The WWE finally provided details of their long-awaited network...get ready to spend.
In their fourth quarter conference call to investors, among the usual numbers that only accountants, shareholders and the IRS can get excited about, WWE Chairman Vince McMahon got on the line to give a sneak peek at what may be come up for WWE fans..and their pocketbooks.
"We believe we can achieve a significant increase in earnings based on launching a WWE network in the U.S and international markets, leveraging the renewal of our largest content agreements, and developing digital products, such as mobile games and gamification of content, which take advantage of our presence online and in social media," said McMahon.
False starts and long pauses have dogged the proposed WWE Network, causing confusion and fan frustration. One minute, there were promotions and the next there wasn't, leading many to believe that the WWE didn't have the time or the "testicular fortitude" to spend the millions necessary for a cable endeavor in these economic times. According to Prowrestling.net, McMahon was frustrated with the lengthy process, but optimistic about the network's outlook.
Highlights of the conference call:
WWE Network Cost - Although, they didn't discuss deals with cable or satellite companies, WWE CFO George Barrios stated that the network would cost between $12.99 and $14.99 a month.
RAW/Smackdown migration - Fans have wondered with all the talk of "monetizing", would Raw and Smackdown be on the WWE Network. McMahon shot down those rumors, citing the need for broad distribution across free and cable platforms.
Wrestlemania - The "grandaddy of them all" will continue to be Pay Per View only. Wrestlemania grabs about a million PPV buys, accounting for nearly half of WWE's total PPV revenue, so it'll remain independent.
Sustainability - Barrios stated that they'll need at least a million subscribers to break even, although he predicted somewhere between two and four million subscribers would be ready to sign up for the network.
Pay Per Views - Those who don't want the network will still be able to purchase PPVs on an al a carte basis.
Attitude Returning - Older fans have been clamoring for edgier content for years. Vince briefly addressed it saying that they have the ability to produce it on the WWE Network, just as they do on home video.
2013 Launch date - The mystery continues. Barrios could offer no start time for 2013 saying "We feel good, we're optimistic, but we're going to get out of predicting dates."
What are your predictions for the WWE Network?
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