The possible arrival of pitcher Shohei Ohtani to the Toronto Blue Jays could have a big impact, not only for the team, but also for its owner, telecommunications company Rogers.
As Toronto Sun columnist Steve Simmons pointed out on Thursday, Rogers could use the star free agent's arrival to turn his back on the broadcast deal that ties the company to the National Hockey League (NHL).
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As a reminder, Rogers paid an astronomical sum of $5.2 billion to be the official English-language broadcaster of the NHL in Canada.
“Rogers is looking to move away from the hockey network that has been a huge drain on the company's economy to become the first Blue Jays network to have a team compete for the World Series with Rogers Sportsnet and build on the brilliance of “Ohtani focuses on the network, reducing costs while increasing revenue,” Simmons wrote.
The agreement between the two parties ends at the end of the 2025-2026 season.
“Ohtani's contract, if signed here, would be between $500 million and $600 million over an expected 10 years. In other words, Blue Jays owner Rogers would pay Ohtani a maximum of $60 million per season – depending on the bonus structure – while no longer paying the NHL about $500 million per season for exclusive rights holders in Canada .”
Astronomical editions
Rogers should therefore spend around $560 million per year over the next two seasons just for the NHL and Ohtani – if the latter actually moves to the Blue Jays.
That may seem like a lot, but if the company decides not to renew its contract with the Bettman circuit, the economic consequences – particularly the prices of advertising slots during the broadcast of Blue Jays games, ticket sales and concessions – could clearly be much more beneficial as a renewed collaboration with the NHL.
“A 162-game season, some playoffs and an exhibition season could give Rogers more than 500 hours of televised sports from March through October,” Simmons continued. And that doesn't include pre-game, post-game shows or any other Blue Jays baseball-related programming. This could mean a more flexible schedule from October to March, but full control of the market for half the calendar year.”
So it seems like a good time for Rogers to part ways with the NHL. We now have to see if Ohtani really wants to end up in Toronto in his case.