Q&A with IMG President Adam Kelly on streaming platforms' growing share of sports media rights, live sports as an antidote to AI content, monetization, and more
As Netflix and Apple expand their sports ambitions, the head of IMG says media rights are entering a new phase driven by scarcity, retention and measurable returns
Context & Ripple Effects
The arc has moved from large technology platforms trying to persuade leagues to shift rights away from traditional television to Apple using its MLS rights as a test bed for new sports viewing models. Netflix subsequently connected live programming to the build-out of its advertising business, including its effort to monetize NFL games with ads.
Kelly’s comments frame those earlier moves as a broader change in how rights are valued: scarce live inventory is being judged not only for audience scale, but for retention and provable commercial return.
First-order effects
- Sports-rights buyers and sellers have a clearer decision framework centered on scarcity, retention and measurable returns, rather than treating live rights principally as a reach play.
- Live sports gains strategic value as programming that is difficult to replicate in an environment increasingly saturated with AI-generated content, strengthening the case for Netflix and Apple’s sports ambitions.
Second-order effects
- Platforms that want to compete for premium rights will need to show leagues how their distribution, measurement and monetization systems translate viewing into durable subscriber or advertising value.
- The emphasis on measurable outcomes raises the importance of ad products and audience measurement around live events, extending the logic behind Netflix’s use of live programming to support advertising.
Third-order effects
- If this valuation logic persists, premium live rights could become a more important distribution moat for major streaming services, concentrating leverage with leagues and the platforms able to convert events into retention and revenue.
- As AI makes more non-live content easier to produce, the relative premium on genuinely time-sensitive programming may rise—but whether that translates into sustainable rights economics will depend on platforms’ ability to measure returns.
The trend: Streaming services are treating scarce live sports as a retention, advertising and distribution asset as AI increases the supply of replicable entertainment.