NFL Network flap may jeopardize league's antitrust exemption

[RCowboyFan]

Well, yes, we live in a free market society. But free markets can and do have flaws, such as monopolies. Even the most ardent free marketeer admits that. The negative impact monopolies have on pricing and access to the market forces government regulation to prevent such harm.

Thats a Economics 101 failure answer. Monopoly or not, when people don't pay for it, it doesn't matter.

NHL can put its own network and monopolize the games on its Network, and see how many will care. NFL can try to do that, and if enough people stop watching, they will come down on their knees.

Fact of the matter is, only Monopoly here is Cable Companies. Only monopoly that exists in any country is a Government Enforced Monopoly, which in this case, Cable Companies are government enforced Monopoly.

In true Free market, anyone with enough money or means to get money can always beat a Big corporation or so called Monopoly, unless that Monopoly is due to Goverment rules.

 

[theogt]

Explain the monopoly the NFL has?

They are only one league. There is still arena Football. College football and Canadian Football. The deal is that the networks WANT to carry the NFL's product. Even with the challenges to the NFL in recent years such as the XFL and such, the the networks carried their games. The NFL didn't say they couldn't or they would lose rights to the NFL.

Also, The NFL has a right to say how their product is marketed. They have the right to say they don't want it to be made a separate service but should be included just like ESPN is.

The government has no right to tell the NFL who is allowed to carry their product.

Would you be all for the government telling Wal Mart they HAVE to carry Ipods? IF Wal Mart is smart they will, but they shouldn't be forced to and Apple shouldn't be told that they have to sell it to Wal Mart if Wal Mart doesn't display them the way Apple wants. It's called Free Market.

You're getting into a debate where I just don't want to spend as much time as would be needed.

It's a lot more complicated than just comparing the NFL to iPods.

 

[Cajuncowboy]

You're getting into a debate where I just don't want to spend as much time as would be needed.

It's a lot more complicated than just comparing the NFL to iPods.

Not really. they are both business' who have a product. I mean, they have a right to market it any way they want to. The government has no right dictating who they can sell it to.

 

[MichaelWinicki]

I didn't say anything about that. I said where's the monopoly?

The NFL does have a monoply due to their position in relation to anti-trust laws.

 

[theogt]

Thats a Economics 101 failure answer. Monopoly or not, when people don't pay for it, it doesn't matter.

NHL can put its own network and monopolize the games on its Network, and see how many will care. NFL can try to do that, and if enough people stop watching, they will come down on their knees.

Fact of the matter is, only Monopoly here is Cable Companies. Only monopoly that exists in any country is a Government Enforced Monopoly, which in this case, Cable Companies are government enforced Monopoly.

In true Free market, anyone with enough money or means to get money can always beat a Big corporation or so called Monopoly, unless that Monopoly is due to Goverment rules.

What an ironic thing to say given the remainder of the post.

 

[MichaelWinicki]

Not really. they are both business' who have a product. I mean, they have a right to market it any way they want to. The government has no right dictating who they can sell it to.

Apparently they think they can since they've given the NFL a terrific position in relation to anti-trust.

 

[theogt]

Not really. they are both business' who have a product. I mean, they have a right to market it any way they want to. The government has no right dictating who they can sell it to.

Why even discuss something you're not even vaguely familiar with (e.g., the law governing anti-trust)?

 

[MichaelWinicki]

Hey, if the NFL did not have the priviledges they do, which were given by the government, I'd be right there with some of you suggesting that the government should just "back off." But the fact is the NFL has benefitted greatly by the anti-trust exemption, and now some in government believe the NFL needs to be a little more "understanding."

 

[RCowboyFan]

What an ironic thing to say given the remainder of the post.

Alright, Brilliant Observation and insight.

 

[rexrobinson]

Any business that operates across state borders -- and therefore participates in interstate commerce -- is subject to antitrust legislation. Attempts to control trade and monopolize may be deemed illegal by federal circuit courts under the Sherman and Clayton acts..

NFL unlike almost EVERY buisness in the US is exempt from this.

The NFL has been allowed to control its owners and players in ways that would land most CEOs in prision. This abililty no doubt has helped the NFL become very profitable.

The NFL is going too far and if they lose anti-trust excemption, owners will be able to pack up and move anywhere they want without any permission from the league for one example.

 

[Dallas]

Any business that operates across state borders -- and therefore participates in interstate commerce -- is subject to antitrust legislation. Attempts to control trade and monopolize may be deemed illegal by federal circuit courts under the Sherman and Clayton acts..

NFL unlike almost EVERY buisness in the US is exempt from this.

The NFL has been allowed to control its owners and players in ways that would land most CEOs in prision. This abililty no doubt has helped the NFL become very profitable.

The NFL is going too far and if they lose anti-trust excemption, owners will be able to pack up and move anywhere they want without any permission from the league for one example.

Excellent post. Thank you. Now maybe some can understand what actually is being spotlighted by these 2 senators.

I bet 90% of the posters in this thread were completely unaware that the NFL is allowed to operate this way.

 

[FuzzyLumpkins]

This is BS. We live in a free market society. The government has no place getting involved in this. If the NFL wants to show certain games on their network then so be it. Let the public vote with their wallet and go from there.

If there is a big enough outcry from the fans the cable companies will pick it up. If they lose subscribers to Dish and DTV, they will change. If not, then the NFL will bow to the pressure and they will allow the games.

It really is that simple.

Let the MARKET do the talking.

thats so naive its almost funny. Were not even close to a true free market.

And the last time we let corps have free reign was back in the 19th century before Ted Roosevelt put their shenanigans to an end. Most primary education programs require The Jungle as part of the curriculum for a reason.

The other time we had a more laissez faire policy was when Hoover allowed the Great Depression in the beginning of the 20th century.

Heck even the current mortgage crisis was a direct result of Citicorp convincing the FTC to relax lending guidelines.

Entrepreneurship is critical no question and it is truly the most wonderful portion of capitalism but large companies are not to be just given complete autonomy lest we keep allowing history to repeat itself.

 

[Royal Laegotti]

This is BS. We live in a free market society. The government has no place getting involved in this. If the NFL wants to show certain games on their network then so be it. Let the public vote with their wallet and go from there.

If there is a big enough outcry from the fans the cable companies will pick it up. If they lose subscribers to Dish and DTV, they will change. If not, then the NFL will bow to the pressure and they will allow the games.

It really is that simple.

Let the MARKET do the talking.

Too bad that Big Bro is gettin' too big for our britches!

 

[Gangsta Spanksta]

Explain the monopoly the NFL has?

They are only one league. There is still arena Football. College football and Canadian Football. The deal is that the networks WANT to carry the NFL's product. Even with the challenges to the NFL in recent years such as the XFL and such, the the networks carried their games. The NFL didn't say they couldn't or they would lose rights to the NFL.

Also, The NFL has a right to say how their product is marketed. They have the right to say they don't want it to be made a separate service but should be included just like ESPN is.

The government has no right to tell the NFL who is allowed to carry their product.

Would you be all for the government telling Wal Mart they HAVE to carry Ipods? IF Wal Mart is smart they will, but they shouldn't be forced to and Apple shouldn't be told that they have to sell it to Wal Mart if Wal Mart doesn't display them the way Apple wants. It's called Free Market.

Yeah like everyone watches Arena, Canadian or other professional football leagues. The NFL owns the market; their only competion is College football. But the real issue is they are using their monopoly on professional football to an advantage in competing with their competitors in broadcasting. This whole NFL Network thing seems easily abused.

 

[Gangsta Spanksta]

Too bad that Big Bro is gettin' too big for our britches!

And who's to keep the corporate entities from getting too big for their britches? BTW, one of the most successful capitalistic system in the world is run by a communist country. It has nothing to do with ideology here. Antitrust laws are in place to protect people from having companies take advantage of them. Our country does have an history of companies abusing their powers when they have a monopoly, and those companies were destroying a free market system.

 

[LittleBoyBlue]

What's a decent Senator cost these days? Or if I can't get a decent one, what'll it take to get a couple of corrupt ones from either side of the aisle?

"You can have the license - the price is $250,000, plus a monthly payment of five percent of the gross. Of all four hotels, Mr. Corleone."

 

[Royal Laegotti]

And who's to keep the corporate entities from getting too big for their britches? BTW, one of the most successful capitalistic system in the world is run by a communist country. It has nothing to do with ideology here. Antitrust laws are in place to protect people from having companies take advantage of them. Our country does have an history of companies abusing their powers when they have a monopoly, and those companies were destroying a free market system.

Watch this:http://video.google.com/videoplay?docid=-1656880303867390173
Maybe you'll see what I mean. I also want to say that I don't necessarily believe every little nugget of info. in this video but overall it does make sense. It's pretty depressing actually.

 

[sk0aL]

It bothers me because the NFL is giving a big slap in the face to all of its fans. WE are the ones who buy season tickets. WE are the ones who buy jerseys and other paraphernalia. WE are the ones who go to games and spend $7 on a beer and $6 on nachos. We are the people that have made the NFL the most successful professional sports league in the world. It's just downright disrespectful.

It's not as simple as saying "Well if you don't like it, drop cable and go to dish." Not everyone has that option. Hell, I don't even need the NFL network. I live in Dallas and all games on the network are broadcasted locally, but I sympathize with other fans who have to go to a sports bar to watch their team on the NFL network. I'm a capitalist through and through, but this is just greed on the part of the NFL.

I place much blame on the cable companies as well, because a company like Time Warner who has the lion's share of the market owes it to their extremely large customer base to provide options.

At the end of the day it's all about the dollar, and the fan is the one who is the ultimate loser.

 

[Royal Laegotti]

It bothers me because the NFL is giving a big slap in the face to all of its fans. WE are the ones who buy season tickets. WE are the ones who buy jerseys and other paraphernalia. WE are the ones who go to games and spend $7 on a beer and $6 on nachos. We are the people that have made the NFL the most successful professional sports league in the world. It's just downright disrespectful.

It's not as simple as saying "Well if you don't like it, drop cable and go to dish." Not everyone has that option. Hell, I don't even need the NFL network. I live in Dallas and all games on the network are broadcasted locally, but I sympathize with other fans who have to go to a sports bar to watch their team on the NFL network. I'm a capitalist through and through, but this is just greed on the part of the NFL.

I place much blame on the cable companies as well, because a company like Time Warner who has the lion's share of the market owes it to their extremely large customer base to provide options.

At the end of the day it's all about the dollar, and the fan is the one who is the ultimate loser.

I agree with you about the greed part but just wait until games are on PPV. The NFL Network is just the next step toward that. IMO.

 

[Idgit]

This isn't an anti-trust issue, it's a distribution issue. There are all sorts of competing entertainment products, and the NFL has distrubution through multiple channels. They have every right to integrate their distribution chain and improve their margins if they think the current options are not adding unique value.

The only issue is that the cable companies that provide access to their distribution believe they can charge a premium for that service. The NFL obviously disagrees with them. The involvement of congress and the anti-trust threats are a hollow sham. It does show the cable companies can shake the whole tree when they want to, which should be embarrassing and annoying to the rest of us when we see it happen.