MLB Advanced Media, the interactive media and internet company of Major League Baseball, has approved the creation of a media company that will act as a new source of revenue for the league and its clubs.
The formation of BAM Tech was formalised at MLB owners meetings yesterday (Thursday). The Forbes website said the new company could launch by the end of the year and will now seek out strategic partners, including those that can provide content as well as parties in the financial sector.
Forbes said BAM Tech will be majority owned by the owners of MLB’s 30 clubs. MLBAM this month signed a six-year digital rights deal, running from 2016 to 2021, with the NHL ice hockey league. Under this agreement, the NHL will hold a minority stake of between seven and 10 per cent in BAM Tech.
Forbes added that BAM Tech will operate on a different path to MLBAM as it won’t focus on baseball content. Instead it will seek to further MLBAM’s recent moves into the broader media market.
MLBAM has aided the launch of the WWE wrestling organisation’s WWE Network and sports broadcaster ESPN’s WatchESPN service, while it has also helped to deliver online pay-television services for HBO and Sony.