Netflix is making its first venture into traditional live sports by airing NFL games on Christmas Day. The streaming giant has reached out to broadcasters, including ESPN, NBCUniversal, and CBS Sports, in search of a production partner for these games. While discussions have not yet begun with the other broadcasters, Netflix’s options may be limited due to Fox and CBS Sports already producing various games each week. Additionally, there may be resistance among current NFL partners to help Netflix, as the streaming service could potentially become a long-term media rights partner in the future. The NFL has an out clause in its current media contracts that allows it to select new partners after the 2029-30 season.
Netflix’s entry into the NFL aligns with its ambitions to grow its advertising tier. The company has already signed a deal with WWE to be the home for its live “Raw” events. Netflix sees the NFL as an opportunity to reach a global, younger audience and potentially bid on a larger package of games in the future. The streaming service will pay the NFL approximately $75 million per game.
While there may be some hesitation from current media partners to produce games for Netflix, the pressure from the league and a significant paycheck from Netflix could convince broadcasters to strike a deal. However, there aren’t many players in the space capable of producing NFL games at the level expected by viewers. Netflix is interested in finding a partner similar to Amazon’s Prime Video partnership with NBC Sports for “Thursday Night Football” games. If a deal cannot be made with one of the incumbents, Netflix may explore options with third-party producers.
Amazon Prime Video was the first streaming service to obtain exclusive rights to NFL games. This move by the NFL was part of its strategy to broaden its media partners and offer more streaming options. Given the recent NBA media rights negotiations, many expect the NFL to exercise its opt-out clause and seek new partners. Streaming services for Comcast, ESPN, and Paramount have already begun streaming games, with YouTube TV becoming the new home for the “Sunday Ticket” package of games.
The NFL’s partnership with Netflix to stream Christmas Day games aligns with the league’s goal of widening its audience through more streaming partners. NFL Commissioner Roger Goodell has expressed that streaming is best for consumers at this stage. As traditional TV bundles continue to shift and sports become a boost to streaming platforms, partnerships like the one between Netflix and the NFL are likely to shape the future of sports broadcasting.
