Two years ago ESPN cut several hundred behind the scenes jobs to save hundreds of millions of dollars in yearly costs. Since that time ESPN's subscriber losses have accelerated, averaging over three million lost subscribers a year. Now new jobs cuts are coming, only this time you're likely to know some of the casualties -- Outkick has heard from a variety of different sources that ESPN is cutting up to $100 million in on-air salaries.
So within five years ESPN will be bringing in less subscriber revenue than they've committed for sports rights. Advertising dollars will still help, but when you factor in the costs of doing business ESPN will be losing money by 2021, potentially sooner.
To quote a former sportscaster, "Whoa Nellie!"Read more...