The Los Angeles Dodgers of Anaheim (oh….wait….they're just the LA
Dodgers) got some good news from Fox.
Their new TV deal is going to net them between $6 and $7 billion
dollars. For the next 25 years,
the Dodgers will make a minimum of $250,000 dollars a year, just for their
regular season games. The money
they bring in from this deal alone is more money that 26 other franchises will make
in all venues. It’s the record for
a local TV deal, doubling the old record.
The deal is good for the Dodgers. It’s good for the business of baseball. But it’s not great for the sport. All it does is continue to widen the
gap between the rich teams and the poor teams. It gives power to local TV stations in negotiating future
contracts and continues to make the sport richer and yet somehow competitively poorer. How can teams with
Oakland’s payroll hope to play against teams with the funds of the Yankees or
Dodgers? Baseball claims it has no
vested interest in keeping its high profile teams in positions of power. But how can they not? The ratings for all World Series not
involving Yankees, Red Sox or Phillies are abysmal. So while
you understand why baseball wants to have the big markets see greater success,
they absolutely CANNOT do anything to help them achieve it in a way that hurts
other teams. They say they
aren’t. So as we can’t prove
otherwise we have to take them at their word. And I do believe they aren’t actively trying to help out the major market franchises. The TV deals they
approve just happen to be great for the teams in the major markets while also helping the sport
overall. But this deal is
insane. You can read more about it
here.
What should baseball do, then? If the Athletics faced the Braves in the World Series, the ratings would cause MLB to collapse. Or at least take a hit that they don't want in their championship game. So to
make money, they need these mega TV deals and for cities with baseball teams to
almost completely subsidize any new stadiums to keep the sport near the top of
the food chain. But by accepting
these huge local TV deals, the larger market teams (the NY, LA and Chicago teams
plus Philly and the Rangers) have a tremendous competitive advantage in the
financial department. Is there a
way to keep baseballs’ purse solvent while keeping the competitiveness of the
game intact?
How about division re-alignment? I’m not talking about re-doing the divisions based on
geography. But what about aligning
teams in divisions based on finances?
With the speed of travel nowadays, it’s possible for the Mariners to be
in a division with the Marlins. It’s
not a great idea, but it’s doable.
And baseball is pretty good about making the schedule for these teams
bearable. Every AL team has to go
to Seattle and Tampa Bay. Teams
are jetting all over the nation as it is.
So I don’t think that’s a problem, though it may be a little tougher for
the commissioner’s office to schedule. How would new divisions look? Here’s a preview of what I’m thinking:
NL 1
Philadelphia Phillies
Chicago Cubs
Los Angeles Dodgers
New York Mets
San Francisco Giants
NL 2
Atlanta Braves
Washington Nationals
St. Louis Cardinals
Colorado Rockies
San Diego Padres
NL 3
Miami Marlins
Pittsburgh Pirates
Arizona Diamondbacks
Milwaukee Brewers
Cincinnati Reds
AL 1
New York Yankees
Boston Red Sox
Los Angeles Angels of Anaheim
Texas Rangers
Chicago White Sox
AL 2
Houston Astros
Detroit Tigers
Seattle Mariners
Baltimore Orioles
Minnesota Twins
AL 3
Oakland Athletics
Tampa Bay Rays
Cleveland Indians
Kansas City Royals
Toronto Blue Jays
This list is taken directly from Forbes list of most
valuable franchises that you can visit here. Now this list isn’t built around which teams spend the
most. It’s also not about which
teams make the most money. This list
separates the MOST VALUABLE franchises based on a number of things, including
the media market. Obviously the Mets are in a bad financial situation right now and would struggle in their division. In addition the Blue Jays would be the rich kids of their class, but things change. Someone has to be in first and last in each division. While these teams are near the poles now, things could quickly reverse.
This list is designed with the richest teams in the same
division. The poorest teams are in
different divisions. This enables
teams with similar finances to play the majority of their games against each
other. The good thing about this
list is that it gives baseball carte blanche to continue pursuing these massive
local TV deals that benefit the major media markets (full disclosure….they are
likely going to continue to do that anyway even without my blessing…I’m shocked
by this news as well) while keeping the competitiveness closer to a fair
level. Teams would still play
everyone in their league, but they would have the majority of their games and
their important division games against other clubs that don’t have huge
financial advantages over them. And
then in the playoffs, the divisions face off against each other as usual.
As we hear all the time, baseball is a business. We hear it mostly when something is
done that the fans dislike or disagree with. Sometimes the decisions that are made are made for business
reasons. It’s bad when they clash
with what could be best for the game competitively. But the game going bankrupt trying to keep things fair is
also not the best idea. So this is
an idea to compromise. Baseball
keeps raking in the bucks with these mega TV deals however the re-alignment
helps keep the competitiveness at a high level. What do you think?