- Eric Schmidt on Government Scrutiny and Economic Recovery
- Schmidt on Social Media, Ads and Hulu
- Sun Valley on Social Media
- Eric Schmidt + Larry Page on Revolutionizing Computing
- WPP's Sir Martin Sorrell on the Ad Recession
- Twitter in the Sun Valley Spotlight
- Sun Valley Dealmaking Confab Kicks Off
- Making Money on Michael Jackson's Memorial
- Court Ruling Could Mean Trouble for TiVo
- Another Music Lawsuit, but with an Unexpected Target
More Videos
- Eric Schmidt on Government Scrutiny and Economic Recovery
- Schmidt on Social Media, Ads and Hulu
- Sun Valley on Social Media
- Eric Schmidt + Larry Page on Revolutionizing Computing
- WPP's Sir Martin Sorrell on the Ad Recession
- Twitter in the Sun Valley Spotlight
- Sun Valley Dealmaking Confab Kicks Off
- Making Money on Michael Jackson's Memorial
- Court Ruling Could Mean Trouble for TiVo
- Another Music Lawsuit, but with an Unexpected Target
|
CNBC'S MOST SHARED
- Unemployed? Bored? Make Money Playing Beer Pong
- The Highest Grossing (Inflation Adjusted) Movies of All Time
- Merrill's McCann Seen as UBS Wealth Frontrunner
- Geek Squad V. Gizmodo
- Social Networking's 'Naked' Truth
- Warren Buffett's Top Three Investment Rules for the Average American
- Why You Should Watch Fund Flows
- Eric Schmidt on Government Scrutiny and Economic Recovery
- Dykstra Discusses Bankruptcy
- Eric Schmidt on Government Scrutiny and Economic Recovery
- Market 360: The Week's Best & Worst
- Geek Squad V. Gizmodo
- Brandt: Google Chrome OS in the Post-PC Age
- Other People Are Weirder Than We Are
- Bank Failures: Is The Nightmare Over? (Video)
- California Here I Go? No.
- Roginsky: No More Mr. Nice Guy
- Commercial Conundrum
- Cheney Told CIA to Withhold Information: Report
- Why the Credit Pendulum Is Stuck at 'Stupid'
- Stimulus Will Kick in Later this Year: President Obama
- Lender CIT Group Hires Premier Bankruptcy Adviser
- Government Selling Bank Stakes for Too Cheap: Panel
- Buffett's Top 3 Investment Rules for Average Americans
- Market Insider: Earnings Loom in the Week Ahead
- Bulls Get Summertime Blues, But It's Hot Fun for Bears
- As Banks Fail, Strong Institutions Become More Visible
RSS FEED
Text Size 
 |
CNBC.com |
This means that CBS [CBS
Loading...
()
] wins no matter which team comes out on top, and wherever you choose to watch the games. CBS isn't worried that it'll lose TV ratings because it's offering the games online. They figure people will watch whether it's on TV or on any of the web sites CBS is streaming to and meantime, CBS gets the ad revenue.
In 1999 CBS paid $8 billion for rights to the NCAA tournament games over 11 years. This was a big bet that the games would bring in revenue beyond just TV. And now they're broadcasting on the radio, as well as on the Internet, a fast-growing business. CBS is bringing in roughly $500 million in annual revenue from the sports season this year.
The web casts will bring in an estimated $21 to $25 million in revenue, up from $10 million last year and $4 million in 2006. DOUBLING every year--wow! Obviously this ad supported model works: when CBS offered the games via subscription, the company brought in only $250,000 in revenue.
There's another angle this year: Facebook and CBS announced a deal to provide brackets for picking tournament winners. CBS Interactv said that this is the fastest growing application on the social network, it could have three million members by the end of the month. This definitely fits with CBS strategy--put its content out there in as many places possible (it has a deal to distribute through YouTube, unlike the other networks, which have stayed away).
Questions? Comments?
Data is a real-time snapshot *Data is delayed at least 15 minutes