Key facts
- Lawmakers on the House Judiciary Committee criticized the NFL over the rising costs of televised games.
- The hearing focused on how the NFL's new streaming deals create an anticompetitive environment for consumers.
- The Sports Broadcasting Act of 1961, which grants the NFL an antitrust exemption for media rights, was a key point of discussion.
- Estimates suggest fans may need to subscribe to multiple services costing over $1,000 to watch all games.
- The Department of Justice is reportedly considering an antitrust probe into the NFL.
- Business owners and broadcasters expressed concerns about the impact of streaming on their operations and revenue.
Lawmakers on the House Judiciary Committee on Wednesday criticized the National Football League over the escalating costs fans face to watch games, arguing that the league's recent streaming deals have created an anticompetitive economic environment that harms consumers.
During the hearing, members from both parties voiced concerns that the NFL's lucrative media rights deals, which have generated over $100 billion in recent years, are leaving fans struggling to access games. The debate centered on the Sports Broadcasting Act of 1961, a law that grants professional football teams an antitrust exemption for collectively licensing their game telecasts to national networks.
Critics argue the NFL is disregarding the downstream effects of its deal-making, leading to higher costs and confusion for consumers trying to follow their favorite teams. Estimates presented suggest that fans might need to subscribe to more than 10 different services, costing upwards of $1,000, to watch every NFL game in a season. Fox News sports pundit Clay Travis testified that while 87 percent of games remain free, 13 percent are being placed behind streaming paywalls, potentially violating the spirit of the Sports Broadcasting Act.
The hearing follows reports that the Department of Justice is considering an antitrust probe into the NFL concerning potential abuse of its exemption. A recent report by the House Judiciary Committee concluded that the NFL's current model, particularly with offerings like Sunday Ticket, harms consumers by requiring them to purchase extensive packages when they may only wish to watch specific teams. Sunday Ticket itself is a subscription service priced at over $500 per season.
NFL Commissioner Roger Goodell declined an invitation to testify, citing ongoing litigation related to the Sunday Ticket service. The league's increasing reliance on streaming also presents challenges for businesses like sports bars, with one owner estimating annual cost increases between $30,000 and $40,000. Local broadcasters also expressed concerns about competing with global tech platforms and losing access to sports rights.