Comment by manquer

It is not the comparison to make, which is why I focused on the league’s tv revenue which is what is relevant , i only bought up Madrid’s valuation to ask where is Laliga ‘s $5B coming from.

Real Madrid owns the Bernabeu a valuable piece of real estate in the heart of Madrid and many other assets the Real Madrid brand is very monetizable .

Sports team have been consistently growing businesses in every major sport in both Europe and US. Comparing a sports team and SaaS company is hardly going to be apples to apples with different asset , revenue, brand and monopoly and strategic profiles.

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The risk to the league due to piracy is the value of the television deal. The buyer paying $1B/yr (DAZN) is the reason for this enforcement.

If Cloudflare wants to buy this problem away that is what they need — The $1B deal growing 5-6% YoY and get into the streaming business .

Prime alone is expected to spend $4B on live sports rights this year. It is very expensive space with everyone from Apple to Google and Netflix to sovereign funds going deeper every year .

The streaming revenues otherwise aren’t expected to be massively grow so this is the content play that is least risk - compared to investing in say 4-5 blockbuster movies or tv series this is far more predictable and consistent revenue stream.