14 WWE Network Risks That WWE Worries About

Wwe Network ImageEach year when the WWE publishes it's annual report there's a long list at the end under the "Item 1A. Risk Factors" heading. This details the "risks and uncertainties associated with the business that could adversely affect the operating performance and financial condition." With the launch of the WWE Network, there's a plethora of new and specific pitfalls for WWE should something go awry.

14. Domestic TV Rights

Last year, WWE successfully changed all of their NBCU agreements to be coterminous (ending on the same date) for September 2014. They're looking to make a new TV deal and whomever they agree to work with, that's where WWE will land for several years. WWE really wants to triple their domestic TV Rights Fees but so far it's very murky whether they'll even be able to double them. While TV Rights Fees are separate from the WWE Network, the honest truth is that WWE can easily tolerate years of profit losses on the WWE Network provided they secure an incredibly lucrative TV Rights package. Conversely, WWE will be terrible shape (expect a collapsing stock price) should they not leave TV negotiations significantly ahead of this year's $105.9M.
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I'm a professional wrestling analyst, an improviser and an avid NES gamer. I live in Saint Paul, Minnesota and I'm working on my first book (#wrestlenomics). You can contact me at chris.harrington@gmail.com or on twitter (@mookieghana)

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