In 2021, Harris, in partnership with Sportico, conducted a poll to analyze Americans’ viewing habits in the sports world.
Around 2,000 people, representing the following age groups, were surveyed:
- Gen Z (ages 10 to 25)
- Millennials (also known as Gen Y; ages 25 to 39)
- Gen X (ages 40 to 55)
- Boomers (ages 56 and above)
Not surprisingly, 5 percent of respondents claimed illegal streaming (or pirating) was their primary resource for viewing sports. And that was 4 years ago. That number is probably a little higher today.
And among Gen Z participants, a whopping 12 percent say they are more likely to watch sports via illegal streaming than any other medium, such as television, legal streams (such as ESPN and DAZN apps), and social media (YouTube, Vimeo and etc).
For the same age group (age 10 to 25) television, which was the platform for nearly 100 percent of sports viewing prior to the mid-1990s, is used only 37 percent of the time.
Given pirating was the go-to medium to sports viewing for just 5 percent of the public, we haven’t heard much talk about it. However, illegal streaming has exploded in just the last 10 years and based on the Gen Z stats we can clearly tell where its going.
Don’t be surprised if 10 to 15 percent of all Americans today say illegal streaming is their primary source for viewing sports.
Live illegal online streams have undoubtedly cost boxing and UFC, alone, tens of millions of dollars apiece and it only figures to get worse as the online pirates use technology that make them very difficult to catch and shut down. In fact, the global sports industry loses an estimated $28 billion annually due to piracy, affecting everything from player salaries to league operations and broadcasters and leagues face declining TV ratings and reduced income from media rights deals as fans opt for free alternatives.
Hackers – The enemies of sports and its fans
Hackers shamelessly – and illegally – stream and rebroadcast copyrighted content not because they are sports fans and want as many people as possible to partake in the entertainment; They do it 1) To make money via the preponderance of online ads showcased in conjunction with the stolen content and 2) to [sometimes] attempt to infect users’ computers with malware via malicious pop-ups and deceptive links users have to sidestep in order to view illegally-streamed broadcasts.
Once someone’s computer is infected and their information is locked, hackers will often charge a large sum of money to release a user’s data. Other times, hackers will silently take control of a user’s system in effort to steal credit card and banking information.
Essentially, online pirates make money off the blood, sweat and tears of the athletes and coaches and then, depending on the medium, attempt to infect users with viruses so they can, again, illegally generate revenue.
How does this hurt sports?
Pirating diminishes the value of sports events – especially big fights in boxing and UFC.
Why?
Less revenue is generated because a certain percentage of viewers aren’t paying for the product. As a result, athletes and coaches earn less for providing the same services. Moreover, those who pay for the services ending spending more money for those who don’t. In addition, popular fights, especially in boxing, become harder to make because the revenue simply isn’t there. The interest is there – But when 500,000 people decide to pirate $59.99 fight card, the event loses $30 Million. Even when just 100,000 viewers pirate an event at the aforementioned price. it’s $6 Million in earned revenue promoters don’t see.
It’s no different than sneaking into a movie theatre or rock concert and not paying.
Aside from boxing and UFC, the illegal streaming of sports events isn’t widespread enough today to cause major revenue dents but rest-assured it will be an issue the networks will have to seriously address very soon.