Monumental Sports & Entertainment, which owns the Washington Wizards of the NBA and the Washington Capitals of the NHL, has acquired full control of regional television network NBC Sports Washington.
Founded by former AOL executive Ted Leonsis, Monumental has owned 33% of NBC Sports Washington since 2016. I bought the rest from NBCUniversal’s parent company, Comcast. Comcast also owns six other of his RSNs in various US markets. Financial terms were not disclosed.
As part of the transaction, NBCU will continue to help operate the network and provide corporate and shared services such as distribution, technical resources and production equipment for up to 18 months. The Washington Network, which holds exclusive rights to Wizards and Capitals games, is part of the NBC Sports Regional Networks division of NBCUniversal Local.
As streaming gains momentum and pay-TV bundles shrink at an accelerating pace, the traditional RSN model is under tremendous pressure. Born in the 1990s and his 2000s go-go era of cable television, the network exploded in popularity and made a ton of money from both fees and advertising. Broadcasts of Major League Baseball still enjoy significant ratings in many markets, but are not as profitable as they used to be. NBCU, along with other of his RSN operators such as Sinclair Broadcast Group’s Diamond Sports, said it would explore direct-to-consumer distribution options for the network’s programming. Diamond’s Bally Sports+ will launch nationwide next month as a standalone service.
Teams often have substantial stakes in RSNs. His YES Network of the New York Yankees set the framework, with New England Sports Network, SportsNet LA and Chicago’s Marquee Network being other prominent examples.
NBC Sports Washington is available in the District of Columbia, Maryland, Virginia, and parts of Pennsylvania, Delaware, and West Virginia. Launched as a home team sport in 1984, the network has broadcast Wizards and Capitals games since its inception. Baseball’s Washington Nationals own a stake in Mid-Atlantic Sports Network, a joint venture with the Baltimore Orioles that is unaffiliated with NBC Sports Network.
NBC Sports Washington is “an important business to our current and future core business,” said Zach Leonsis, President of Media and New Business at Monumental. “We look forward to further enhancing and innovating the best-in-class experience our fan base enjoys watching live sports for years to come.”
NBC Sports Regional Networks President Bill Bridgen described the deal as a “unique opportunity.” He said NBCU and both companies “value local sports media and are committed to serving fans now and investing in the future.”
In addition to Wizards and Capitals, Monumental also owns the WNBA’s Washington Mystics, NBA G League’s Capital City GoGo, and NBA 2K League’s Wizards District Gaming. The company also owns and operates Capital One Arena and operates several other venues.