A theory on HBO boxing's budget cuts

[Motorcity Cobra]

More delusion...

Canelo vs. Cotto grossed $55 mil. HBO gets around 25-30% of that. And factor in the May vs. Pac fight and they shouldn't be having boxing budget problems. PPV is minimal investment from HBO but they maximize their return. But they have to invest in fighters in order to build them to PPV stars.

[Motorcity Cobra]

I think it brings a lot of value to HBO Family and paying up for Sesame Street is way more efficient than trying to build a brand that could compete with Sesame Street. Especially since the new episodes will eventually appear on PBS so they won't run into the problem of a bunch of kids not knowing who the **** Big Bird is in 10 years thus killing their investment in the property, as is the case with HBO boxing.

HBO boxing could learn from that deal to be honest.

Did you hear they just fired most of the human cast? smh I grew up watching them

[PKing]

Canelo vs. Cotto grossed $55 mil. HBO gets around 25-30% of that. And factor in the May vs. Pac fight and they shouldn't be having boxing budget problems. PPV is minimal investment from HBO but they maximize their return. But they have to invest in fighters in order to build them to PPV stars.

Show one credible source that definitively shows HBO receives 25 to 30% of ANY PPV.

Just one.

[The Gambler1981]

Did you hear they just fired most of the human cast? smh I grew up watching them

I did see that, I guess they did have to put their own spin on it and since they can't just replace Cookie Monster, Bert & Ernie, Elmo or Oscar the Grouch.

I am going to crack up when they just come out and say Bert and Ernie are gay and they will now have their own sitcom on prime time HBO~

[PKing]

Ross Greenburg, then president of HBO Sports, called the expansion of pay-per-view "the biggest economic issue in boxing", stating "I can't tell you that pay-per-view helps the sport because it doesn't. It hurts the sport because it narrows our audience, but it's a fact of life. Every time we try to make an HBO World Championship Boxing fight, we're up against mythical pay-per-view numbers. HBO doesn't make a lot of money from pay-per-view. There's usually a cap on what we can make. But the promoters and fighters insist on pay-per-view because that's where their greatest profits lie."

[Motorcity Cobra]

Show one credible source that definitively shows HBO receives 25 to 30% of ANY PPV.

Just one.

I got mixed up. HBO gets the 7-10% and the cable companies and promoter splits the rest.

This is a good article

Domestic Television. As noted above, the domestic television fee is a variable based upon the number of pay-per-view homes for the particular event. Assuming a pay-per-view retail price of $39.95, and following deduction of (a) the percentage of such pay-per-view fee to the cable operator (generally 50% of gross goes to the local cable operator although such percentage differs based upon the marketability of the event and the desire of the cable company to possess the ability to sell the event to its local cable subscribers) and (b) the approximate 7.5% distribution fee remitted to the distributor (SET or HBO PPV as discussed above), resulting in approximately $18.50 from each home purchase received by the promoter and comprising the domestic televison fee.

http://www.secondsout.com/ringside/t...f-pay-per-view

This is a good article too

The standard breakdown as far as money is concerned is a 10% fee off the top for the distributor, with 45% each for the cable system and the promoter. So when you see a price tag on a fight, you know that the promoter will get about 45% of that.

Let’s say a fight is priced at $49.95, which for the sake of simplicity we are going to round up to $50. If it’s HBO PPV that is being used, HBO is not a party that is at risk as far as the fight itself is concerned but will take the 10% fee off the top ($5). The promoter and the cable companies both wind up with $22.50 per “sub” (or subscriber).

http://www.*************.com/columns...iew-deal-work/

[PKing]

So that means HBO made how much from Crawford-Postol?

Worst case scenario for HBO is 7.5% with a cap as Ross Greenburg (former head of HBO Sports) stated.

Best case is 10% with no cap.

I tend to believe it is the former rather than the latter.

[sicko]

Actually wise to be smart about their Spending when it comes to boxing to be honest. A lot of what was suppose to be big fighters under performed SO BADLY so yes since fight fans are Fickle then yes maybe HBO should be Fickle with their spending on certain fighters and match ups since it is no Guarantee that if they put the money up that fans will tune in

[Kigali]

HBO can't put up the money for the fights so they go to PPV

Meanwhile

Other fighters are on regular TV getting for more exposure and money.

I bet Crawford(and many others) wishes he signed with Haymon.

[MASTERBX]

greasy face lil kim sees the writing on the wall. His sugar daddy is going out of business. He has spent most of his blogging life shilling for bobby and HBO he knows he has no credibility with Showtime and The PBC.