Forbes Continues to Tell Us What We Already Know: Yankees Are Rich

Forbes magazines’ annual ranking of the the “haves and haves nots” has been released, and surprise! The New York Yankees are on top. I know. I had to take my jaw up off the floor too.

The New York Yankees, worth at least $3.4 billion, have held MLB’s top spot since our first estimation of team values in 1998.

It goes beyond the team–the Yankees have their fingers in their own television network, MLS, and college football. They are fucking rich.

As the article points out:

Ancillary businesses are what separate the big boys (teams worth over $2 billion) from their less valuable rivals because MLB’s 30 teams equally share 27% of the league’s overall revenue, versus 65% for the NFL. This is why big market teams with business models that reach beyond the diamond dominate the top of our rankings.

That’s where the money is. Side businesses. Frankly, a better revenue sharing model is needed if smaller market teams hope to keep up. They simply don’t have the opportunity to create these side business? Not everybody can be in New York, Los Angeles, Boston-the top three markets, and it’s not even close. St. Louis is an anomaly at #7, a smaller market that is able to thrive.

Guess where my team, the Rays, ranked? 🙂

 

 

28 thoughts on “Forbes Continues to Tell Us What We Already Know: Yankees Are Rich

  1. If they were all equal, you wouldn’t have any lovable underdogs to root for. 🙂

    Not saying baseball can’t improve it’s revenue-sharing model, but so much of the NFL’s revenue is generated at the national level, while MLB’s is generated regionally. It’s not an apples-to-apples comparison.

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  2. I know that the Red Sox are rich by all the millions they burn on free agents that are total busts. If they invested in education instead of fat fuck 3rd baseman, perhaps they could get rid of the patois spoken by the locals. My accent only pops up when I get angry and/or drunk.

    Basically….I always have an accent.😎

    Liked by 4 people

  3. I have several thoughts on this topic, which I will share here. I have made all these points separately on THE BLOG WHICH WE DO NOT NAME, but I don’t think I have here. Some may be of interest.

    Houston is the fourth largest city in the country, and bids fair to catch Chicago for third in the 2020 census. But Houston is unusual for a large metropolitan area in that it is not close to any other areas. San Antonio, Dallas, New Orleans, Austin and Corpus Christi are all at least 200 miles away. I think the actual broadcast area is somewhere between tenth and twelfth. So you see from Forbes rating the Astros fifteenth in value. They are very much a mid-market team.

    What happens when these cable deals start going Boom? Some of you may not be aware, but this is Houston’s second try at a network. The first went belly up. And the second is a much leaner operation. Streaming is the future. I have heard from others that this geyser of cash in LA is from a network that is running in the red. How long will these networks sustain and pay out the eight figure annuals they do now?

    And, finally, don’t feel sorry for poor little mid-market (war profiteer) Jim Crane. His group went highly debt-leveraged to buy the Astros, then they held up MLB for 70 MM$ to move to the AL (scumbag!!). Total price 610 MM$ in 2011. Total value now? 1.1 billion $ with one of the lowest salary structures in baseball.

    Life is hard when you are a billionaire.

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    • Agreed on cable in general, which is why cable providers continue to fight against “unbundling” and other stuff.

      I stream TV over the Net, and the streamer whom I was using, for NFL games, was probably doing something quasi-illegal, but I could watch about any game I wanted. On NBA, I’m watching the regional sports networks games all the time right now.

      I’ll let you know about baseball in a few weeks.

      ==

      As for Houston bazillionaires, I know the No Fun League is threatening to not give Atlanta a future SB over the Georgia Lege’s proposed new bill, why can’t it make Bob McNair suffer having next year’s SB pulled?

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    • I’m glad that you feel this way, when the time comes for you to have paid advertising, I hope you feel the same way. I totally understand why you will need them, just remember WHY we ditched the TSFKAHBT!
      Cheers

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      • I’ll do fundraising before I do paid advertising. If it ever comes to it, I will do non-intrusive advertising, but this bullshit that completely locks down your site, videos across the screen, interrupting articles, and pop-in-overlays can so suck it. I’ll shut the site down before I put that shit in. We technically have advertising now, and it works just fine, it’s there, you see it, and it’s non-intrusive. I get the need for advertising, but when it completely kills the performance of your site, I’m not sticking around long enough to see the ad anyways.

        Liked by 1 person

        • Thanks for the reply…I see no advertising on my kindle..where is it? I also like the attitude you have going forward. Keep up the excellent work.

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        • They only pop up on very rare occasion and usually at the very bottom of a post. I believe it’s either between the article and the comments, or it’s below the comments. Like I said it only comes up very rarely and there’s even a dismiss button.

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      • Paid advertising is fine.

        Not fine is loading up an entire new page of advertisements essentially every two sentences, which is what you get with the “slide show”.

        It’s clunky and slow, even with ABP. All they are doing is selling my band width to someone…which is fine, as long as they are reasonable. I got to the 4th slide before I bailed because the design is simply not functional.

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        • The design did drive me nuts. I’ll update this post later with the list because no one else should have to suffer. I am an angel of mercy, I tell you.

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  4. Since that’s counting the ancillary businesses in the rankings, I’m not really surprised to see St Louis that high. Ballpark Village brings in shittons of money, money I assume is exempted from the revenue sharing process.

    The Cubs’ huge renovation plans includes something similar with an outdoor plaza and hotel right next to Wrigley. And now that the team’s owners also own just about all of the rooftop buildings on Waveland and Sheffield, that’s another nice source of revenue sharing exempt duckets coming in. The Cubs haven’t just been rebuilding the ballclub in the last few years, but their overall business model too.

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