CONTENDERS ASSEMBLE: A FIGHT FOR F1 STREAMING RIGHTS
Image credit: Thibault Penin
Netflix seems like the only real contender to step into the U.S. Formula 1 media rights conversation at the current asking price and it’s not necessarily because the sport has hit its true peak in popularity. In fact, Netflix's Drive to Survive viewership has stagnated or even faced comparative decline in recent years (I’d be happy to be proven wrong with the most up-to-date figures). The thing is, in a media environment where attention is everything, the only way to keep a firm grip on what remains a wildly exciting sport with vast untapped potential may be to secure F1’s ‘weekly’ audience.
The fee being asked is significant, especially as F1 hasn’t yet cracked the top five sports by popularity in the US. However, Liberty Media has done an admirable job so far, giving F1 all the tools it needs to find growth in key regions globally. That said, the sport still has a way to go before achieving true cultural relevance in the U.S.
A streaming deal with Netflix could be transformative, but only if done right. Live race coverage alone won’t get F1 where it wants to go. Cultural relevance today comes from presence within the broader pop culture conversation, from fashion to music to celebrity to gaming and more. Netflix, with its storytelling expertise and algorithmic reach, has the unique ability to create a 360° experience around F1 that goes beyond just the track. If this is done well, it could also be something of a saving grace for Drive to Survive.
Drive to Survive feels increasingly out of sync. Many of the fans it originally attracted now understand enough to follow the drama as it unfolds in real time. By the time a new season of the show drops, much of it feels like old news, or, at best, a pleasant filler to help fans through the content drought of the off-season.
My prediction? The final deal will close at under $180 million. Whether it’s Netflix, Apple TV, NBC or whoever else, the broadcaster that takes on this challenge must go beyond streaming and find a way to make the investment not only justifiable, but culturally indispensable. Otherwise, this could turn out to be a monumental case of finger-biting and "had I knowns."
