Overview of The Powers That Be Daily — "Rooney Rule Revisited & R.I.P. R.S.N.s"
This episode (host Peter Hamby with guest John Oren of the Varsity newsletter/podcast) covers two big sports-business storylines from Super Bowl Media Week: (1) renewed scrutiny of the NFL's Rooney Rule after an offseason with almost no minority head-coach hires, and (2) the accelerating collapse of regional sports networks (RSNs) as rights and distribution move toward national streaming platforms. The conversation links league labor/DEI policy, media-rights economics, and what fans and small-market teams should expect next.
Key topics discussed
- Super Bowl Media Week atmosphere and the business dominance of the NFL.
- Media-rights dynamics: imminent renegotiation of big NFL deals and the impact on other leagues.
- The NFL–ESPN consolidation (ESPN acquiring NFL digital assets/RedZone/NFL Network) and regulator/competitor reactions.
- Rooney Rule performance: no Black head coaches hired this offseason (Robert Saleh noted as the only minority hire, Lebanese descent); Goodell faced tough questions and acknowledged more work to do.
- The demise of regional sports networks (formerly Diamond Sports Group → Bally/Main Street Sports/Sinclair) and how MLB, NBA, NHL local broadcasts will transition.
- What fans can expect: fewer blackout rules, more streaming, team-controlled production in many cases, and how commentators/announcers may be retained.
Main takeaways
- NFL dominance remains enormous and continues to grow — the league will likely secure much higher media-rights fees when it renegotiates deals (possible reopening window in 2029, but talks may start sooner).
- Higher NFL rights fees will strain networks’ budgets and could crowd out money for other leagues’ rights (NHL, MLS, MLB).
- Regulators approved ESPN’s consolidation of NFL assets; critics (e.g., Elizabeth Warren) warn consolidation reduces consumer choice and could raise costs. Broadcast partners (Fox, NBC, CBS, Amazon) are wary but likely still needed bidders for future deals.
- Rooney Rule criticism is intensifying after a poor offseason for minority head-coach hires. NFL leadership acknowledges problems; some executives call it possibly a one-year anomaly but admit more work is required.
- RSNs are effectively dying: cord-cutting, high carriage fees, Sinclair’s mismanagement of former RSNs, and bankruptcy have hastened the shift. MLB and leagues are stepping in to produce and distribute local games directly or through broader distributors.
- For fans, streaming access to local games is likely to improve, blackouts will likely diminish, and familiar local announcers may persist if teams retain/finance them.
Notable quotes & lines
- John Oren (paraphrase): The NFL “continues to grow” and is “the biggest league… probably the world.”
- On TV content quality: quoted Chuck Klosterman’s framing that football is “the greatest television program that’s ever been invented.”
- Elizabeth Warren (cited): The ESPN–NFL consolidation is “bad news… higher costs and fewer choices to watch games.”
- John Oren bluntly: “There is no future for the RSNs.”
What this means for stakeholders
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Fans
- Expect more streaming options for local team games and fewer blackout scenarios.
- Costs are uncertain: consolidation might raise some subscription prices even as delivery moves online.
- Local announcers may survive if teams fund their contracts; you may not necessarily lose your favorite broadcasters.
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Teams / Leagues
- Small- and mid-market teams should prepare for MLB/NBA/NHL centralized production or new distribution deals (league-run streams or direct-to-consumer partnerships).
- Teams can retain more control over production and announcers; they’ll need to negotiate where and how games are carried.
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Broadcasters / Rights-holders
- Networks face a bidding squeeze: the NFL will command more money, potentially starving budget for other rights.
- Partnerships and careful bidding strategy will matter; the NFL needs multiple bidders to sustain maximum revenue.
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Regulators / Policymakers
- Consolidation debates will continue: consumer-price and competition concerns vs. market realities of streaming consolidation.
- Decisions from earlier mergers (e.g., Disney/FOX divestitures) directly shaped today’s RSN landscape.
Actionable implications / recommendations
- Fans: verify where your local team’s rights land for the next season; consider league subscription services (MLB.tv, NBA League Pass) or team apps/streaming options; expect to see games on wider digital platforms.
- Teams: plan for direct distribution and contingency production if RSNs fail; budget to retain local announcers if that’s a priority.
- Networks: model how much of your rights budget you can allocate to retain NFL inventory while preserving other sports portfolios.
- Leagues: continue diversifying coaching pipelines beyond the Rooney Rule (investment in assistant-coach development, mentorship, and accountability/metrics for interviews and hires).
Quick timeline / facts to note
- NFL media deals currently extend into the 2030s; the league may reopen negotiations as early as 2029 or start talks sooner.
- Recent regulatory approval gave ESPN expanded NFL digital assets (NFL Network, RedZone, NFL Fantasy), prompting competitive and political pushback.
- Diamond Sports Group / Sinclair’s RSNs (aka Main Street Sports in some descriptions) have failed financially; MLB has begun producing some local broadcasts and negotiating direct distribution with carriers.
Bottom line
The episode connects two converging trends: (1) the NFL’s growing economic leverage in the media market, which will shape rights pricing and competition across sports, and (2) the structural collapse of RSNs as distribution moves to streaming and league- or team-controlled solutions. Simultaneously, the league faces reputational and policy pressure over coaching diversity — highlighting that business success doesn’t solve all institutional challenges.