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EDGECRUSHER
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« on: October 29, 2020, 02:47:01 pm »

The Indians just put Brad Hand on waivers, a sign they will decline his $10 Million option for 2021. Hand was great in 2020 and I think led the league in saves, so that $10 Million is a very good deal. I know that teams will probably scale back their spending in 2021 and this will kill the free agent market, but moves like these are almost ridiculous.

Is this the beginning of a financial reset in MLB where the best free agents go for $15 Million a year?
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MaineDolFan
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« Reply #1 on: November 02, 2020, 01:30:25 pm »

There will still be about five teams who will be swimming in deep waters, money wise.  Others are taking a massive hit, they have to adjust.
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"God is a comedian, playing to an audience too afraid to laugh."
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EDGECRUSHER
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« Reply #2 on: November 02, 2020, 01:38:17 pm »

There will still be about five teams who will be swimming in deep waters, money wise.  Others are taking a massive hit, they have to adjust.

Yankees won't be one of them, they are crying poverty again. I imagine the Dodgers will keep spending, along with the Angels and maybe even the Mets if the sale goes through. You can build an instant contender if you are willing to spend in free agency and basically take expensive players off the hands of cheap owners.
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MaineDolFan
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« Reply #3 on: November 05, 2020, 08:54:21 am »

Teams like the Yankees, and Boston, do that for a season in order to get under the threshold.  There are consequences which reach into drafts, the ability to play in the overseas market, and things of this nature; so many tiers to it.  Once the team resets, you will see the spending start again.  Boston did and said the same thing, you'll see them spend again (maybe even this coming year).  The market is very important, of course, but it is the network.  NYY has YES, Boston has NESN; this is additional revenue streams above and beyond what the teams receive (that other teams do not), they can't afford for the revenue from these to go down.
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"God is a comedian, playing to an audience too afraid to laugh."
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Fau Teixeira
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« Reply #4 on: November 05, 2020, 09:16:36 am »

YES and NESN are both being dropped by streaming services and RSNs are facing huge $$ losses.

Sinclair lost 3.8 billion in the 3rd Quarter from their Regional sports networks. pretty much only ATTnow and traditional cable companies still carry them. They've been dropped by everyone else.

YoutubeTV lost regional foxsports after being dropped by dish, directtv, fubo, hulu and that other one i keep forgetting.
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EDGECRUSHER
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« Reply #5 on: November 05, 2020, 09:25:04 am »

Teams like the Yankees, and Boston, do that for a season in order to get under the threshold.  There are consequences which reach into drafts, the ability to play in the overseas market, and things of this nature; so many tiers to it.  Once the team resets, you will see the spending start again.  Boston did and said the same thing, you'll see them spend again (maybe even this coming year).  The market is very important, of course, but it is the network.  NYY has YES, Boston has NESN; this is additional revenue streams above and beyond what the teams receive (that other teams do not), they can't afford for the revenue from these to go down.

I heard this for the 2018 season when the year prior as a young team made it to Game 7 of the ALCS. They did nothing to improve the team but got under the threshhold so they could spend big in 2019 for Harper and Machado. That did not happen.

On field product first, then profits. As long as you aren't going bankrupt, you have to spend if you own a sports team. That's just how I feel.
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masterfins
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« Reply #6 on: November 05, 2020, 02:31:50 pm »

IMO Baseball free agents are way overpaid.  MLB teams will use this as a reason to cut back on salaries.  Hank Steinbrenner doesn't spend like his old man did, if they aren't winning championships then he doesn't want to be over the cap.
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EDGECRUSHER
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« Reply #7 on: November 05, 2020, 03:41:36 pm »

IMO Baseball free agents are way overpaid.  MLB teams will use this as a reason to cut back on salaries.  Hank Steinbrenner doesn't spend like his old man did, if they aren't winning championships then he doesn't want to be over the cap.

Relative to what they roduce on the field and off with merchandise sales, a lot of the stars are actually underpaid. I remember seeing a study done back in the 2000s and Derek Jeter was worth $50 Million a year to the Yankees when everything was factored in. The problem with MLB is the guaranteed contracts and no buyouts. Teams are very hesitant to spent $250 Million on someone when they know they are sunk if the player gets hurt or underperforms early on. Salaries would go up if buyouts were introduced and the team had opt outs as well as the players.
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MaineDolFan
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« Reply #8 on: November 09, 2020, 02:55:38 pm »

I'm not sure about YES, NESN still has a valuation of over 500 million; the largest portion of this is due to it's relationship with the Red Sox.  Streaming services, such as YouTube TV were always a small chunk of both of their values.
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"God is a comedian, playing to an audience too afraid to laugh."
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