Happy Sunday!

Tomorrow is National Barcode Day. This day commemorates more than 40 years of efficiency and accuracy that began on June 26, 1974, when a clerk scanned a 10-pack of Wrigley’s Juicy Fruit gum at a Marsh supermarket in Troy, OH. Let’s take today to be thankful for the barcode!

NEWS: Fz Sports Secures $74 Million in Growth Funding for Media Rights. Fz Sports, a Miami-based sports media and technology company, raised $74 million in growth funding as it works to strengthen the value of Latin American football internationally. The financing includes debt and equity capital provided by 777 Partners, MEP Capital, and others.

Ever heard of the Messi Effect? Neither had we… until this month. Minutes after fans learned that Messi would be moving to the US to play for Inter Miami, ticket prices for Inter Miami matches soared by more than 1,000%. It’s not just ticket prices that are rising. From sports betting increasing to social media followers jumping, Inter Miami is receiving a very bright spotlight as we await the debut of Messi… which is July 21.

That’s not all. When David Beckham negotiated his move from Madrid to Los Angeles in 2007, he was given the option to buy an MLS expansion team for a mere $25 million. Five years ago, Inter Miami was founded and is now valued at a whopping $600 million. Imagine browsing resumes and seeing one of the applicants has a skill titled: “the Messi effect”.

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Headlines for the week:

• How Josh Harris is Building a $10 Billion Sports Empire

• Netflix is looking to Enter Live Sports

• Deep Dive on BetMGM Strategy

How Josh Harris is Building a $10 Billion Sports Empire

Josh Harris is leading a group toward finalizing a deal to acquire the NFL’s Washington Commanders for $6 billion. The group, also known as Harris Blitzer Sports Entertainment is soon to be worth more than $10 billion once the deal closes. This sports empire led by Josh Harris & Co already own the Philadelphia 76ers and the New Jersey Devils. This seems to be a smart move for the empire… considering that NFL valuations have exploded over the past decade.

Harris Blitzer Sports Entertainment, also known as Josh Harris’s Sports Empire, has been quietly building one of the largest sports portfolios in the world. And the empire doesn’t show any signs of stepping on the breaks. Just this past Tuesday Josh Harris added yet another blue-chip sports title to his investment portfolio on Tuesday when he became a minority partner in Joe Gibbs Racing.

We tried to find an interview with Josh Harris, but there weren’t any good interviews. Therefore, we found a YouTube clip where a reporter asks a person familiar with Josh Harris about himself, here’s what he said:

What’s Next? On Friday, the NFL scheduled a special owners’ meeting for July 20th for an expected ratification vote on the more than $6 billion sale of the Washington Commanders from Daniel Snyder to Josh Harris and Co. This doesn’t seem like it’ll be the last acquisition HBSE will make.

Netflix is looking to Enter Live Sports

Netflix, the largest streaming service with more than 230 million subscribers globally, is looking to enter live sports. It’s about time. Hulu, Peacock, Prime Video, Apple TV+, and other streaming services that compete against Netflix have already been offering their subscribers live sports. Investors have criticized Netflix for not moving into live sports sooner, but they aren’t complaining too much since the stock is up 43.76% YTD as of Friday. While the stock is up, Netflix lost one million subscribers in Spain following its password crackdown. Therefore, Netflix is looking to some much-needed additions to the service after the loss.

Netflix is reportedly in talks to live-stream its first sporting event later this year. The event is a celebrity golf tournament featuring professional golfers and Formula One drivers, according to the Wall Street Journal. The tournament will likely serve as a trial balloon for Netflix minus the millions of dollars and multiyear commitments for top-tier live sports rights.

It’s not like Netflix hasn’t tried to add live sports to its already large collection. Last year, Netflix tried to win the United States live streaming rights to Formula One, but ESPN ended up winning a three-year deal.

Speaking of live sports… let’s turn to Apple TV+. Apple TV+ started its 10-year partnership with Major League Soccer earlier this year by launching the Season Pass exclusively on Apple TV+, including playoff games. Plus, they don’t have blackouts, which allows fans to watch every MLS game they want for $100 per season. We will keep you updated on what happens next with these developments.

Deep Dive on BetMGM Strategy

Get this: Americans bet $220 billion on sports in 5 years since the U.S. Supreme Court cleared the way for all 50 states to offer it. The sports betting industry is fast growing, and it doesn’t show any signs of stopping. In September of 2022, around 1-in-5 U.S. adults said they have personally bet money on sports in some way in the last 12 months.

We took a deep dive to see what BetMGM was doing to grow its brand as the industry grows exponentially. Just for context, BetMGM is equally owned by Entain and MGM Resorts International. Sean Bulvanoski leads as the Senior Manager for Strategic Partnerships at BetMGM.

Here’s what we found:

• Facebook Advertisements: BetMGM currently has 330 Facebook ads running as of June 24.

• League Partnerships: NFL, NBA, MLB, NHL, MLS, and more league partnerships.

• Brand Partnerships: Yahoo Sports, Buffalo Wild Wings, Top Golf, and more.

• Celebrity Endorsements: Jamie Doxx, Connor McDavid, Jalen Rose, and others.

So, is it profitable? BETMGM raked in net gaming revenue of $470M in the first three months of 2023 according to Entain. It’s expected to reach profitability by the end of this year.

Required Reading

EA Sports and the Problem With NIL in Video Games (Amanda Christovich, Front Office Sports)

Football leagues get highest numbers from fans for successfully promoting their corporate sponsors (David Broughton, SBJ)

Super Bowl MVP Joe Theismann reacts to the NFL cracking down on gambling (Varney Co, FOX Business)

Saudi Arabia’s $650B PIF and its Sports Connections, Explained (Asli Pelit, Sportico)

Looking for Sports Biz Jobs?

Coordinator, Corporate Partnership Research & Measurement - Sales (Seattle · WA) - APPLY NOW

Applied Sports Science Apprentice - Houston Texans - APPLY NOW

Account Executive, Business Development - Tennessee Titans (Nashville · TN) - APPLY NOW

Corporate Partnerships Manager (Lakeland, FL) - Detroit Tigers (Lakeland · FL) - APPLY NOW

Coordinator, Partnership Activation - Huntsville City FC (Huntsville · AL) - APPLY NOW

Want to find more sports business jobs? We highly recommend checking out Teamwork Online. It’s a free sports business job posting site.

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