Amazon Shatters NFL Streaming Record with $120M Playoff Deal
Amazon’s Prime Video has secured the exclusive rights to stream one NFL playoff game in 2025, setting a new benchmark for the value of digital sports broadcasting.
Prime Video’s Historic Agreement with the NFL
According to sources from Front Office Sports, Prime Video will pay the NFL an estimated $120 million for the rights to broadcast one postseason game after the 2024 regular season. This is the highest amount ever paid by a streaming service for a single NFL game, surpassing the $110 million that NBCUniversal’s Peacock paid for a wild-card game this season.
Prime Video’s deal with the NFL is part of a larger 10-year agreement that was finalized in 2021, making the streaming giant the exclusive home for Thursday Night Football starting with the 2023 season. Prime Video will also stream one Black Friday game per season, as it did in 2023 with the Miami Dolphins-New York Jets matchup.
The Rising Demand for Streaming Sports Content
The NFL’s decision to sell the streaming rights to one playoff game reflects the growing popularity and influence of digital platforms in the sports media landscape. More and more fans are opting to watch their favorite teams and events online, either through subscription-based services or free social media platforms.
According to NBCUniversal, the Peacock streaming service had the biggest live-streamed event in U.S. history with an average audience of 23 million viewers for the Dolphins-Kansas City Chiefs playoff game on Jan. 132. Research firm Antenna estimated that Peacock got 2.8 million sign-ups over wild-card weekend, making it the single biggest subscriber acquisition event tracked by the company.
The NFL is not the only sports league that is embracing streaming as a way to reach new and younger audiences. The NBA, MLB, NHL, and PGA Tour have all partnered with various streaming services to offer live and on-demand content to their fans. Some of the most popular streaming platforms for sports include ESPN+, Hulu, YouTube TV, FuboTV, and DAZN.
The Challenges and Opportunities for Prime Video
Prime Video’s record-breaking deal with the NFL is a sign of its ambition and confidence in the streaming market. The company is reportedly paying the NFL around $1 billion per year as part of its 10-year agreement, which is more than double what Fox paid for the previous Thursday Night Football contract.
However, Prime Video also faces some challenges and risks in its venture into sports streaming. One of them is the competition from other streaming services and traditional broadcasters, who may offer more attractive packages or exclusive content to lure away viewers. Another challenge is the quality and reliability of the streaming experience, which may suffer from technical glitches, buffering issues, or piracy.
Prime Video will also have to prove that it can deliver high ratings and engagement for its NFL playoff game, which may depend on factors such as the teams involved, the time slot, and the marketing strategy. The company’s first Black Friday game in 2023, featuring the Dolphins and the Jets, only drew 9.6 million viewers on Prime Video, compared to the 34.1 million viewers that the three Thanksgiving Day games averaged.
Nevertheless, Prime Video has a unique opportunity to showcase its capabilities and creativity as a sports streaming service and to attract new and loyal subscribers to its platform. The company may also leverage its other offerings, such as original shows, movies, music, and e-commerce, to enhance the value and appeal of its NFL playoff game.