Live Events Network Revenue
As seen in the recent Super Bowl (2024), live events like these still draw massive TV audiences, offering networks a chance to gain significant advertising revenue. While regular TV shows experience declining viewership due to DVRs and streaming platforms, meaning less advertising money, major live events like the Super Bowl, Grammys, and Oscars offer networks the opportunity to reconnect with large audiences.
Networks indeed pay hefty fees for broadcasting rights to these events, but the premium ad rates they charge more than compensate for the expense. Here’s an overview of approximate costs for broadcast rights fees:
- Super Bowl (CBS, Fox, NBC rotate annually): Over $500 million per year
- Academy Awards (Oscars) – ABC: Around $75 million per year
- Grammy Awards – CBS: Around $80 million per year
- Winter Olympics: Around $1 billion per edition (NBCUniversal holds US rights)
- Summer Olympics: Around $1.5 billion per edition (NBCUniversal holds US rights)
And revenue estimates for major live events in recent years:
Super Bowl:
- 2023: NBCUniversal reported $6.2 billion in ad revenue.
- 2022: CBS reported $5.3 billion in ad revenue.
- 2021: CBS reported $5.5 billion in ad revenue.
Oscars:
- 2023: ABC did not disclose revenue, but estimates suggest $200 million+ from ads and sponsorships.
- 2022: ABC reported a 23% decline in ad revenue compared to 2021, with exact figures not released.
- 2021: ABC reported $125 million in ad revenue.
Grammys:
- 2023: CBS did not disclose revenue, but estimates suggest $60-80 million from ads and sponsorships.
- 2022: CBS reported a 9% decline in ad revenue compared to 2021, with exact figures not released.
- 2021: CBS reported $75 million in ad revenue.
Soccer World Cup:
- 2022: FIFA, the governing body, reported $6.2 billion in total revenue, with a portion going to broadcasters. Specific channel breakdown unavailable.
- 2018: Fox Sports reported $1.1 billion in ad revenue for the US broadcast.
Winter Olympics:
- 2022: NBCUniversal reported an estimated $2 billion in total revenue, including ad sales and other sources.
- 2018: NBCUniversal reported an estimated $1.4 billion in total revenue, including ad sales and other sources.
Summer Olympics:
- 2020 (held in 2021): NBCUniversal reported an estimated $3 billion in total revenue, including ad sales and other sources.
- 2016: NBCUniversal reported an estimated $4 billion in total revenue, including ad sales and other sources.
Networks likely will continue investing heavily in live events for years to come, and we’ll update this post with new figures as they become available.