ESPN reports that the NFL and DirecTV have renewed their mutually beneficial broadcasting deal. This new deal is said to be for eight years with a rights fee averaging at $1.5 billion per year, a 50 percent increase from the $1 billion per year average DirecTV paid previously.
The NFL and DirecTV partnership is best known for the Sunday Ticket package which features out-of-market games that DirecTV has exclusive rights to air. The new deal will give subscribers the option to view Sunday Ticket on their mobile devices and over broadband and continue to watch the popular Red Zone Channel.
"We are pleased to continue our partnership with DirecTV," NFL commissioner Roger Goodell said in a statement. "DirecTV and NFL Sunday Ticket have served our fans well for 20 years and continue to complement our broadcast television packages."
"The new agreement is a testament to the terrific long-term relationship we have with the NFL and its millions of fans across the country," said Mike White, DirecTV's chairman, president and CEO. "NFL Sunday Ticket has always been the centerpiece of DirecTV's sports leadership and we're pleased to continue our relationship with the NFL and be a part of the league's future growth and success."
The league will be earning an average of $6.45 billion a year in television rights after counting the DirecTV agreement as well as the NFL's other long-term TV deals. This figure doesn't even include the reported $275 million CBS agreed to pay this year for the Thursday Night package.
DirecTV was bought in May by AT&T for $48.5 billion. During the purchase, it was revealed that if DirecTV did not renew the Sunday Ticket Package, AT&T could walk away from the deal without any penalty.
While the NFL has been criticized for a handful of domestic violence incidents involving star players recently, it's clear that the bottom line has not been affected. Revenues and ratings are up across the board.
