Next year is the last one that NASCAR is contractually bound to FOX and NBC. So far, officials have been happy with the sport’s TV partners, but John Ourand of Sports Business Journal reports that the two networks should expect some competition.
The networks and NASCAR have begun negotiating a new deal, but Ourand says NASCAR intends to see what else is available to them. The exclusive negotiating window for FOX and NBC closes in March. The sport is expected to let that happen and take its rights to the open market.
There are plenty of issues that need to be worked out. The biggest is how revenue from a new deal would be split. Team owners currently get 25% of the sports’ media rights revenue. They are demanding a much larger cut of the next TV contract.
Another key issue is what exactly is up for sale. Ourand reports that like the NBA, NASCAR is exploring creating a third media rights package. That would likely be intended specifically for a streaming platform.
NASCAR hopes a deal can be finalized by the fall. The new TV deals wouldn’t start until the 2025 season though. There is no urgency to take a deal that doesn’t fit the sport’s needs.
Ourand is quick to point out that while NASCAR wants to test its value on the open market, it is engaged in conversations with FOX and NBC. Those talks “appear to be progressing smoothly” with the understanding that all parties involved want to stay in business together.
