The days of only being able to watch sports on network and cable TV are over.
Google and Amazon each have exclusive NFL rights, Apple TV+ has every MLS match for the next 10 years, and the NBA will likely get a multibillion-dollar haul from a streamer in its next media rights negotiations.
As one of the last bastions of appointment viewing, live sports have a built-in, diehard audience advertisers can count on.
Live-streaming ad tech firm Transmit is at the forefront of this shift, and now they have one of the world’s biggest financial institutions backing them.
An investor group led by a fund managed by LionTree, in partnership with existing Transmit investor SC Holdings, has made a majority growth investment in the company, valuing it at $350 million, according to the Wall Street Journal.
Transmit — which counts Paramount, Univision, YES Network and the NHL among its customers and has worked with Comcast, Nike, and AT&T to leverage live sports — will use the funds to enhance its tech and expand globally.
Everyone’s Adding Ads
Streaming’s heavy hitters are finally embracing ads.
In 2022, Disney+ introduced an ad-supported tier, plus a bundle with ESPN+ and Hulu with ads. It also collected a record $9 billion in upfront ad purchases, with 40% of that sum going to streaming and digital advertising.
- In November, Netflix debuted an ad-supported tier for $6.99.
- Peacock has had an ad-supported option since the service launched in 2020.
- Paramount+ and HBO Max offer ad-supported tiers, as well.
The Transmit deal marks another major sports-adjacent investment for LionTree.
In December, the bank participated in a $700 million round for Fanatics that valued the digital sports platform and retail heavyweight at $31 billion.
Editor’s Note: SC Holdings is an investor in Front Office Sports.
