With the fall sports season now in full swing, fans from around the world will look for ways to watch their teams however they can. Online streaming through services like Hulu, Amazon or YouTube has been a massive revenue generator for multiple leagues, with a report by data website Statista reporting that approximately 51.7 million people streamed sports online in 2021 alone. Now, a large part of that viewership may be under threat.
In a joint letter filed to the United States Patent and Trademark Office (USPTO), the National Football League, National Basketball Association and Ultimate Fighting Championship (UFC) requested stricter copyright laws on sports broadcasts. These new laws would target online streaming websites that show live or delayed broadcasts of sports events with the goal of immediately taking down any illegal streams.
According to the letter, current Digital Millennium Copyright Act (DMCA) laws mean that it could take up to several hours for an internet provider to remove pirated content from their platforms, which leaves sports leagues at a disadvantage. Because of this delay, leagues are often unable to remove illegal content until after the event has concluded, resulting in massive losses for broadcasters that rely on subscription-based services and fees. According to the letter, the sports industry as a whole (including the three organizations) suffers a loss of over $28 billion annually — a massive figure that understandably has left organizations scrambling to react.
The problem for consumers is that pirated streams are the only affordable alternative for some. YouTube TV alone costs $72.99 per month, or roughly $875 per year. Even if a fan wanted the service for just a single football season, it would still require an investment of just under $450, and that’s just for one service. When counting other streaming services that offer exclusive rights to live events (like Apple TV+, NBC Peacock and Amazon Prime), the risk of pirating streams may be worth it just to avoid a bill that could top over $1,000.
Previously, this would not have been an issue, as online streaming ran side-by-side with live broadcasts on TV. However, due to market restrictions and the shift to streaming in the last decade, online-exclusive broadcasts are becoming more prevalent and lucrative.
NBC Peacock signed a $110 million deal in May 2023 to be the exclusive host for one of the NFL wild card games in January 2024. Amazon and the NFL signed an incredible 11-year, $1 billion deal in 2021 to present Thursday Night Football and two Super Bowls later on ABC. Per Forbes, the MLB signed a deal with Apple TV+ worth roughly $85 million annually to host Friday Night Baseball.
The recent rise of online sports and the crackdown on pirated streams is not just an American issue. The English Premier League recently strengthened anti-piracy measures for their domestic and international broadcasts, hiring massive teams of lawyers to take down sites almost as they appear.
With the importance of streaming both for sports leagues and consumers, the response of the USPTO will be critical to determining the future of the sports media landscape. Though pirated streams are, by definition, illegal, they are also some of the only ways for millions to watch sports without breaking the bank. The case is still early in development, and it is unlikely that any decision will be made soon. With substantial money on both sides of the debate and the fate of affordable sports in the balance, neither side will be willing to back down anytime soon.
