Deadline Hollywood is reporting that FOX Sports is very close to acquiring exclusive rights to broadcast Los Angeles Dodgers baseball. The potential deal is reported to be between 6-7 billion dollars over 25 years. The team's current broadcast partner has a 45 day exclusive negotiation window and FOX will reportedly walk away from the deal, if they cannot agree by November 30th. It was expected to be a high stakes competition between FOX and the fledgling Time Warner sports network, which has exclusive TV rights with the Los Angeles Lakers, if the TV rights are open to the highest bidder.
Last summer, amongst the turmoil surrounding former owner Frank McCourt and mismanagement of the organization, he struck a 3 billion dollar deal with FOX in hopes of stabilizing the teams hemorrhaging finances. Commissioner Bud Selig voided the deal, using the 'best interest in baseball' clause, because he felt the deal grossly under valued the Dodgers TV rights and also, because he believed McCourt would attempt to skimp some of the cable money for himself. This effectively ended any chance McCourt could retain the club and any chance FOX would retain the rights at a discount. The club would eventually be sold for an astonishing 2 billion dollars to the Guggenheim Partners with Magic Johnson being the face of the new ownership group. Currently, FOX is paying $40 million a season, but if they come to an agreement, the deal can go as high as $280 million per season.
With this reports, their equity purchase of the YES Network, its recent renewals of Major League Baseball, NASCAR, and it commitment to College and NFL Football, FOX will have an excellent start in their plans to compete directly against ESPN with their planned FOX Sports 1 Network.
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