The AAF's about Big Data First and Football Second

Published on 22-Feb-2019 by J Square Humboldt

Football - NFL    NFL Daily Update

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The AAF's about Big Data First and Football Second

It may have been a surprise that the Alliance of American Football needed a $250million bailout after only one week of operations ...

But given the circumstances, it wasn't a stunner that a dude like Carolina Hurricanes owner Thomas Dundan was the one to step up.

He's been there and done that.

 

Now that he's clawed his way back and become a kajillionaire, it's doubtful he got into pro sports ownership as a hobby.

Dude saw potential in the NHL, and the Carolina Hurricanes just happened to be available.

The justification behind his passion? Data. Game-specific tech gathering lotsa data.

 

For the record, what Dundan's doing in Raleigh is working. The 'Canes are in the thick of a wild card slot, and attendance is up.

So now he's found an opening into pro football, and not just one team. The whole damn league.

 

Turns out AAF founders Charlie Ebersol and Bill Polian aren't exactly financial wizards, but they were on to something.

Data. Game-specific tech gathering lotsa data.

 

It looks innocent enough, but the app is actually the reason the MGM Grand casino -- and now Dundan -- are betting heavily on the AAF. Among the reasons:

  • Sports betting's legal and expanding in the USA, and the AAF's gone all-in, investing heavily in technology it plans to eventually license out to other leagues and businesses (casinos, media companies); and
  • Following the NHL's and NBA's lead, chips have been implanted in the ball and players' shoulder pads; this gives fans access to interactive experiences via the app.

 

The AAF's plan is to do what MLB Advanced Media did, but with data, which is hot now, instead of streaming technology, which was hot then. Known as BAM, it produces live streaming for the NHL and PGA, too. It's a key to re-configuring the ESPN business model.

Data has even more utility for even more potential customers.

 

While there's a huge need for minor-league football -- and hell, fans who go know what they're getting -- and minor league baseball has decisively shown those franchises can be profitable, the AAF does have another subtle strategy in play.

Each franchise is located in a city that considers itself a practical home for an NFL franchise. In the meantime, its AAF team is the only pro show in town, and supporting it serves as a kinda-audition if the NFL ever seeks another city.

 

But the more data you get, the better prepared you're gonna be.

It's how Thomas Dundan built and keeps building his success, and it's what Charlie Ebersol had in mind all along.