:25,000 --> 00:13:28,840 Speaker 1: supporting student athletes, helping them grow their own brands, eventually 259 00:13:28,840 --> 00:13:31,000 Speaker 1: helping them profit off their own brands. And this is 260 00:13:31,040 --> 00:13:32,959 Speaker 1: a nice step in the right direction for Nebraska. You know, 261 00:13:32,960 --> 00:13:35,280 Speaker 1: who has got a pretty good brand. You know where 262 00:13:35,280 --> 00:13:37,560 Speaker 1: I'm going with I don't know where you Roger Federer, 263 00:13:38,559 --> 00:13:40,320 Speaker 1: he's got a very good brand. You know what. You 264 00:13:40,320 --> 00:13:43,600 Speaker 1: know what he didn't have, Yes, I do know the logo. 265 00:13:43,679 --> 00:13:46,559 Speaker 1: He didn't have a logo. You know what he has 266 00:13:46,640 --> 00:13:50,520 Speaker 1: Now he's got a logo. This was a about a 267 00:13:50,559 --> 00:13:54,200 Speaker 1: two year fight with Nike. Roger used to be a 268 00:13:54,280 --> 00:13:59,320 Speaker 1: Nike athlete and they owned as as a trademark the 269 00:13:59,679 --> 00:14:03,760 Speaker 1: r insignia that he had on his hats and his clothing. Um, 270 00:14:03,800 --> 00:14:08,680 Speaker 1: I mean that's kind of a prestigious Marquis Premium brand. Uh. 271 00:14:08,720 --> 00:14:11,680 Speaker 1: And now Roger, when he left for Uni Glow, the 272 00:14:11,760 --> 00:14:16,640 Speaker 1: brand stayed with Nike. Now, through the magic of trademark negotiation, 273 00:14:17,040 --> 00:14:19,600 Speaker 1: Roger Federer is once again the proud owner of the 274 00:14:19,680 --> 00:14:21,400 Speaker 1: r F logo. Yeah, it's funny. It made me think 275 00:14:21,400 --> 00:14:23,960 Speaker 1: of Kawhi Leonard, right, who was going through kind of 276 00:14:23,960 --> 00:14:27,280 Speaker 1: a similar process right he left Nike. He it's unclear 277 00:14:27,280 --> 00:14:32,200 Speaker 1: who owns the right to his to his logo as well. Um. Yeah, 278 00:14:32,200 --> 00:14:34,360 Speaker 1: I would love to know the financial details of how 279 00:14:34,520 --> 00:14:36,800 Speaker 1: Roger Federer managed to unwind this thing that should never 280 00:14:36,800 --> 00:14:38,880 Speaker 1: happen again, by the way, Yes, I agreed. I mean 281 00:14:38,920 --> 00:14:42,160 Speaker 1: I think if for athletes who are signing future endorsement 282 00:14:42,160 --> 00:14:44,120 Speaker 1: deals that are going to include their own brand and 283 00:14:44,160 --> 00:14:46,400 Speaker 1: their own logo. Would like to think that they would 284 00:14:46,440 --> 00:14:48,760 Speaker 1: maybe put in some protections that say, you know, if 285 00:14:48,800 --> 00:14:50,800 Speaker 1: you leave, you know that that brand comes with me. 286 00:14:51,040 --> 00:14:53,760 Speaker 1: You've got that right. Today we're speaking with Hank Ratner, 287 00:14:53,800 --> 00:14:56,880 Speaker 1: the former CEO of Madison Square Garden and the founder 288 00:14:56,920 --> 00:15:00,480 Speaker 1: of Ratner Ventures. Hello, Mr Hank, he's how are you 289 00:15:00,800 --> 00:15:03,360 Speaker 1: rat the ventures? I like the sound of that. When 290 00:15:03,720 --> 00:15:09,320 Speaker 1: one leaves the harsh and bright spotlight of a position 291 00:15:09,360 --> 00:15:12,160 Speaker 1: like the CEO of Madison Square Garden, I'm sure there 292 00:15:12,160 --> 00:15:15,280 Speaker 1: are plenty who would like to pick your brain, your rolodecks, 293 00:15:15,480 --> 00:15:19,680 Speaker 1: your your everything, tell us about what you started and 294 00:15:19,880 --> 00:15:22,800 Speaker 1: what the mission is. Well, my mission was to look 295 00:15:22,840 --> 00:15:26,800 Speaker 1: for benefit companies in which I could benefit because of 296 00:15:26,800 --> 00:15:29,760 Speaker 1: the experience I had thirty years back at whether it 297 00:15:29,840 --> 00:15:33,520 Speaker 1: was MSG, A m C or cable vision um. And 298 00:15:33,640 --> 00:15:36,360 Speaker 1: there there are a lot of sports and entertainment properties there. 299 00:15:36,720 --> 00:15:41,040 Speaker 1: So I've looked to invest and sit on boards and 300 00:15:41,200 --> 00:15:44,400 Speaker 1: participate in the growth of properties that I think really 301 00:15:44,760 --> 00:15:48,920 Speaker 1: could step it up dramatically. And those are in which 302 00:15:48,960 --> 00:15:51,320 Speaker 1: areas what do you look at? I'm gonna guess and 303 00:15:51,360 --> 00:15:55,960 Speaker 1: I know some of the things you've done. But gaming tech, digital, 304 00:15:56,520 --> 00:15:59,000 Speaker 1: that's that's what we hear. That's where everybody's looking at 305 00:15:59,000 --> 00:16:01,720 Speaker 1: putting their money because as they see the synergy with sports, 306 00:16:01,720 --> 00:16:03,560 Speaker 1: well you know, they all sort of come together because 307 00:16:03,560 --> 00:16:05,960 Speaker 1: all sports essentially is creating the content. And then the 308 00:16:06,000 --> 00:16:08,640 Speaker 1: question is how do you go distribute that content? And 309 00:16:08,960 --> 00:16:12,120 Speaker 1: that's when digital and gaming power and and this this 310 00:16:12,200 --> 00:16:14,680 Speaker 1: debate has been going on. Where's the power the content 311 00:16:14,680 --> 00:16:18,560 Speaker 1: creator or the distribution channel? Uh, it's pretty interesting now, 312 00:16:18,560 --> 00:16:20,960 Speaker 1: but to me, it's always been about the content creation. 313 00:16:21,320 --> 00:16:23,640 Speaker 1: It's about ultimately who owns it and who owns the 314 00:16:23,640 --> 00:16:26,080 Speaker 1: copyright and how it could be exploited, and the more 315 00:16:26,120 --> 00:16:29,480 Speaker 1: distribution platforms that exist and more lucrative it is to 316 00:16:29,520 --> 00:16:31,720 Speaker 1: be the content. The true geniuses have them both. They 317 00:16:31,720 --> 00:16:33,880 Speaker 1: create the content. If on Netflix, I'm creating my own 318 00:16:33,880 --> 00:16:36,600 Speaker 1: original shows, and on the distribution channel as well, well, 319 00:16:36,640 --> 00:16:39,520 Speaker 1: that's where we see the true geniuses are looking to 320 00:16:39,600 --> 00:16:41,400 Speaker 1: go now. I mean back if you looked at the 321 00:16:41,400 --> 00:16:44,240 Speaker 1: history of cable those who had the distribution also with 322 00:16:44,280 --> 00:16:46,560 Speaker 1: those who went and started creating more of the content, 323 00:16:46,880 --> 00:16:50,560 Speaker 1: as you saw with Cable Vision and AMC Networks, you know, 324 00:16:50,800 --> 00:16:52,600 Speaker 1: and you go look and you see t C I 325 00:16:52,680 --> 00:16:56,000 Speaker 1: created Liberty, um. And you go down throughout that and 326 00:16:56,040 --> 00:16:59,000 Speaker 1: you'll see it's those who held the distribution, and at 327 00:16:59,040 --> 00:17:01,640 Speaker 1: that time they really create to the content more so 328 00:17:01,720 --> 00:17:04,320 Speaker 1: to be able to add the customers to the distribution. 329 00:17:05,680 --> 00:17:08,760 Speaker 1: Now there's a lot of content, there's all the distribution, 330 00:17:08,800 --> 00:17:13,240 Speaker 1: and the distribution is ferociously looking for content to win 331 00:17:13,320 --> 00:17:16,520 Speaker 1: those subscribers. Within the context of this conversation, I'm curious 332 00:17:16,520 --> 00:17:19,440 Speaker 1: to your thoughts on the NBA right now as a 333 00:17:19,440 --> 00:17:22,080 Speaker 1: as a viewing property. You know, ratings are are down 334 00:17:22,119 --> 00:17:24,320 Speaker 1: a little bit. It seems to me from where I 335 00:17:24,320 --> 00:17:27,000 Speaker 1: sit that a lot of the great NBA content millennial 336 00:17:27,080 --> 00:17:28,240 Speaker 1: is big on this one. By the way, I knew 337 00:17:28,280 --> 00:17:29,600 Speaker 1: this was com and hang. A lot of the great 338 00:17:29,760 --> 00:17:32,639 Speaker 1: NBA content out there is not being created by the NBA, 339 00:17:32,800 --> 00:17:35,359 Speaker 1: you know, it's being created by you know, digital media 340 00:17:35,400 --> 00:17:38,280 Speaker 1: companies that are doing much shorter short form, whether it's 341 00:17:38,320 --> 00:17:41,040 Speaker 1: on Twitter or social media or even on YouTube, etcetera. 342 00:17:41,359 --> 00:17:44,240 Speaker 1: Um is there what do you think about where the 343 00:17:44,280 --> 00:17:47,199 Speaker 1: NBA is right now is as a digital property. I'm 344 00:17:47,200 --> 00:17:49,200 Speaker 1: gonna guess that Hank does not have a TikTok channel. 345 00:17:49,600 --> 00:17:54,720 Speaker 1: I'm just gonna but it's super popular with the kids. 346 00:17:55,680 --> 00:18:02,200 Speaker 1: I understand, But you know, I think those shows wouldn't 347 00:18:02,640 --> 00:18:06,040 Speaker 1: exist without the popularity of the NBA. So you have 348 00:18:06,160 --> 00:18:09,640 Speaker 1: to come back to the mother ship. And I think 349 00:18:09,720 --> 00:18:14,080 Speaker 1: nobody has shown greater stewardship to it than Adam and 350 00:18:14,200 --> 00:18:18,320 Speaker 1: David preceding him. The popularity of the NBA over the 351 00:18:18,359 --> 00:18:23,040 Speaker 1: past few decades is just skyrocket first class entertainment, first 352 00:18:23,040 --> 00:18:27,280 Speaker 1: class production, first class storytelling, and through that, all those 353 00:18:27,320 --> 00:18:31,480 Speaker 1: other opportunities for more short form, millennial based product gets created. 354 00:18:31,760 --> 00:18:34,440 Speaker 1: But it all starts and goes back to that mothership. 355 00:18:34,640 --> 00:18:37,320 Speaker 1: Is it a problem for the NBA if they can't 356 00:18:37,320 --> 00:18:40,320 Speaker 1: monetize a lot of the most popular versions of their 357 00:18:40,320 --> 00:18:42,960 Speaker 1: of their product? Now that if I'm an NBA fan 358 00:18:42,960 --> 00:18:45,600 Speaker 1: and I'm not watching NBA games, but I'm consuming you 359 00:18:45,640 --> 00:18:47,720 Speaker 1: know what the ringer is putting out on a weekly 360 00:18:47,760 --> 00:18:50,800 Speaker 1: basis about the NBA, that's a I'm a fan that 361 00:18:50,880 --> 00:18:53,359 Speaker 1: isn't being monetized in the way that say the NFL, 362 00:18:53,720 --> 00:18:55,840 Speaker 1: where everybody just wants to watch live games. It's much 363 00:18:55,880 --> 00:18:57,679 Speaker 1: easier for the NFL there to get money out of 364 00:18:57,680 --> 00:19:00,600 Speaker 1: their fans that way. Well, I just challenge though your 365 00:19:00,640 --> 00:19:04,040 Speaker 1: initial premise, because if the ringer is talking about the 366 00:19:04,119 --> 00:19:08,080 Speaker 1: NBA and they're profiting and making money from that, then 367 00:19:08,119 --> 00:19:09,960 Speaker 1: a nurse to the benefit of the NBA because it 368 00:19:10,040 --> 00:19:14,080 Speaker 1: just creates more interest there. It's amazing marketing and promotional 369 00:19:14,119 --> 00:19:18,199 Speaker 1: platforms that the NBA aren't paying for, So I agree. 370 00:19:18,240 --> 00:19:21,199 Speaker 1: I think there's all sorts of ancillary product also the 371 00:19:21,240 --> 00:19:24,359 Speaker 1: players themselves and the expansion of their marketing rights and 372 00:19:24,359 --> 00:19:29,119 Speaker 1: the players unions. Um. You know, it's just a fabulous 373 00:19:29,119 --> 00:19:31,960 Speaker 1: sport and you'll will continue to see more content and 374 00:19:32,040 --> 00:19:36,200 Speaker 1: more production created that's either right in the NBA or 375 00:19:36,240 --> 00:19:39,320 Speaker 1: that directly benefits the NBA is the key. The ability 376 00:19:39,359 --> 00:19:41,959 Speaker 1: to scale all of these things you're talking about, all 377 00:19:41,960 --> 00:19:45,520 Speaker 1: of these offerings, if they're only available to a finite 378 00:19:45,640 --> 00:19:48,160 Speaker 1: number of You wanted to say Americans within the border, 379 00:19:48,200 --> 00:19:51,280 Speaker 1: but David coined that term basketball without borders. It's the 380 00:19:51,280 --> 00:19:55,280 Speaker 1: business of basketball without borders. To the ability to send 381 00:19:55,320 --> 00:19:58,680 Speaker 1: and beam and and have people log on and give 382 00:19:58,680 --> 00:20:01,040 Speaker 1: me your password, give me your day to you can 383 00:20:01,040 --> 00:20:02,320 Speaker 1: do this on the global base. On that with that 384 00:20:02,359 --> 00:20:05,240 Speaker 1: world is flat, certainly enough eyeballs to figure out how 385 00:20:05,280 --> 00:20:09,040 Speaker 1: to monetize it's it's all about scale. I mean you 386 00:20:09,080 --> 00:20:11,119 Speaker 1: can take a podcast, for instance, how is it going 387 00:20:11,200 --> 00:20:13,520 Speaker 1: to get distributed? Back in the old days, and you 388 00:20:13,600 --> 00:20:15,399 Speaker 1: needed to get critical mass, and you need to to 389 00:20:15,440 --> 00:20:17,600 Speaker 1: get enough people to be able to support yourself, to 390 00:20:17,640 --> 00:20:20,160 Speaker 1: be on radio or to be on a cable network 391 00:20:20,160 --> 00:20:23,879 Speaker 1: regional or national, much less global. Now there's enough niche 392 00:20:24,080 --> 00:20:28,280 Speaker 1: people out there who you can reach globally that so 393 00:20:28,400 --> 00:20:30,639 Speaker 1: much more content can be created because it can be 394 00:20:30,680 --> 00:20:33,000 Speaker 1: monetized in ways that it never could have before. What 395 00:20:33,119 --> 00:20:35,919 Speaker 1: worries you if you were again, let's say it with 396 00:20:35,960 --> 00:20:39,120 Speaker 1: your former hat, what would worry about pro sports? I mean, 397 00:20:39,440 --> 00:20:42,399 Speaker 1: for me, I'm thinking, you've got this epidemic, who what 398 00:20:42,440 --> 00:20:46,200 Speaker 1: can you do? Who sees it coming? You've got geopolitical unrest, 399 00:20:46,280 --> 00:20:48,480 Speaker 1: and I'm losing hundreds of millions of dollars in China 400 00:20:48,600 --> 00:20:51,960 Speaker 1: because of a tweet. I am concerned about these things 401 00:20:51,960 --> 00:20:54,800 Speaker 1: that are so far out of my control that I 402 00:20:54,800 --> 00:20:58,960 Speaker 1: can't possibly plan for them. That's right. I mean that's 403 00:20:59,000 --> 00:21:01,080 Speaker 1: the world we live in today. And you name them, 404 00:21:01,080 --> 00:21:03,280 Speaker 1: and they're they're all true when they're taking place now. 405 00:21:03,320 --> 00:21:04,920 Speaker 1: So you have to be as smart as you can, 406 00:21:05,280 --> 00:21:08,240 Speaker 1: plan as best you can monetize as best you can, 407 00:21:08,520 --> 00:21:11,120 Speaker 1: but the one thing you always have to keep your 408 00:21:11,119 --> 00:21:13,680 Speaker 1: eye on the customer because it's always about the customer 409 00:21:13,680 --> 00:21:18,480 Speaker 1: in the end, Hank, you just said it comes back 410 00:21:18,520 --> 00:21:25,080 Speaker 1: to the customer. I'm not sure that many in sports 411 00:21:25,840 --> 00:21:29,560 Speaker 1: covet the customer the way you just said it needs 412 00:21:29,600 --> 00:21:33,480 Speaker 1: to happen. Some do, but I'm not sure that that 413 00:21:33,720 --> 00:21:38,639 Speaker 1: customer or fan. I'd rather see them referred to as 414 00:21:38,680 --> 00:21:40,919 Speaker 1: customers because then there's a certain difference you have to 415 00:21:40,960 --> 00:21:44,000 Speaker 1: cater to them. I'm not sure I see it when 416 00:21:44,000 --> 00:21:46,600 Speaker 1: I go. Do you regularly see it? Who does it well? 417 00:21:46,680 --> 00:21:49,680 Speaker 1: Who gets it that you have to fight to keep 418 00:21:49,880 --> 00:21:53,080 Speaker 1: get them, keep them, keep them coming back, renew them, 419 00:21:53,320 --> 00:21:57,320 Speaker 1: keep them happy. I think that's pretty understood. I think 420 00:21:57,320 --> 00:21:59,760 Speaker 1: if you went back years ago, I think it was 421 00:22:00,160 --> 00:22:04,000 Speaker 1: so understood. But it's no different than in any other business. 422 00:22:04,040 --> 00:22:06,640 Speaker 1: It's all about the customer, and you're right here, it's 423 00:22:06,680 --> 00:22:10,520 Speaker 1: about a fan. Usually don't talk about fan to you know, 424 00:22:10,760 --> 00:22:14,240 Speaker 1: other type properties, but it's all about that customer. Thinking 425 00:22:14,240 --> 00:22:17,359 Speaker 1: about the customer, providing the customer with the value that 426 00:22:17,440 --> 00:22:20,720 Speaker 1: they want to receive, the entertainment value. And if you 427 00:22:20,800 --> 00:22:24,359 Speaker 1: lose sight of that customer. It's a dangerous place to be. 428 00:22:24,440 --> 00:22:26,800 Speaker 1: Evan and I like to talk about the Vegas Golden Nights, 429 00:22:27,040 --> 00:22:29,679 Speaker 1: how they seem to have really hit the right spot 430 00:22:29,840 --> 00:22:35,159 Speaker 1: between an entire entertainment experience. Is the game, whether it 431 00:22:35,240 --> 00:22:39,680 Speaker 1: be hockey, basketball, batmanton, cricket, whatever, is the game enough 432 00:22:39,760 --> 00:22:42,760 Speaker 1: these days? Is it enough? Especially since you can't guarantee winning, 433 00:22:42,800 --> 00:22:44,719 Speaker 1: and we know that cures a lot of ills. But 434 00:22:44,760 --> 00:22:48,680 Speaker 1: if you can't guarantee winning, you better guarantee atmosphere and entertainment. 435 00:22:49,119 --> 00:22:52,120 Speaker 1: So it's the game enough? The game is only enough 436 00:22:52,600 --> 00:22:56,000 Speaker 1: if your team is great and chrismatic, and if it's not, 437 00:22:56,160 --> 00:23:00,000 Speaker 1: which is usually the case, it's it's it's not an 438 00:23:00,000 --> 00:23:02,320 Speaker 1: off because the one thing you can't, as you said, 439 00:23:02,359 --> 00:23:05,440 Speaker 1: guarantee while you're sitting there trying to run an organization 440 00:23:06,080 --> 00:23:08,280 Speaker 1: is that your team is going to make a competitive 441 00:23:08,320 --> 00:23:10,640 Speaker 1: run for the championship. But you know that you can 442 00:23:10,680 --> 00:23:12,639 Speaker 1: have a lot of tickets to sell, a lot of 443 00:23:12,760 --> 00:23:15,879 Speaker 1: rating points to try and go on on television, and 444 00:23:15,920 --> 00:23:17,600 Speaker 1: what you have to do is you have to put 445 00:23:17,640 --> 00:23:21,440 Speaker 1: out an exceptional product on the court and off the court, 446 00:23:21,800 --> 00:23:24,720 Speaker 1: and everything matters. So when people come into the arena. 447 00:23:25,160 --> 00:23:28,240 Speaker 1: Your in game entertainment has to be great, your your 448 00:23:28,359 --> 00:23:31,199 Speaker 1: digital board has to be great, your food has to 449 00:23:31,240 --> 00:23:33,040 Speaker 1: be great. Can I pack you up? One second? You 450 00:23:33,160 --> 00:23:36,320 Speaker 1: started that with when you come into the arena, I 451 00:23:36,320 --> 00:23:41,320 Speaker 1: would say even before that ingress getting into the arena. Absolutely, 452 00:23:42,000 --> 00:23:45,399 Speaker 1: it's about the customer service experience from when you purchase 453 00:23:45,480 --> 00:23:48,440 Speaker 1: the ticket to when you leave that night, and and 454 00:23:48,640 --> 00:23:51,480 Speaker 1: that's the big focus. But it's all of these things. 455 00:23:51,880 --> 00:23:55,399 Speaker 1: But the one thing that cures all evils is really 456 00:23:55,480 --> 00:24:00,960 Speaker 1: having an unbelievable, powerful and championship team. But again, not 457 00:24:01,080 --> 00:24:03,600 Speaker 1: everybody can be that big of a genius. It's it's 458 00:24:03,640 --> 00:24:07,840 Speaker 1: about planning for when your team isn't championship level and 459 00:24:07,920 --> 00:24:13,240 Speaker 1: how you still provide number one great overall experience for 460 00:24:13,280 --> 00:24:16,240 Speaker 1: your fans. The Chicago Bulls, as you well know, in 461 00:24:16,280 --> 00:24:19,040 Speaker 1: the years after Michael Jordan's still played to pack houses. 462 00:24:19,480 --> 00:24:22,520 Speaker 1: Credit to the Bulls and that they reminding customer data 463 00:24:22,640 --> 00:24:25,160 Speaker 1: long before it was vogued to do so. But where 464 00:24:25,160 --> 00:24:28,879 Speaker 1: are we with tech? How does tech help owners fans 465 00:24:28,920 --> 00:24:33,160 Speaker 1: to create an experience, whether at home in arena two? Really, 466 00:24:33,520 --> 00:24:36,440 Speaker 1: I would say amplify what sports is trying to do well. 467 00:24:36,440 --> 00:24:39,040 Speaker 1: The opportunity from tech. So much is the data and 468 00:24:39,400 --> 00:24:43,800 Speaker 1: the data that can be watched and received and inform 469 00:24:43,840 --> 00:24:47,399 Speaker 1: I mean you have feedback loops with customers that never 470 00:24:47,440 --> 00:24:51,240 Speaker 1: existed before. You have ways to contact customers in ways 471 00:24:51,280 --> 00:24:54,040 Speaker 1: that never existed before. Are we talking about text messages? 472 00:24:54,240 --> 00:24:58,160 Speaker 1: How how do yeah? I mean everything from from tech 473 00:24:58,280 --> 00:25:04,600 Speaker 1: text messages to providing them again with updates, with including 474 00:25:04,640 --> 00:25:08,159 Speaker 1: them in in surveys and information when you're going to 475 00:25:08,240 --> 00:25:12,359 Speaker 1: look to make decisions, making people feel fun part of 476 00:25:12,400 --> 00:25:16,159 Speaker 1: the process. I mean remember in sports again, it's about 477 00:25:16,200 --> 00:25:19,600 Speaker 1: the fandom and it's about community. Yeah, It's all about community, 478 00:25:19,640 --> 00:25:21,919 Speaker 1: and it gives you the opportunity to create that and 479 00:25:21,960 --> 00:25:25,040 Speaker 1: be part of that community. Our sports teams doing that well, 480 00:25:25,800 --> 00:25:28,760 Speaker 1: you know, given how much you know business analytics and 481 00:25:28,840 --> 00:25:32,360 Speaker 1: data all across the business world is being used, you know, 482 00:25:32,480 --> 00:25:34,680 Speaker 1: kind of the way these sports teams operate better than most. 483 00:25:35,000 --> 00:25:36,760 Speaker 1: Are our sports teams on the cutting edge of how 484 00:25:36,800 --> 00:25:38,359 Speaker 1: that gets word? Are they in the middle, are they 485 00:25:38,400 --> 00:25:40,560 Speaker 1: on the on the trocolate that end? Where would you 486 00:25:40,560 --> 00:25:44,560 Speaker 1: put them? It's a huge area of concentration right now, 487 00:25:44,680 --> 00:25:46,400 Speaker 1: and I think it has been for the past number 488 00:25:46,440 --> 00:25:49,040 Speaker 1: of years. Did the sports teams lead it. You know, 489 00:25:49,119 --> 00:25:51,800 Speaker 1: I can't really speak to that, but I can tell 490 00:25:51,880 --> 00:25:54,840 Speaker 1: you that it's of great importance to all sports teams. 491 00:25:54,840 --> 00:25:57,760 Speaker 1: And you know, the benefit when you play um when 492 00:25:57,760 --> 00:25:59,600 Speaker 1: you when you're an owner in a league is the 493 00:25:59,680 --> 00:26:04,720 Speaker 1: league often takes great leadership and helping owners know where 494 00:26:04,840 --> 00:26:07,159 Speaker 1: the state of the technology is, in state of the 495 00:26:07,280 --> 00:26:09,040 Speaker 1: art and to do things best. And you know, I 496 00:26:09,080 --> 00:26:11,320 Speaker 1: can tell you the the NBA really um let in 497 00:26:11,359 --> 00:26:13,800 Speaker 1: that degree. I'm gonna say, wait, I want to say 498 00:26:13,800 --> 00:26:16,280 Speaker 1: two words and then Evan take it because he's the 499 00:26:16,280 --> 00:26:21,200 Speaker 1: guy sports betting exactly looked at the time we had left, 500 00:26:21,240 --> 00:26:24,960 Speaker 1: and I know you so I'm just gonna say sports betting, well, yeah, 501 00:26:25,440 --> 00:26:28,359 Speaker 1: we're talking about fan you know, engagement, all those things. 502 00:26:28,400 --> 00:26:31,440 Speaker 1: Almost every executive conversation I have in the sports world 503 00:26:31,440 --> 00:26:35,119 Speaker 1: eventually works its way around to the opportunity that that 504 00:26:35,240 --> 00:26:37,840 Speaker 1: legal sports betting is having and will have as more 505 00:26:37,880 --> 00:26:40,000 Speaker 1: states come on board. How big a deal do you 506 00:26:40,000 --> 00:26:41,840 Speaker 1: think that? I mean, it's there's a data piece to it, 507 00:26:41,880 --> 00:26:44,439 Speaker 1: exactly to the conversation that we're having. There's also a 508 00:26:44,480 --> 00:26:47,320 Speaker 1: TV viewership piece to it. There's a an app piece 509 00:26:47,320 --> 00:26:49,400 Speaker 1: to it that all the touches all these things. How 510 00:26:49,400 --> 00:26:50,639 Speaker 1: big a deal do you think that is? Do you 511 00:26:50,720 --> 00:26:53,119 Speaker 1: wish that you know that legal sports betting existed when 512 00:26:53,119 --> 00:26:55,800 Speaker 1: you were running teams without a major job easier? I 513 00:26:55,880 --> 00:26:58,679 Speaker 1: think it's a big deal. You know, anything again, that 514 00:26:58,760 --> 00:27:03,080 Speaker 1: provides more value to the consumer is a big deal. 515 00:27:03,640 --> 00:27:07,160 Speaker 1: So if sports betting is something that enhances the game, 516 00:27:07,920 --> 00:27:12,600 Speaker 1: that enhances the viewership proposition, creates more interaction with the 517 00:27:12,640 --> 00:27:16,520 Speaker 1: fan base, that's that's that's a great thing. So, you know, 518 00:27:16,600 --> 00:27:18,600 Speaker 1: I look at the you know you so there was 519 00:27:18,880 --> 00:27:22,560 Speaker 1: broadcast television and then cable television. It was an enhancement. 520 00:27:23,080 --> 00:27:25,800 Speaker 1: I think the sports gambling creates the next level of 521 00:27:25,880 --> 00:27:31,280 Speaker 1: increased viewership despite you know, the momentum from cutting the 522 00:27:31,359 --> 00:27:33,440 Speaker 1: chord right now. But again, we still get back to 523 00:27:33,520 --> 00:27:37,320 Speaker 1: viewership and whether they're watching it in a way that 524 00:27:37,359 --> 00:27:41,520 Speaker 1: they can catch the ratings on on traditional media, or 525 00:27:41,520 --> 00:27:44,160 Speaker 1: whether they're watching it. But the consumption of the product 526 00:27:44,400 --> 00:27:48,560 Speaker 1: is greater than it's ever been, despite what ever ratings 527 00:27:48,600 --> 00:27:50,960 Speaker 1: data might say. And I think this is the next 528 00:27:51,040 --> 00:27:53,840 Speaker 1: level of bringing up that viewership to a new level. 529 00:27:53,840 --> 00:27:55,679 Speaker 1: So we've been asking almost all of our guests the 530 00:27:55,680 --> 00:27:59,200 Speaker 1: same question. When you're watching at home? Are you cable subscriber? 531 00:27:59,200 --> 00:28:01,440 Speaker 1: If you cut the card? What's your what's your set 532 00:28:01,480 --> 00:28:04,280 Speaker 1: up in the living room? Well, having spent thirty years 533 00:28:04,440 --> 00:28:07,960 Speaker 1: at cable Vision and ms G, I am a devoted 534 00:28:07,960 --> 00:28:10,800 Speaker 1: cable subscribe, gets it for free, gets it for free. 535 00:28:10,920 --> 00:28:13,679 Speaker 1: You don't pay a cable built Do you no comment 536 00:28:14,920 --> 00:28:16,600 Speaker 1: any O? T T services? What do you? What do 537 00:28:16,680 --> 00:28:20,439 Speaker 1: you stream into the house? We we have Netflix, you know, 538 00:28:21,080 --> 00:28:24,160 Speaker 1: we have you know, a traditional smart TV. We watch YouTube. 539 00:28:25,200 --> 00:28:29,199 Speaker 1: I mean, do you think Netflix, Google? Will they be 540 00:28:29,320 --> 00:28:32,000 Speaker 1: serious bidders for sports? I mean Facebook has said no. 541 00:28:32,280 --> 00:28:35,840 Speaker 1: Amazon is there on Thursday Night football in this round? 542 00:28:36,119 --> 00:28:39,880 Speaker 1: Or are we perhaps another round of rights feed negotiations 543 00:28:39,920 --> 00:28:45,920 Speaker 1: away from them being major exclusive package bidders. I think 544 00:28:45,920 --> 00:28:48,719 Speaker 1: they get there. You know, if we again look at 545 00:28:48,720 --> 00:28:53,160 Speaker 1: the history of television, new entrants come in and they 546 00:28:53,200 --> 00:28:55,240 Speaker 1: get there, and I think they get there. And it's 547 00:28:55,240 --> 00:28:59,960 Speaker 1: a really interesting question too, because we looked and see 548 00:29:00,000 --> 00:29:04,960 Speaker 1: additional media's ratings are down, traditional media's advertising is down, 549 00:29:06,000 --> 00:29:08,120 Speaker 1: but rights fees keep going up. Not the way it 550 00:29:08,200 --> 00:29:11,080 Speaker 1: usually works, and I don't think it's gonna stop that 551 00:29:11,080 --> 00:29:15,960 Speaker 1: way because there's so many people looking to consume product 552 00:29:16,080 --> 00:29:19,520 Speaker 1: in different ways and slicing and dicing the rights in 553 00:29:19,560 --> 00:29:22,600 Speaker 1: different ways that again we're going to see viewership continue 554 00:29:22,640 --> 00:29:25,040 Speaker 1: to grow, We're going to see consumption continue to grow, 555 00:29:25,440 --> 00:29:28,760 Speaker 1: and despite the fact that some of the traditional metrics 556 00:29:28,840 --> 00:29:31,600 Speaker 1: might be down, the overall is going to continue to 557 00:29:31,640 --> 00:29:33,960 Speaker 1: grow and rights fees will still well. Let's you add 558 00:29:33,960 --> 00:29:37,400 Speaker 1: on this then, is the value proposition though, while perhaps 559 00:29:37,440 --> 00:29:40,800 Speaker 1: a dimunution in will just use the overarching term of ratings. 560 00:29:41,240 --> 00:29:44,480 Speaker 1: If there is a diminution in ratings because of the 561 00:29:44,560 --> 00:29:47,040 Speaker 1: data components that we've talked about, and knowing your customer 562 00:29:47,120 --> 00:29:49,200 Speaker 1: better and being able to reach them in different ways 563 00:29:49,840 --> 00:29:53,720 Speaker 1: and maybe individually being able to target advertise to them, 564 00:29:54,440 --> 00:29:59,880 Speaker 1: has the value of the eyeball that you get gone up. Yes, 565 00:30:00,320 --> 00:30:03,360 Speaker 1: because there are so many more ways to monetize than 566 00:30:03,400 --> 00:30:06,520 Speaker 1: the traditional way of going broad and missing on most. 567 00:30:06,560 --> 00:30:08,520 Speaker 1: Now you can go narrow and you know what that 568 00:30:08,920 --> 00:30:10,600 Speaker 1: you know what that person wants, and you know what 569 00:30:10,640 --> 00:30:14,000 Speaker 1: other products they want. So there's so much more ability 570 00:30:14,040 --> 00:30:17,600 Speaker 1: to go and monetize customers in ways that never existed before. 571 00:30:17,720 --> 00:30:19,560 Speaker 1: I thank you got to come back. I mean we're done, 572 00:30:19,640 --> 00:30:22,640 Speaker 1: but man like we could go for there's so many topics. 573 00:30:22,640 --> 00:30:24,200 Speaker 1: We haven't touched on you. One of these days. We 574 00:30:24,200 --> 00:30:26,680 Speaker 1: gotta get you back in here. Okay, excellent, We love it. 575 00:30:26,720 --> 00:30:28,560 Speaker 1: Thank you to Hank Ratner, the former CEO of Madison 576 00:30:28,600 --> 00:30:32,120 Speaker 1: Square Garden founder of Ratner Ventures. Thanks again. I always 577 00:30:32,160 --> 00:30:34,560 Speaker 1: love chatting with Hank Ratner. You know, the guys who 578 00:30:34,600 --> 00:30:37,040 Speaker 1: have been in those positions, you never know the perspective 579 00:30:37,040 --> 00:30:39,120 Speaker 1: where they're coming from, but they see it from every angle. 580 00:30:40,240 --> 00:30:44,480 Speaker 1: My takeaway, Evan is back to the lemonade stand simplicity, 581 00:30:44,880 --> 00:30:46,880 Speaker 1: and it should be day one of Harvard Business School 582 00:30:46,960 --> 00:30:50,200 Speaker 1: and day two and every day. Remind, remind, remind, cater 583 00:30:50,600 --> 00:30:54,400 Speaker 1: to the customer. Sometimes it's fans and it's lost down 584 00:30:54,440 --> 00:30:56,640 Speaker 1: all of it. You think, just we're staging the game. 585 00:30:56,840 --> 00:31:00,160 Speaker 1: That's enough, and if we win, that's great. Uh. You 586 00:31:00,240 --> 00:31:04,440 Speaker 1: have to do everything possible every time they step into 587 00:31:04,520 --> 00:31:08,000 Speaker 1: your building or before they step into your building. And 588 00:31:08,320 --> 00:31:11,680 Speaker 1: I mentioned it to hanker Ingress Egress, you have to 589 00:31:11,760 --> 00:31:17,080 Speaker 1: make sure that the experience, the total experience of the 590 00:31:17,160 --> 00:31:20,920 Speaker 1: evening or the afternoon, not just the game when the 591 00:31:20,960 --> 00:31:24,600 Speaker 1: ball is bouncing or the pucket sliding, The total experience 592 00:31:24,720 --> 00:31:27,440 Speaker 1: is a positive one. My takeaway, You know, Scott, I'm 593 00:31:27,440 --> 00:31:29,560 Speaker 1: beginning to think that maybe I'm wrong about my thesis 594 00:31:29,600 --> 00:31:34,680 Speaker 1: about the NBA. Hank is just the latest person to 595 00:31:34,760 --> 00:31:38,720 Speaker 1: tell me that that that that he is less concerned 596 00:31:39,040 --> 00:31:41,320 Speaker 1: about the fact that, you know, the NBA is is 597 00:31:41,400 --> 00:31:45,160 Speaker 1: very popular on a lot of media, you know, media platforms, 598 00:31:45,160 --> 00:31:47,920 Speaker 1: that it does not monetize as well as other leagues, 599 00:31:48,320 --> 00:31:50,680 Speaker 1: that that is not concern him about the long term 600 00:31:50,680 --> 00:31:53,440 Speaker 1: health of the league. And he's probably right. He knows 601 00:31:53,480 --> 00:31:55,760 Speaker 1: this world better than I do. Um but yes, you know, 602 00:31:55,840 --> 00:31:58,320 Speaker 1: to his point, as he said, you know, even if 603 00:31:58,880 --> 00:32:02,200 Speaker 1: you know it's quick Twitter, quick, little highlights, etcetera, that 604 00:32:02,200 --> 00:32:04,400 Speaker 1: that is drawing people to the NBA, just the fact 605 00:32:04,400 --> 00:32:07,600 Speaker 1: that they're talking about it helps the league, helps grow popularity, 606 00:32:07,760 --> 00:32:10,920 Speaker 1: will help it in its next media round of negotiations, etcetera. 607 00:32:11,240 --> 00:32:13,200 Speaker 1: Um so, yeah, good. Good to hear kind of a 608 00:32:13,240 --> 00:32:15,320 Speaker 1: little rebuttal to to something I've been doing in my 609 00:32:15,320 --> 00:32:16,960 Speaker 1: own brain for a bit. Good for you. I like 610 00:32:17,000 --> 00:32:19,480 Speaker 1: when you admit you're wrong. I thought I may be wrong. 611 00:32:20,280 --> 00:32:21,960 Speaker 1: I will tell you are That's good. I'd like to 612 00:32:21,960 --> 00:32:26,600 Speaker 1: hear it. It feels better to be number one than 613 00:32:26,680 --> 00:32:28,560 Speaker 1: number five. I'll wear a number because of Mike, we 614 00:32:28,600 --> 00:32:30,000 Speaker 1: have a chance to go for three in a row. 615 00:32:30,080 --> 00:32:32,000 Speaker 1: Kid numbers in a good time. And let's first started 616 00:32:32,000 --> 00:32:35,440 Speaker 1: wearing the number. I would just have you Floomberg, Business 617 00:32:35,440 --> 00:32:38,600 Speaker 1: of Sports, the number of the week, alright, number of 618 00:32:38,600 --> 00:32:43,920 Speaker 1: the week, four hundred and four thousand dollars. I know 619 00:32:44,000 --> 00:32:46,120 Speaker 1: what this number is because we pay attention to range 620 00:32:46,120 --> 00:32:49,480 Speaker 1: your stories. Yes, the four and four thousand dollars, that 621 00:32:49,560 --> 00:32:52,960 Speaker 1: is roughly what Lebron James makes in a game check 622 00:32:53,040 --> 00:32:56,440 Speaker 1: every year, right, so every game this this season, So 623 00:32:56,560 --> 00:33:01,400 Speaker 1: he's making thirty million dollars. You know. Divide that by 624 00:33:01,640 --> 00:33:04,479 Speaker 1: the total number of regular season games eighty two plus 625 00:33:04,520 --> 00:33:06,640 Speaker 1: a couple of preseason games the average of the of 626 00:33:06,680 --> 00:33:09,360 Speaker 1: the postseason games as well, ninety two point six. That's 627 00:33:09,360 --> 00:33:12,640 Speaker 1: how they two points and botas can doct each player 628 00:33:12,880 --> 00:33:15,880 Speaker 1: one ninety two point six. Not an easy thing to 629 00:33:15,920 --> 00:33:21,640 Speaker 1: say of their salary. Ye. So you know, as we 630 00:33:21,680 --> 00:33:24,160 Speaker 1: talk about the NBA suspending it season so far, the 631 00:33:24,240 --> 00:33:26,280 Speaker 1: Lakers have eighteen games left. You can do the math 632 00:33:26,360 --> 00:33:31,440 Speaker 1: on that seven million million dollars that Lebron James could 633 00:33:31,440 --> 00:33:34,720 Speaker 1: be out on if those games don't get replayed, Um, 634 00:33:34,760 --> 00:33:37,440 Speaker 1: not not, nothing will be okay. But you do have 635 00:33:37,440 --> 00:33:40,120 Speaker 1: to wonder about the rank and file, who, by normal standards, 636 00:33:40,200 --> 00:33:43,880 Speaker 1: are handsomely compensated, but still you're losing that kind of 637 00:33:43,920 --> 00:33:47,480 Speaker 1: money something that might affect them adversely. Yeah, for sure. 638 00:33:47,520 --> 00:33:50,000 Speaker 1: And I also wonder how many players are even aware 639 00:33:50,160 --> 00:33:52,720 Speaker 1: that that when a global pandemic happens in the league 640 00:33:52,720 --> 00:33:55,920 Speaker 1: has to shut down for for health reasons, that that 641 00:33:55,920 --> 00:33:58,520 Speaker 1: that also hits their paycheck in such a direct way. 642 00:33:58,560 --> 00:34:02,680 Speaker 1: It's about could their their salary for the year that 643 00:34:02,760 --> 00:34:04,560 Speaker 1: that that's a tough one to lose. It's a fast 644 00:34:04,560 --> 00:34:06,560 Speaker 1: moving story. I've been what We'll see what plays out 645 00:34:07,000 --> 00:34:09,799 Speaker 1: in the next week or so. You have been listening 646 00:34:09,840 --> 00:34:12,520 Speaker 1: to the Bloomberg Business of Sports. I'm Scott Stik. You 647 00:34:12,520 --> 00:34:14,640 Speaker 1: can follow me on Twitter at SS and I'm Evan 648 00:34:14,680 --> 00:34:18,080 Speaker 1: Nobie Williams on Twitter at no V Underscore Williams. You've 649 00:34:18,080 --> 00:34:20,719 Speaker 1: listened to the Bloomberg Business of Sports podcast from Bloomberg 650 00:34:20,840 --> 00:34:22,120 Speaker 1: Radio around the world.