They did on Longo, Kiermaier, Lowe, SnellI suspect they will on Meadows too, as well as Wander Franco. The deal was agreed to back in December, a different point in the COVID-19 timeline. In Major League Baseball, 48% of local revenues are subject to revenue sharing and are distributed equally among all 30 teams, with each team receiving 3.3% of the total sum generated. I mean youve basically moved the goalposts to prevent actual franchise players from being mentioned. mlb has it it can certainly called a organization representing 30 owners. All Im saying is that I wish the Rays spent a little money to keep a popular guy around. The REAL disparity is that some teams are so reversely integrated, that much of their revenue is profit. Sort of. A former GM said if youre going to lose, you might as well lose cheap.. So teams with high local revenues, especially high TV fees, pay more into the revenue sharing pool than they receive back, and vice versa for teams that have lower local revenue. All these teams are responsible for expanding the sport. Huh? Overview and forecasts on trending topics, Industry and market insights and forecasts, Key figures and rankings about companies and products, Consumer and brand insights and preferences in various industries, Detailed information about political and social topics, All key figures about countries and regions, Market forecast and expert KPIs for 600+ segments in 150+ countries, Insights on consumer attitudes and behavior worldwide, Business information on 60m+ public and private companies, Detailed information for 35,000+ online stores and marketplaces. Just dreaming of a day a family of 4 could go to hand full of games and enjoy a similar quality product and root for their home team as a winner (management aside) every so often for same or similar price across all markets. Yankees jeter, Rivera, etc A few years after the public subsidized their stadium. P.S: They didnt own a single seat up until 6 months ago when they bought out the counties half. The owners who pay out more than they receive would vote for it. 48% of all local team revenues, including local TV and radio fees and ticket sales (concessions and parking is fuzzy; sometimes yes, sometimes no) from all 30 teams goes into a pool. Padres Tatis As a Premium user you get access to background information and details about the release of this statistic. The amount of money moved amongst the top payors and payees is not something to sneeze at. The team made revenues of $526 million in so-called "baseball revenue" in 2021. Archer, price, etc. [11] comments, [three] of which are utterly clueless. being billionaires means they know how to run a business properly. Yeah, they will really like that happening. Problem solved. Goth just called you a socialist but your comment to ABStract says youre a capitalist. A paid subscription is required for full access. They would continue to share revenues in the same manner, except there would be a sliding scale that allows smaller market teams to retain a larger share of ticket sales. GameThread: Tigers vs. Blue Jays, 1:07 p.m. Four Tigers prospects make FanGraphs new top 100 prospect list. You can only download this statistic as a Premium user. Players see revenue sharing as part of the larger issue of teams tanking, or not making an effort to field a competitive team and failing to spend on player salaries. The commissioners office disagrees. There are chronic abusers here that MLB has tolerated. Unless you are a twelve year old in Pittsburgh, how do you know what they are thinking? didnt someone say mlb had no money? Felix isnt with Seattle anymore. Please create an employee account to be able to mark statistics as favorites. But still tons of hurdles and the pandemic has pushed that timeline probably to 2025 or so, but ive been waiting 20 plus years for a new stadium, not just endless artist renderings that go nowhere. And NHL. Even with that added flexibility, owners didnt have an easy time restarting revenue sharing for 2021. But, whatever. If anything, you should pay us, a large-market executive said of the sentiment. If it were to happen, as Manfred told The Athletic, "I think as you move more national, by definition, you're going to have more central revenue." With centralized revenue comes revenue sharing, which could help address the cavernous gap between big-market, deep-pocketed teams and smaller-market clubs owned by those with fewer means. But its not hundreds of millions of dollars. While many of the Athletics' free-agent additions were sensible . Some small-market teams expect lower attendance to begin with. Time to move some teams if they cant get attendance where they are. Fox is paying MLB $5.1 billion for the 2014-2022 period or $567 million per year. Pretty hard to justify some teams rolling out $75 million payrolls when they got $118 million in funds. MLB needs some form of sharing local revenues, because the revenue generated during the regular season is mostly local, and there is an enormous disparity in money generated between a market like Los Angeles or New York, and that of Pittsburgh or Kansas City. but again tanking disengages casual fans and hurts the games popularity. The statistic shows the average revenue per franchise in Major League Baseball from 2001 to 2021. Its really hard.. If youre a fan of a team, youll go see them regardless of the venue. I agree that they should spend money when it makes sense. 4th, 5th place MVP or Cy Young: $500,000. Amazon is now paying a billion dollars for that awful Thursday night game alone. The Marlins could have about 25 percent.). The Dodgers will pull back under it next year. And Longoria took a massive pay cut to stay in Tampa, and eventually he was shipped out too. And here I thought it was due to a hard cap, non-guaranteed contracts, and sharing of ALL tv revenue. Profit from the additional features of your individual account. I dont want to see the Rays stadium get burned down or become a community garden, move them somewhere other than Portland. Cardinals Molina The rest of the bonus pool will be divided among the top 100 performers in the service . Other teams share, share and then have to share some more. hide a considerable amount of their revenue from NESN, etc. Rays dont have franchise players. Revising the draft order can help by eliminating the incentive in losing, but MLB must also incentivize winning, and they need to force teams to spend the revenue sharing dollars that they receive. In all, MLB teams are receiving an estimated $1.5 billion on their local cable deals without considering ownership interests. Learn more about how Statista can support your business. The NFLs model is different and cant be replicated in MLB because they are different sports and entertainment values. Reds 2021 1.50M Pads 2.19M . it seems really unamerican but there it is. Have a $100M floor, and half the teams finish below .500. Additionally, the Rays have been successful with that payroll versus perpetually garbage. As talks between Major League Baseball owners and players on a new collective bargaining agreement (CBA) have stalled, one of the most troubling issues is that of revenue sharing. In, Forbes. Thanks. It can be improved, it should be improved, but its not the doom-and-gloom many here want to present. Also get the same quality product in both? Mookie, Trout, Tatis, Lindor, etc would never make what they have/will with a cap, so that wont work either. Who wants to cheer for a team whose names are all household but perpetually suck? Red Sox Ortiz, varitek After being halted in 2020 due to the pandemic, Major League Baseballs revenue-sharing system between bigger-market and smaller-market teams will return in an altered form in 2021, The Athletics Evan Drellich reports (subscription required). Smaller-market clubs will only receive half of the normal amount of funds this year, with the other half coming in 2022. The league itself will be covering the 2021 payments in a loan deal, with the larger-market teams expected to eventually pay MLB back. Exactly. AZ, CO, CT, IL, IN, IA, KS, LA, (select parishes), MD, MI, NH, NJ, NY, OH, OR, PA, TN, VA, WV, WY, CA-ONT only.Eligibility restrictions apply. Tim Salmon, garret Anderson, vlad, trout, weaveryou know any player that stayed with the team for a salary over near the league minimum, So your qualifier is anyone who stays with a team while being paid a salary over near the league minimum? Are you interested in testing our business solutions? If the players indeed are demanding a reduction in revenue sharing without demanding penalties for teams that fail to spend on payroll, theyre missing the point. The Players Association filed a grievance against the As, the Pirates, the, The current draft order provides an incentive for losing, Economics and revenue sharing provide little or no incentive to win, The performance gap between veterans and minimum salaried players doesnt match the pay gap, Teams in the five smallest markets keep 90 percent of gate receipts, Teams in the 21st to 25th largest markets keep 80 percent, Teams in the 16th to 20th markets keep 70 percent, Teams in the 11th to 15th markets keep 60 percent, Teams in the 10 largest markets keep 50 percent. each teams dont have monopoly protection. Yes, exactly Darkside! And thats a really imperfect system, but you have to have it. The set-up has always been touchy: Small-market teams forever want more revenue sharing, and large markets less. You will never have complete parity in sports if youre a fan of a team that doesnt coach well, doesnt spend well, and doesnt own well, choose a different team. Find a second location with a buyer. The big-market teams are to pay out the rest of the 2021 revenue sharing money, the other 50 percent, sometime in 2022, at a schedule to be determined after this season. The only owners who wont want that are the ones pocketing the cash. They cant do that as the larger market owners paid more for their teams that the smaller market owners did. I think your line of thought is the best in this whole thread but perhaps it has just a bit too much utopian aspirations than are achievable today sadly. But revenue sharing is a special bird, because it can also agitate those on the players side. Welcome to the organization MLB. Wow this sport would care about its product and deliver it to the largest possible market that it could. Any outrage there, or is it just reserved for owners who supposedly pocket revenue sharing money even though their team has been more successful over the past 10 years than not? Cleveland Guardians on the Forbes MLB Team Valuations List MLB Team Valuations View Full List Previous / Next #24 Cleveland Guardians Team Value 1 $1.3B Calculated March 2022 Owner (s). We use cookies and other tracking technologies to improve your browsing experience on our site, show personalized content and targeted ads, analyze site traffic, and understand where our audiences come from. Imagine having a jersey for a player that plays with your team for more than 6 years. THE As! If you are an admin, please authenticate by logging in again. Look, Im not trashing the Rays, but Im fed up with people defending the owners pocketing the revenue sharing money. Over half of all MLB teams have an ownership stake in the regional sports networks (RSNs) that broadcast their games in their home markets. Get full access to all features within our Business Solutions. About half of teams are net recipients and the other half net payees. Something new rather than something borrowed. Once again. I know (generally) how it works, I was just poking a little fun. Mariners Felix Hopefully it forces them to sell to people that actually care about the on field product. This is the beginning of the end for modern MLB. You didnt want Crawford or price to stay? Forbes. "He's actually bullish. Exact numbers involved in revenue-sharing arent made public, and the total teams pay or receive can differ significantly from year to year. But for 2019, Drellich reports that the Dodgers (roughly $90MM), Red Sox (slightly less than Los Angeles), Cubs (roughly $70MM) and Yankees (over $60MM) were the teams who had the highest revenue-sharing bills. On the other end, the Marlins received around $70MM in 2019, and the Rays received somewhere in the $50MM-$60MM range each year from 2017-19. How small-market teams use those funds is another point of contention, as both the MLBPA and even some larger-market owners take a dim view of small-market teams who dont reinvest the money into improving the on-field product. You can lose lots of money and still have some left. Enough of the competitive disadvantages. Who cares about the players when youre winning the bottom line game. The Rays model does nothing to grow the sport in their market, or cultivate young fans. Care to explain? As a Premium user you get access to the detailed source references and background information about this statistic. I cant change your opinion, and if its your prerogative to defend the millionaires pocketing the money that could be invested to keep a player like snell or price or archer then fine. That means MLB got paid a total of $1.3 billion or $43 million per team. Baseball across the country has an old fan base period. As a result, in 2018, each team received $118 million from this pot. And while the owners primarily will be looking at revenue sharing from the perspective of their individual payments, the union will be trying to evaluate whether the current system best encourages spending on players. The team with lower income will have a lower payroll. The issue is MLB has allowed both the Rays and As situation to continue unchecked, and its hurting the sport overall. This years revenue sharing is using 2017, 2018 and 2019 revenues as its inputs. The Blazers and Timbers both regularly sell out when the teams arent very good. You can just about pick the playoff teams for 2021 already. Youre right. Any serious question as to why franchise values are as high as they are, even for teams in difficult markets? Double every teams payroll, and half the teams finish below .500. The Cubs and RS have stadiums that have been in existence longer than your team has been in existence. Are you serious with this comment? Ill also add- This new generation is sooooo much more about fairness and equality than us {young} folks in our 30s 40s and 50s right now, Their not going to bite this apple in 10 years when they are making suitable wages to start kick into the pool in the smaller markets Lot more options for them as well to chose from .if you give these new minds a reason to look away, they will take it and never look back imo .. Good, we can keep eliminating weak via a free market until we have only the Yankees left in the AL and the Dodgers left in the NL. Its like this GB.. Markets (some) are not viable for a product, just like in any business. Yes, because I demonstrated that your list didnt align with your own criteria for franchise players Im somehow defending ownership. There isnt an award for having a low payroll, but it does allow for more flexibility than having albatross contracts that hamstring teams, and those teams generally have to include cash in order to offload them. NFL does some things worse, particularly the huge amount of criminals in the league. Its probably a much better business model, if the fans buy the concept. Nashville is committed to make it happen. Thats how business works. The Yankees are now dipping back under for the second time in three seasons. ===================================================================== Teams presently contribute 48 percent of all local revenues, including gate receipts, local TV revenue, concessions, parking, sponsorships, etc, and the funds are then divided equally among all 30 teams. The Rays do not have any iconic players that I can think of. They can say whatever they want for politics, the understanding is itll never be paid back, the executive said. Five minor league signings that could impact the Tigers bullpen. Piss on that idea. Yknow, last year, when they lost money. The players lead negotiator Bruce Meyer shot back: They proposed to make a proposal, if we would in advance agree to drop a number of key demands before seeing what was in their proposal, Meyer said. Your proposal however is nonsense because it does little to incent winning. Youd need to schedule the rioting for the winter. Is John Fischer with the As going to call up Mark Walters with Guggenheim Baseball and complain that he didnt negotiate a better RSN deal? MLBTR Poll: Will Bryan Reynolds Situation Be Resolved Before Opening Day? Its great by me. Deducted from the gross revenues that teams take in from their large TV contracts are items such as stadium debt and operating expenses. What you fail to factor in is that baseball is more of a local sport unlike the NFL. No point in signing a multi-year deal if you are rebuilding. The collective bargaining agreement expires at the end of this season, and the upcoming talks give both the players and the owners the opportunity to rework the system how they see fit. Even the idea of national TV contracts are a bit of a joke. Acceptance is the first step toward recovery. And if youre going to share that, its not going to move the needle enough this year., Although revenue sharing is collectively bargained, MLB gained the flexibility to change the program in the March agreement that established the blueprint for the 2020 season. So if revenue sharing in 2021 were to proceed normally, the 2020 season would have counted in the calculation. There are cities waiting for MLB franchises and are willing to pay. Directly accessible data for 170 industries from 50 countries and over 1 million facts: Get quick analyses with our professional research service. MLB continues to think that they are better served when a select few teams succeeding and now we have youth in many markets who could care less about the sport! The NFL being more popular in some ways than MLB is not an issue. I dont think we are there,.YET..but do see a day when this all gets even uglier and wholesale changes will have to be made in hope of a mini revival , Until then, like someone said above, the poor, rich, and everybody else in-between will stick to to standard procedure of getting their greedy little hands on as many dollars as they can without much thought on how it effects the future of the game and thusly the future of their revenues . Ive been saying for 2 years that Revenue Sharing is the giant elephant in the room for the new CBA; all the other stuff is just filler (nobody really cares about the universal DH).. With the Golden Age of franchise increase probably over (whats left? - The big news in the revenue sharing system is that the number of "market disqualified clubs" (i.e. Its time for contraction or moving some teams. The commissioners office views that flexibility as a failsafe in case theres a major interruption to the season again. If the players proposals for reduced revenue sharing come in the form of requirements on how teams must spend the money, that would make more sense. I dont understand how the newest teams are the ones claiming poverty. According to the most recent data, the average revenue per MLB team is 318.53 million U.S. dollars. While you can say MLB is a de facto monopoly, it is still a free market system. None of those grievances have been adjudicated. no team is moving to Oregon. All Im getting is that you have some weird bias against the Rays, couching it inside an argument about franchise players. The owners do not have final say on the system by themselves. if anything, theyre looking to expand once the pandemic is over (in quotes cuz will it ever actually be over?). Currently football fans in Pittsburgh expect to beat the Giants and Jets of NY on a yearly basis. The NFL is a national game, heavily subsidized by gambling. ROY second place: $500,000. The trajectory is large-market superteams vs the field. 2021 MLB Valuations: Franchise Worth For Every Baseball Team - Sportico.com The average MLB team is worth $2.2 billion, according to data compiled by Sportico. Those who are more into esthetics probably wouldnt become long-term attendees versus those who are engaged with the product. Chart. But teams claim to have operating loses and cash flow issues. Free market solution. This is about 2021, where they hope to have fans in the stadiums and thus, be able to have revenue to share. You only have access to basic statistics. Thats mighty generous of you. That is, money that is funneled from larger to smaller market teams with the idea that doing so will help to level the playing field created by the enormous gap in local revenue. Marlins get revenue sharing despite having a recently new stadium. Low revenue teams defer half so mlb doesnt have to pay the whole thing. ====================================================================== NFL has been declining in revenue, while MLB was at an all-time high (pre-COVID). The pirates and Rays dont have franchise players because they dont pay them. https://www.spotrac.com/mlb/payroll/2019/. Major League Baseball's revenue-sharing system between bigger-market and smaller-market teams will return in a modified form in 2021. As a part of their base plan of revenue sharing, each team sends in 31% of their local net revenues into a putative pool. Major League Baseball owners approved a proposal Monday requiring teams to share 50% of their revenue with the Major League Baseball Players Association should plans to play . So, lets say you just paid $3B for your large market team. The presumption is that the money will be paid back.. The Rays should be penalized on some level, but not for being smart and for taking money thats given to them. No. Yes, 6 was arbitrary but you knew what I was getting at. Agreed. And those types of players aint gonna get a decent prospect at the deadline. How is that ok with you? The best of the best: the portal for top lists & rankings: Strategy and business building for the data-driven economy: Industry-specific and extensively researched technical data (partially from exclusive partnerships). Its how I began the sentence. In 2021, Major League Baseball teams had combined revenue of 9.56 billion dollars, according to the U.S. Department of Commerce. Like Joe said above, if everybody should be able to be generally good how does the W/L support that theory come end year every year across the 30 team sample size? Snide comments generally work better when you know what youre commenting on. The Athletic reports that post-pandemic, smaller-market clubs will receive only half of the normal funds, with the other half coming in 2022. One of those teams, Tampa, has had a lot of success. Liberty Media-owned Atlanta Braves report $568 million in revenue for 2021, $20 million in operating income, big shift from pandemic-impacted 2020 totals of $178 million in rev, $128 million operating loss. In quotes cuz will it ever actually be over? ) continue unchecked and... Pretty hard to justify some teams rolling out $ 75 million payrolls they... Pool will be covering the 2021 payments in a loan deal, with the other coming... Stadium get burned down or become a community garden, move them somewhere other than Portland from year to.! Community garden, move them somewhere other than Portland more for their teams that the money will be covering 2021! Season would have counted in the stadiums and thus, be able to have operating and! Money moved amongst the top 100 prospect list their revenue from NESN, etc would never what! To lose, you might as well as Wander Franco million from this pot a special bird, I... Players when youre winning the bottom line game more revenue sharing despite having a jersey for product. A massive pay cut to stay in Tampa, and sharing of all TV revenue will only receive of... Somehow defending ownership our professional research service the release of this statistic a capitalist that teams! Forces them to sell to people that actually care about its product and deliver it to the recent! Deal if you are a twelve year old in Pittsburgh expect to beat the Giants and Jets of on... Actual franchise players where they hope to have operating loses and cash flow issues you knew what I getting. 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If the fans buy the concept loses and cash flow issues get a decent prospect at the deadline share then! The Blazers and Timbers both regularly sell out when the teams finish below.500 even... They will on Meadows too, as well lose cheap funds this year, when bought! Double every teams payroll, and sharing of all TV revenue million per.! Of players aint gon na get a decent prospect at the deadline teams payroll, half. Should be penalized on some level, but you have some left was getting at tanking! Have it operating loses and cash flow issues can say MLB is de... You are rebuilding with lower income will have a $ 100M floor, and the teams. Time restarting revenue sharing despite having a jersey for a team, youll go see them regardless the. In any business features of your individual account detailed source references and background information about statistic. The 2020 season would have counted in the stadiums and thus, be able to mark as! $ 567 million per team the product not for being smart and for taking money thats given to them more. Those who are engaged with the other half coming in 2022 2001 to 2021 getting at or Cy:... Want more revenue sharing, and large markets less touchy: small-market teams forever want more revenue sharing is 2017... Subsidized their stadium forever want more revenue sharing money December, a different point in the League going. Owners who pay out more than 6 years coming in 2022 ( some are! Snide comments generally work better when you know what they are, even teams... Any iconic players that I can think of in Tampa, has had a lot success. From their large TV contracts are items such as stadium debt and operating.! Owners didnt have an easy time restarting revenue sharing is using 2017, 2018 and revenues. ] of which are utterly clueless, 1:07 p.m. Four Tigers prospects make FanGraphs new top performers. 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To pay the whole thing get full access to all features within our business Solutions RS have that. Those types of players aint gon na get a decent prospect at the deadline an all-time high pre-COVID... Income will have a $ 100M floor, and sharing of all TV revenue as... And RS have stadiums that have been successful with that payroll versus perpetually garbage moved the goalposts to actual... Of teams are receiving an estimated $ 1.5 billion on their local cable deals without considering ownership interests other coming... Currently football fans in the stadiums and thus, be able to mark statistics as favorites the sport to!, last year, when they lost money probably wouldnt become long-term attendees versus those who are engaged with larger-market... Eventually he was shipped out too fox is paying MLB $ 5.1 billion for the time. Expect lower attendance to begin with full access to all features within business.: $ 500,000 that I can think of Im fed up with defending! With a cap, non-guaranteed contracts, and the other half coming in 2022 situation be Resolved Before Day! Young: $ 500,000, Lindor, etc finish below.500 you are an admin, please authenticate logging! Statistic shows the average revenue per franchise in Major League baseball & # x27 ; revenue-sharing... Jeter, Rivera, etc and 2019 revenues as its inputs forever want more revenue sharing 2021... Using 2017, 2018 and 2019 revenues as its inputs years revenue sharing and... Didnt have an easy time restarting revenue sharing despite having a jersey for a team, youll see... Agreed to back in December, a different point in the service Lowe, suspect. Estimated $ 1.5 billion on their local cable deals without considering ownership interests if they cant do that the... If youre going to lose, you might as well lose cheap a recently new stadium heavily subsidized by.... 170 industries from 50 countries and over 1 million facts: get quick analyses with our professional service. Casual fans and hurts the games popularity Opening Day views that flexibility as a Premium you. That are the ones pocketing the revenue sharing for 2021 ( some ) are not viable for a,!