Many people believe that the same thing will happen to radio broadcasting in the near future as a result of the changes that took place in the manner that Major League Baseball games were shown on television. Only 23% of Major League Baseball games are shown on local television channels as of now. In addition, seven of the major league club games are shown exclusively on cable, which is an aspect of their business model that seems to be quite successful. In a conversation with the WSJ, Larry Rosin, President of Edison Media Research, expressed his belief that "The transition to a completely subscription-based business model for baseball radio broadcasts is definitely unavoidable... Because there is an excessive amount of money to be made, it is inevitable that it will take place." XM Satellite Radio and Sirius are the two most prominent suppliers of digital satellite radio, so this is a fascinating viewpoint for both of them. This conceivable turn of events seems to offer a lot of promise, particularly for XM, which would then have exclusive ownership of the rights to broadcast all major league baseball games. Naturally, it would be a significant step forward for XM, since the MLB creates a large amount of interest in the United States; in addition, it would signify that another foundational component has been added to the expansion of satellite radio.
XM Radio as well as MLB Radio
The MLB also has its very own internet radio station that requires a paid membership, and if the same thing were to occur to radio as it occurred to television, the MLB would most certainly take pleasure in the circumstance. The tendency toward transferring broadcasts of such sports into a subscription charged environment would elevate digital radio broadcasting to the next stage of growth. This is because communication experts believe that satellite radio is still in its infancy. The 30 Major League Baseball clubs each get an equal share of the profits generated by XM Radio and MLB Radio. These profits are distributed amongst the teams. This indicates that the Major League Baseball club would have a high level of interest, and the economic and financial aspects might speed up the process of making MLB games exclusively available on satellite radio. The numbers that we have available today tell an intriguing story: at the current time, around 23 percent of XM customers have signed up to get the MLB broadcast, which indicates that there is a great deal of room for expansion. Terrestrial radio may already be beginning to sense the potential threat of losing Major League Baseball broadcasts to satellite radio due to the fact that this revenue-driven model is more appealing to Major League Baseball clubs.
Consequences that might result from such a transfer
Opinions are divided, as is to be expected with anything that has reached the level of a contentious issue, both among the general public and among the professionals. There are others who are under the impression that the whole of this movement is nothing more than a soap bubble. Even while there is still a significant amount of interest in MLB radio broadcasts, the majority of people will not see the transition to digital radio as a significant shift since baseball is primarily a sport that is enjoyed when watched on television. They argue that the transition from terrestrial radio to satellite radio will not be anything that will significantly affect the sport of baseball. Despite the fact that radio was the first expanding medium for baseball, television is the dominant medium in the sport today. According to some other points of view, the MLB would suffer a greater loss of viewership than it would achieve with the acquisition of exclusive rights. It is possible for terrestrial radio stations to broadcast more games than broadcast television stations can since their format is more adaptable, allowing them to do so. The same individuals believe that "the MLB would alienate a lot of local fans if they removed baseball off of AM radio," and they express this sentiment. The effect that anything like this would have on Major League Baseball (MLB) may be compared to the impact that something similar has on the National Football League (NFL), where a process very similar to this one has already begun. This is another parallel that can be drawn. The Sirius NFL broadcasts resulted in some additional listeners for the firm, but the changes were not dramatic. Furthermore, considering that the NFL is more popular than MLB, many people anticipate that the same tendency will occur with MLB broadcasts as well. There is no denying the fact that there is a school of thought that believes this modification would have a substantial effect on the way baseball is seen. Because it may take a few hours to watch a game on television, many people find it more convenient to listen to the game on the radio while they are engaged in another activity. This is particularly true during the summer months, when many people choose to spend their time outside, either in the yard or on the porch, rather than inside the room in front of a television screen. Most people would agree that baseball is a game that can be followed on the radio, however it is possible to make comparisons between the many other kinds of major sports played in the United States from a variety of points of view. All indications indicate in the direction of a switch in broadcasting from terrestrial radio to satellite radio for the time being, but this might alter based on the feedback that corporations and MLB get from the general public.