In a new multi-year agreement with the NFL, Apple Music is taking over sponsorship duties for the Super Bowl Halftime Show, an announcement from the league said. Financial terms of the deal were not disclosed, though prior reports indicated the league was seeking up to $50 million for the rights. This is a big win for Apple Music, and we’ll break down why below.
What does this mean for Apple Music?
This is a huge get for Apple Music. The Super Bowl is one of the most watched television events of the year, with last year’s game drawing in 103.4 million viewers. That widespread appeal presents a major opportunity for Apple Music to reach new listeners and subscribers. And with the NFL’s estimated value sitting at $13 billion, this deal further cements Apple Music’s status as a major player in the streaming music space.
This also isn’t the first time that Apple has partnered with the NFL. The two organizations have been working together since 2013, when they struck a deal that made iTunes the official provider of NFL game highlights. Since then, their relationship has only grown stronger, with Apple becoming an official sponsor of the NFL in 2016. This latest partnership is just another example of how committed both parties are to working together.
Why did the NFL choose Apple Music?
There are a few reasons why the NFL may have chosen to partner with Apple Music over other streaming services. For one, Apple has a long history of working with sports leagues like the MLB, NBA, and NHL to stream live games and highlight reels on its various platforms. Given its experience in this area, it’s likely that the company was able to put together a more appealing proposal than its competitors.
In addition, Apple is one of the most valuable companies in the world, with a market cap of nearly $1 trillion. That gives it ample resources to pour into marketing and promotion for its various products and services—something that will no doubt come in handy as it looks to drive awareness for Apple Music during one of the biggest television events of the year. Finally, as we mentioned above, Apple already has a strong relationship with the NFL thanks to its existing sponsorship deal. That likely made it easier for the two organizations to come to an agreement on this latest partnership.
In today’s hyper-competitive streaming music landscape, any edge can make a big difference. That’s why Apple Music’s new sponsorship deal with the NFL is such a big win for the company. Not only does it give Apple Music access to 103.4 million potential new listeners, but it also cements its status as a major player in the space—one that isn’t afraid to spend big to stay ahead of its rivals.