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OG Business: Is Pat McAfee really worth $60M to ESPN?
Description
Is a reported $60 million price tag worth it for a licensed property, or has traditional media backed itself into a corner it can't afford to escape? Just one week after Front Office Sports reported that ESPN is bracing for another painful round of layoffs targeting front-facing, on-air talent, news leaks that the network is actively negotiating a massive, multi-million dollar extension to keep The Pat McAfee Show in-house. Joe and Demetri parse the critical case for and against this massive valuation. Because ESPN merely licenses the show rather than owning its intellectual property, it begs a much larger structural question: Has ESPN's internal digital media strategy fumbled so severely over the last decade that paying an astronomical premium to keep McAfee in their ecosystem is better for their bottom line than allowing him to go completely independent?
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